HomeMy WebLinkAbout2023CITY OF CHUBBUCK, IDAHO
COMPREHENSIVE ANNUAL FINANCIAL REPORT
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2023
Page
Title Page 1
Table of Contents 2-3
Introductory Section 4
Letter of Transmittal 5-7
List of Principal Officials 8
Organizational Chart 9
Financial Section
Independent Auditor's Report 10-12
Management Discussion and Analysis 13-22
Basic Financial Statements:
Statements of Net Position 23
Statements of Activities 24
Balance Sheets - Governmental Funds 25
26-27
Statements of Position - Proprietary Funds 28
29
Statements of Cash Flows - Proprietary Funds 30-31
Statement of Fiduciary Net Position - Recreational Program Fund 32
Statement of Changes in Fiduciary Net Position - Recreational Program Fund 33
Notes to Financial Statements 34-49
Required Supplementary Information 50
Budgetary Comparison Schedule - General Fund 51
Budgetary Comparison Schedule - Highway, Streets and Roads 52
Schedule of Employer's Share of Net Pension Liability 53
Schedule of Employer Contributions 54
Notes to Required Supplementary Information 55
CITY OF CHUBBUCK, IDAHO
ANNUAL FINANCIAL REPORT
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2023
Statements of Revenues, Expenditures, and Changes in Fund Balances -
Governmental Funds
Statements of Revenues, Expenses, and Changes in Net Position - Proprietary
TABLE OF CONTENTS
2
CITY OF CHUBBUCK, IDAHO
ANNUAL FINANCIAL REPORT
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2023
Page
Other Supplementary Information 56
Combining Balance Sheet - Nonmajor Governmental Funds 57
58
Statements of Net Position - Internal Service Funds 59
60
61
Budgetary Comparison Schedule - Nonmajor Governmental Funds 62
Statistical Section 63
Statistical Section - Table of Contents 64
Financial Trends 65-72
Revenue Capacity 73-76
Debt Capacity 77-78
Operating Information 79-81
Single Audit 82
83
Notes to the Schedule of Expenditures of Federal Awards 84
85-86
87-88
Schedule of Findings and Questioned Costs 89
Schedule of Expenditures of Federal Awards
Independent Auditor's Report on Compliance for Each Major Program;and Report on
Internal Control Over Compliance Required by the Uniform Guidance
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
Statement of Revenues, Expenditures, and Changes in Fund Balances - Nonmajor
Governmental Funds
TABLE OF CONTENTS - CONTINUED
Statements of Revenues, Expenses, and Changes in Net Position - Internal Service
Funds
Statements of Cash Flows - Internal Service Funds
3
INTRODUCTORY SECTION
4
Title Name
Mayor Kevin England
Council President Roger Hernandez
Council Member Melanie Evans
Council Member Dan Heiner
Council Member Norman Reece
City Attorney Ryan Lewis
Public Works Director Bridger Morrison
City Engineer Bridger Morrison
Sewer/Water Superintendents Scott Baker/Cameron Lusk
Sanitation/Streets Superintendent Ryan Sullivan
Treasurer Rich Morgan
City Clerk Joey Bowers
Human Resource Officer Scott Gummersall
City Accountant Dan Christensen
Community Services Devin Hillam
Police Chief Bill Guiberson
Computer Information Systems Joey Bowers
Parks & Recreation Aaron Schilhabel
Fire Chief Merlin Miller
City Officials
List of Principal Officials
CITY OF CHUBBUCK, IDAHO
SEPTEMBER 30, 2023
Elected Officials
8
To the Honorable Mayor and Members of the City Council
City of Chubbuck, Idaho
Report on the Financial Statements
Opinion
We conducted our audit in accordance with auditing standards generally accepted in the United States of
America and the standards applicable to financial audits contained in Government Auditing Standards,issued by
the Comptroller General of the United States.Our responsibilities under those standards are further described in
the Auditor’s Responsibilities for the Audit of the Financial Statements section of our report.We are required to
be independent of the City of Chubbuck,Idaho,and to meet our other ethical responsibilities,in accordance with
the relevant ethical requirements relating to our audit.We believe that the audit evidence we have obtained is
sufficient and appropriate to provide a basis for our audit opinion.
In preparing the financial statements,management is required to evaluate whether there are conditions or
events,considered in the aggregate,that raise substantial doubt about the City of Chubbuck's ability to continue
as a going concern for twelve months beyond the financial statement date,including any currently known
information that may raise substantial doubt shortly thereafter.
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free
from material misstatement,whether due to fraud or error,and to issue an auditor’s report that includes our
opinions.Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a
guarantee that an audit conducted in accordance with generally accepted auditing standards and Government
Auditing Standards will always detect a material misstatement when it exists.The risk of not detecting a material
misstatement resulting from fraud is higher than for one resulting from error,as fraud may involve collusion,
forgery,intentional omissions,misrepresentations,or the override of internal control.Misstatements are
considered material if there is a substantial likelihood that,individually or in the aggregate,they would influence
the judgment made by a reasonable user based on the financial statements.
INDEPENDENT AUDITOR’S REPORT
We have audited the accompanying financial statements of the governmental activities,the business-type
activities,the aggregate discretely presented component units,each major fund,and the aggregate remaining
fund information of the City of Chubbuck as of and for the year ended September 30,2023,and the related notes
to the financial statements,which collectively comprise the City’s basic financial statements as listed in the table
of contents.
Responsibility of Management for the Financial Statements
Management is responsible for the preparation and fair presentation of these financial statements in accordance
with accounting principles generally accepted in the United States of America;this includes the design,
implementation,and maintenance of internal control relevant to the preparation and fair presentation of financial
statements that are free from material misstatement, whether due to fraud or error.
Auditor’s Responsibilities for the Audit of the Financial Statements
In our opinion,the financial statements referred to above present fairly,in all material respects,the respective
financial position of the governmental activities information of the City of Chubbuck,Idaho,as of September 30,
2023,and the respective changes in financial position,for the year then ended in accordance with accounting
principles generally accepted in the United States of America.
Basis for Opinion
•
•
•
•
•
Required Supplementary Information
Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting
estimates made by management, as well as evaluate the overall presentation of the financial statements.
Conclude whether,in our judgment,there are conditions or events,considered in the aggregate,that raise
substantial doubt about the City’s ability to continue as a going concern for a reasonable period of time.
We are required to communicate with those charged with governance regarding,among other matters,the
planned scope and timing of the audit,significant audit findings,and certain internal control-related matters that
we identified during the audit.
Exercise professional judgment and maintain professional skepticism throughout the audit.
Identify and assess the risks of material misstatement of the financial statements,whether due to fraud or
error,and design and perform audit procedures responsive to those risks.Such procedures include
examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements.
Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are
appropriate in the circumstances,but not for the purpose of expressing an opinion on the effectiveness of
the City’s internal control. Accordingly, no such opinion is expressed.
Accounting principles generally accepted in the United States of America require that the management’s
discussion and analysis,budgetary comparison information,and pension schedules on pages 13-22,51-52 and
53-54,respectively,be presented to supplement the basic financial statements.Such information,although not a
part of the basic financial statements,is required by the Governmental Accounting Standards Board,who
considers it to be an essential part of financial reporting for placing the basic financial statements in an
appropriate operational,economic,or historical context.We have applied certain limited procedures to the
required supplementary information in accordance with auditing standards generally accepted in the United
States of America,which consisted of inquiries of management about the methods of preparing the information
and comparing the information for consistency with management’s responses to our inquiries,the basic financial
statements,and other knowledge we obtained during our audit of the basic financial statements.We do not
express an opinion or provide any assurance on the information because the limited procedures do not provide
us with sufficient evidence to express an opinion or provide any assurance.
In performing an audit in accordance with generally accepted auditing standards and Government Auditing
Standards, we:
Supplementary Information
The combining and individual nonmajor fund financial statements and budgetary comparison schedule -
nonmajor governmental funds are the responsibility of management and were derived from and relate directly to
the underlying accounting and other records used to prepare the basic financial statements. Such information has
been subjected to the auditing procedures applied in the audit of the basic financial statements and certain
additional procedures,including comparing and reconciling such information directly to the underlying accounting
and other records used to prepare the basic financial statements or to the basic financial statements themselves,
and other additional procedures in accordance with auditing standards generally accepted in the United States of
America.In our opinion,the combining and individual nonmajor fund financial statements and the schedule of
expenditures of federal awards are fairly stated in all material respects in relation to the basic financial statements
as a whole.
The prior year summarized comparative information has been derived from the City’s 2022 audited financial
statements and,in our report dated March 28,2023,we expressed unqualified opinions on the respective
financial statements of the governmental activities,the business-type activities,the aggregate discretely
presented component units,each major fund,and the aggregate remaining fund information.This information is
consistent, in all material respects, with the audited financial statements from which it has been derived.
The introductory and statistical sections have not been subjected to the auditing procedures applied in the audit
of the basic financial statements and,accordingly,we do not express an opinion or provide any assurance on
them.
Chubbuck, Idaho
May 3, 2024
In connection with our audit of the basic financial statements,our responsibility is to read the other information
and consider whether a material inconsistency exists between the other information and the basic financial
statements,or the other information otherwise appears to be materially misstated.If,based on the work
performed,we conclude that an uncorrected material misstatement of the other information exists,we are
required to describe it in our report
In accordance with Government Auditing Standards,we have also issued our report dated May 3,2024,on our
consideration of the City of Chubbuck’s internal control over financial reporting and on our tests of its compliance
with certain provisions of laws,regulations,contracts,and grant agreements and other matters.The purpose of
that report is to describe the scope of our testing of internal control over financial reporting and compliance and
the results of that testing,and not to provide an opinion on internal control over financial reporting or on
compliance.That report is an integral part of an audit performed in accordance with Government Auditing
Standards in considering City of Chubbuck’s internal control over financial reporting and compliance.
Other Reporting Required by Government Auditing Standards
13
CITY OF CHUBBUCK, IDAHO
Management’s Discussion and Analysis
For the Year Ended September 30, 2023
As management of the City of Chubbuck, we offer readers of the City of Chubbuck’s financial statements
this narrative overview and analysis of the financial activities for the fiscal year ended September 30,
2023. We encourage readers to consider the information presented here in conjunction with additional
information that we have furnished in the notes to financial statements.
Financial Highlights
The assets and deferred outflows of the City of Chubbuck exceed its liabilities and
deferred inflows at the close of the most recent fiscal year by $99,667,055 (net
position ).
The City’s net position increased by $9,890,180 . Approximately 38 percent of this
increase , $3,752,542 is attributed to capital contributions.
At the end of the current fiscal year, the unassigned general fund balance was
$7,940,207 or 60 percent of total general fund expenditures.
In the City’s business-type activities, operating revenues increased by $1,220,577 , and
operating expenses increased by $134,401 . These differences are due to a combination
of increases in services rendered and increases in operating costs, respectively .
During the current fiscal year, City of Chubbuck’s governmental and business-type
liabilities had a decrease of $2,073,603 from $31,924,598 to $29,850,995 . The decrease
was primarily due to a decrease in unearned revenue and net pension liabilities.
Overview of the Financial Statements
This discussion and analysis is intended to serve as an introduction to the City of Chubbuck’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 the City’s assets, deferred outflows, and
liabilities with deferred inflows, with the difference between each 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’s is improving or deteriorating.
The Statement of Activities presents information showing how the City’s net position changed during
the fiscal year. All changes in the assets are reported when 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 the future fiscal periods (e.g.,
uncollected taxes and earned but unused compensated absences).
14
Both government-wide financial statements distinguish function s of the City of Chubbuck that are
principally supported by taxes and intergovernmental revenues (governmental activities) from 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 of Chubbuck include general
government and administration, public safety, parks, and highway streets and roads. The business-type
activities of the City include water and sewer, and sanitation operations.
Fund Financial Statements. A fund is a grouping of related accounts that is used to maintain control
over resources that have been segregated fro m 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 the City of Chubbuck funds ty of Chubbuck can be divided into three
categories: governmental funds, proprietary funds, and fiduciary funds.
Governmental Funds. Governmental funds are used to account for the same functions reported
as governmental activities in the government-wide financial statements. However, unlike the
government -wide financial statements, governmental fund financial statements focus on
current sources and uses 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 equipment.
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. By doing so, readers may better understand the long-term impact of the
government’s near-term financing decisions. Both the governmental funds balance sheet and
the governmental fund statements of revenues, expenditures, and changes in fund balances
provide a reconciliation to facilitate this comparison between governmental funds and
governmental activities.
The City of Chubbuck maintains seven individual governmental funds. Information’s is presented
separately in the governmental fund balance sheet and in the governmental fund statement of
revenues, expenditures, and changes in fund balances for the General Fund and Highway,
Streets, and Road Fund, which are the City’s two major governmental funds. Data from the
other five funds are combined into a single, aggregated presentation. Individual fund date for
each of these non-major governmental funds is provided in the form of combining statements
elsewhere in this report.
The City of Chubbuck adopts an annual appropriated budget of its general fund, major funds,
and its non-major funds. Budgetary comparison schedules have been provided for these funds
to demonstrate compliance with these budgets.
The basic governmental fund financial statements may be found on pages 23-27 of the City’s
financials .
Proprietary Funds. The City of Chubbuck maintains two different types of proprietary funds:
enterprise funds and internal service funds.
Enterprise funds are used to report the same functions presented as business-type activities in
the government-wide financial statements. The City of Chubbuck uses enterprise funds to
account for its Water department, Waste Water department, and Sanitation department.
15
Internal service funds are an accounting device used to accumulate and allocate costs internally
among the City of Chubbuck’s various functions. The City of Chubbuck uses internal service
fund s to account for its central garage operations and employee health benefit program. The
internal service funds are allocated proportionally between governmental and business-type
funds.
Proprietary funds provide the same type of information as the government-wide financial
statements, only in more detail. The proprietary fund financial statements include the
operational and financial information for all enterprise funds. The Water, Waste Water, and
Sanitation funds are major funds, and their information is shown in separate columns. The
internal service fund and the non-major enterprise funds are combined into a single , aggregated
presentation in the proprietary funds’ financial statement s. Individual fund data for the non-
major enterprise fund is provided in the form of coming in statements elsewhere in this report.
The City of Chubbuck adopts an annual appropriated budget for its proprietary funds. However,
the City does not provide budgetary comparison schedules for proprietary funds.
The basic proprietary fund financial statements may be found on pages 28-29 of the City’s
financials .
Fiduciary Funds. Fiduciary funds are used to account for resources held for the benefit of parties
outside the government. Fiduciary funds are not reflected in the government-wide financial
statements because the resources of those funds are not available to support the City of
Chubbuck’s own programs. The accounting used for fiduciary funds is similar to proprietary
funds.
The City of Chubbuck adopts an annual appropriated budget for its fiduciary fund. However, the
City does not provide budgetary comparison schedules for fiduciary funds.
The fiduciary fund financial statements can be found on pages 32-33 of the City’s financials.
Notes to the Financial Statements. The notes provide additional information that is essential to
a full understanding of the data provided in the government-wide and fund financial
statements. The notes to the financial statements may be found on pages 34-50 of the City’s
financials .
Other information. In addition to the basic financial statements and accompanying notes, this
report also presents certain required supplementary information concerning the City’s budgeted
versus actual expenses and revenues , the schedule of employer’s share of net pension liability
and schedule of employer contributions. The schedules are followed by the internal service fund
financial statements, and nonmajor budget comparison schedule. The other supplementary
information is concluded with the statistical section and schedule of expenditures of federal
awards .
16
Government -wide Financial Analysis
As noted earlier, net position may serve over time as useful indicator of government’s financial position.
In the case of the City of Chubbuck, assets exceeded liabilities by $99,667,055 as of September 30, 2023.
The largest portion of the City of Chubbuck’s net position is reflect ed in its net investment in capital
assets (e.g., land, building, equipment, improvements, work -in-process, and infrastructure), less
accumulated depreciation and any debt used to acquire those assets that is still outstanding.
The City uses these capital assets to provide services to citizens ; consequently, these assets are not
available for future spending. Although the City’s investment in capital assets is reported net of related
debt, it should be noted that the resources needed to repay this debt must be provided from other
sources, since the capital assets themselves cannot be used to liquidate these liabilities.
Below is a summary of the City of Chubbuck’s Net Position statement.
The restricted portion of the City of Chubbuck’s net position, $164,600 , represents resources that
are subject to external restriction on how they may be used. The remaining balance of
unrestricted net position $5,904,411 , may be used to meet the City’s ongoing obligation to citizens and
creditors.
As of September 30, 2023, the City can report positive balances in all three categories of net position ,
for the government as a whole, as well as for its separate governmental and business -type activities.
At the end of the current fiscal year, 82 percent of the total liabilities are made up of noncurrent
liabilities. The decrease of 6 percent in total liabilities , compared to the previous year, is due to a
decrease in unearned revenue, bonds payable, notes payable, and net pension liabilities.
21
Financial Analysis of the Government’s Funds
As noted earlier, the City of Chubbuck uses fund accounting to ensure and demonstrate compliance with
finance -related legal requirements.
Governmental funds . The focus of the City of Chubbuck’s governmental funds is to provide information
on near-term inflows, outflows, and balances of spendable resources. Such information is useful in
assessing the City of Chubbuck’s financing requirements. Unreserved fund balance may serve as a useful
mea sure of the government’s net resources available for spending at the end of the fiscal year.
At the end of the current fiscal year the City of Chubbuck’s governmental funds reported combined
ending fund balances of $8,121,697 . Of which $5,629,923 of this total is unassigned fund balance.
The general fund is the chief operating fund of the City of Chubbuck. In the general fund, the City
budgeted for no change in the fund balance. The total governmental operating revenues were more
than operating e xpen ditures by $430,824 . With the other financing sources and uses, the net change in
the governmental fund s increase d $5,212,855 for fiscal year 2023. The net change in the highway,
streets, and roads fund was $0. As a measure of liquidity, it may be useful to compare both total
unassigned fund balance and total fund expenditures. The total unassigned fund balance represents 37
percent of total governmental fund expenditures.
Proprietary funds. The City of Chubbuck’s proprietary fund statements provide the same type of
information found in the government-wide financial statements, but in more detail.
Unrestricted net positions of the respective proprietary funds are Water : $5,156,911 , Sewer:
$2,931,686 , and Sanitation: $865,292 . The water fund had an increase in net position of $1,403,761 ; the
sewer fund had an increase in net position of $2,134,352 ; and the sanitation fund had a decrease in net
position of $(96,400 ).
General Fund Budgetary Highlights
The City made no revision to the original appropriations approved by the City Council. The general
fund ’s actual revenue s and expenditure s were greater than the budget . The difference accounts for a
$4,486,800 increase in the general fund balance. The major variance s in expenditures were due to an
increase in the general government and capital outlays expenditures. The highway, streets and roads
fund actual revenues and expenditure were less than the budget . The difference accounts for a $0
change in the highway, streets, and roads fund balance. This was a result after a transfer out of
$95,732.
Capital Asset and Debt Administration
Capital assets. The City of Chubbuck’s investment in capital assets for its governmental and business-
type activities as of September 30, 202 3, amounts to $102,716,225 (net of accumulated depreciation).
This investment in capital assets includes land , vehicles, equipment, other improvements, and
infrastructure. The total increase in the City of Chubbuck’s investment in capital assets for the fiscal year
was $9,360,972 . The increase in assets includes development contributions of $3,752,542 .
22
Additional information on the City of Chubbuck’s capital assets can be found in note 9 on page 42-43 of
the City’s financials.
Long -term debt. At the end of the current fiscal year, the City of Chubbuck had a total long -term debt
outstandi ng of $19,131,106 . Of this amount, $9,122,101 is comprised of notes to the Department of
Environmental Quality for wastewater infrastructure. Long -term debt also includes bonds with a
remaining balance of $460,000 used for purchasing water rights . The City had a DEQ note payable for
water tank repairs with a remaining balance of $58,821, a note payable for water distribution with
remaining balance of $8,176,513, and a note payable for sanitation system setup with remaining
balance of $400,781.
In the State of Idaho statutes section 50-3108 , the State of Idaho mandates a general obligation debt
limit of 9 percent of the assessed market value of taxable property within the City boundaries. The City
of Chubbuck currently has general obligation debt with a remaining balance of $912,890. The limit
totaled $165,954,327 based on 2023’s actual assessed values of 1,843,936,970 . Therefore $165,041,437
is available for future general obligation indebtedness. Additional information on the City of Chubbuck’s
long -term debt can be found in note 11 on pages 44-46 of this report.
Request for information.
The financial report is designed to provide our patrons of the City of Chubbuck and creditors with a
general overview of the City’s finances and to show the City’s accountability for the money it receives. If
you have any questions about this report or need any additional financial information, contact the
Treasurer at 290 E. Linden Ave, Chubbuck, ID 83202, telephone (208)237-2400.
Governmental Business-type Development
Activities Activities Total Authority
ASSETS
Current assets
Cash and cash equivalents 11,471,235$ 20,864,513$ 32,335,748$ 2,524,950$
Property taxes receivable 579,702 - 579,702 16,706
Intergovernmental receivables 483,397 1,845 485,242 -
Interest receivable 20,687 3,342 24,029 -
Lease receivable 122,870 - 122,870 -
Grant receivable 350,000 3,078 353,078 -
Internal balances due to/from (3,341,635) 3,341,635 - -
Prepaid expenses - 37,456 37,456 3,593
Other accounts receivable 35,526 954,427 989,953 -
9,721,782 25,206,296 34,928,078 2,545,249
Noncurrent assets
Restricted assets
Bond reserves - 164,600 164,600 -
Utility deposits - 543,682 543,682 -
Investments - 2,334,420 2,334,420 -
Lease and subscripton assets 239,153 55,518 294,671 -
Accumulated amortization of assets (49,716) (23,621) (73,337) -
Capital assets 59,493,891 68,080,192 127,574,083 1,260,321
Accumulated depreciation (10,692,128) (14,165,730) (24,857,858) -
48,991,200 56,989,061 105,980,261 1,260,321
58,712,982 82,195,357 140,908,339 3,805,570
DEFERRED OUTFLOWS
Pension 1,729,597 706,567 2,436,164 -
LIABILITIES
Current liabilities
Accounts payable 1,087,398 466,057 1,553,455 2,127
Accrued payroll 88,380 47,992 136,372 -
Accrued bond interest - 1,633 1,633 -
Interest payable 3,343 1,071,946 1,075,289 -
Unearned revenue 236,881 120,409 357,290 -
Current portion compensated absences 97,523 30,904 128,427 -
Current portion of bonds payable - 152,355 152,355 56,198
Current portion of long-term debt 89,750 1,325,780 1,415,530 -
Health Claims incurred but not reported - 108,801 108,801 -
Utility deposits - 543,682 543,682 -
1,603,275 3,869,559 5,472,834 58,325
Noncurrent liabilities
Bonds payable, net unamortized premium - 329,711 329,711 1,292,891
Notes payable 823,140 16,432,435 17,255,575 -
Lease and subscription obligation 156,987 30,007 186,994 -
Accrued compensated absences 390,092 123,619 513,711 -
Net pension liabilities 4,325,243 1,766,927 6,092,170 -
5,695,462 18,682,699 24,378,161 1,292,891
7,298,737 22,552,258 29,850,995 1,351,216
DEFERRED INFLOWS
Certificate of participation 8,467,064 5,359,389 13,826,453 -
NET POSITION
Net investment in capital assets 48,801,763 44,796,281 93,598,044 -
Restricted - 164,600 164,600 2,368,237
Unrestricted (4,124,985) 10,029,396 5,904,411 86,117
44,676,778$ 54,990,277$ 99,667,055$ 2,454,354$
CITY OF CHUBBUCK, IDAHO
STATEMENTS OF NET POSITION
SEPTEMBER 30, 2023
23
See accompanying notes to financial statements
Program Revenues Total
Operating Capital Net
Charges for Grants and Grants and (Expense)Development
Expenses Services Contributions Contributions Revenue Authority
Functions/Programs
Primary Government:
Governmental activities:
General government 1,309,632$ 598,552$ 3,324,359$ -$ 2,613,279$ -$
Law enforcement 4,088,400 35,186 14,965 - (4,038,249) -
Fire control 2,221,199 72 - - (2,221,127) -
Highway, streets, and roads 2,490,247 - - 2,211,701 (278,546) -
Parks and recreation 913,966 21,696 - - (892,270) -
Community services 508,245 - - - (508,245) -
Other special funds 25,500 - 8,084 - (17,416) -
11,557,189 655,506 3,347,408 2,211,701 (5,342,574) -
Business-type activities
Water 3,514,768 3,540,200 17,955 1,072,687 1,116,074 -
Sewer 3,872,609 5,348,899 - 468,155 1,944,445 -
Sanitation 2,449,593 2,283,471 - - (166,122) -
Health plan trust 1,595,925 1,992,780 - - 396,855 -
CIAWWC Authority 3,100 - - - (3,100) -
11,435,995 13,165,350 17,955 1,540,842 3,288,152 -
Total primary government 22,993,184$ 13,820,856$ 3,365,363$ 3,752,543$ (2,054,422)$ -$
Component Unit:
Chubbuck Development Authority 1,803,028$ - - - (1,803,028)$
1,803,028$ - - - (1,803,028)$
General Business-type Development
Activities Activities Total Authority
Net (expense)/revenue (5,342,574)$ 3,288,152$ (2,054,422)$ (1,803,028)$
General revenues
Property taxes 7,132,094 - 7,132,094 2,722,800
Franchise fees 250,217 - 250,217 -
Intergovernmental income 3,074,050 - 3,074,050 -
Interest income 404,942 442,312 847,254 50,894
Gain from asset disposal 18,169 - 18,169 -
Other revenue 612,016 10,802 622,818 32,074
11,491,488 453,114 11,944,602 2,805,768
NET CHANGE IN NET POSITION 6,148,914 3,741,266 9,890,180 1,002,740
BEGINNING NET POSITION 38,527,864 51,249,011 89,776,875 1,451,614
ENDING NET POSITION 44,676,778$ 54,990,277$ 99,667,055$ 2,454,354$
CITY OF CHUBBUCK, IDAHO
STATEMENTS OF ACTIVITIES
FOR THE YEAR ENDED SEPTEMBER 30, 2023
24
See accompanying notes to financial statements
Highway,
Streets,Other
General and Roads Governmental
Fund Fund Funds Total
ASSETS
Cash 7,800,235$ 1,179,226$ 2,491,774$ 11,471,235$
Accounts receivable 6,826 28,700 - 35,526
Property taxes receivable 566,861 12,841 - 579,702
Intergovernmental receivables 173,156 305,937 - 479,093
Interest receivable 20,687 - - 20,687
Lease receivable 122,870 - - 122,870
Grant receivable 350,000 - - 350,000
9,040,635$ 1,526,704$ 2,491,774$ 13,059,113$
LIABILITIES
Accounts payable 633,562$ 453,836$ -$ 1,087,398$
Accrued payroll 75,732 12,648 - 88,380
Accrued compensated absences 82,690 14,833 - 97,523
Interest Payable - 3,343 - 3,343
Due to other funds - 3,341,635 - 3,341,635
791,984 3,826,295 - 4,618,279
DEFERRED INFLOWS OF RESOURCES
Unavailable revenues - taxes 71,563 10,693 - 82,256
Unavailable revenues - prepaid 119,150 - - 119,150
Unavailable revenues - leases 117,731 - - 117,731
308,444 10,693 - 319,137
FUND BALANCES
Committed - - 2,491,774 2,491,774
Unassigned 7,940,207 (2,310,284) - 5,629,923
7,940,207 (2,310,284) 2,491,774 8,121,697
9,040,635$ 1,526,704$ 2,491,774$
Amounts reported for governmental activities in the Statement of Net Position
are different because:
Capital assets used in governmental activities are not financial resources and, therefore,
are not reported in the funds, net of accumulated depreciation of $10,692,128.48,801,763
Lease assets are not reported in the funds, net of amortization 189,437
Unavailable revenue represents amounts that were not available to fund current
expenditures and therefore are not reported in the funds:
Property tax 82,256
Deferred outflows and inflows of resources related to pensions and certificate of participation
are applicable to future periods and, therefore, are not reported in the fund:
Deferred outflows of resources related to pensions 1,729,597
-
(8,467,064)
employee health insurance and equipment maintenance to individual funds.
The assets and liabilities of the internal services funds applicable to governmental
activities are included in governmental activities in the statement of net position.4,304
Long-term liabilities are not due and payable in the current period and therefore are not
reported in the funds:
Lease liability (156,987)
Note payable (912,890)
Accrued compensated absences (390,092)
Net pension asset/(liability)(4,325,243)
Net position of governmental funds 44,676,778$
Internal service funds are used to charge the costs of certain activities, such as
Deferred inflows of resources related to certificates of participation
CITY OF CHUBBUCK, IDAHO
BALANCE SHEET
GOVERNMENTAL FUNDS
SEPTEMBER 30, 2023
Deferred inflows of resources related to pensions
25
See accompanying notes to financial statements
Highway,
Streets,Other
General and Roads Governmental
Fund Fund Funds Total
REVENUES
Property taxes 6,216,172$ 943,665$ -$ 7,159,837$
Franchise fees 250,217 - - 250,217
Intergovernmental income 2,002,540 1,071,510 - 3,074,050
Court Revenue 35,076 - - 35,076
Parks revenue 18,224 - - 18,224
Licenses, permits and fees 461,613 - - 461,613
Grants 3,246,648 92,676 - 3,339,324
Fire protection and prevention 72 - - 72
Law enforcement 110 - - 110
Leases and rents 136,939 - - 136,939
Interest income 337,454 29,036 38,452 404,942
Donations 8,084 - - 8,084
Charges for services 3,472 - - 3,472
Other revenues 45,648 18,895 798,237 862,780
12,762,269 2,155,782 836,689 15,754,740
EXPENDITURES
General government 1,050,464 - - 1,050,464
Law enforcement 3,970,167 - - 3,970,167
Fire control 1,972,237 - - 1,972,237
Highway, streets, and roads - 1,958,654 - 1,958,654
Parks and recreation 775,584 - - 775,584
Community services 482,760 - - 482,760
Other purchased services - - 25,500 25,500
Capital outlays 4,635,222 97,926 85,134 4,818,282
Lease and subscription capital outlays 88,628 9,419 - 98,047
Debt service
Equipment note payable principle expense 87,110 - - 87,110
Principal lease and subscription expense 54,474 110 - 54,584
Interest expense 27,167 3,360 - 30,527
13,143,813 2,069,469 110,634 15,323,916
EXCESS OF REVENUES OVER
(UNDER) EXPENDITURES (381,544) 86,313 726,055 430,824
OTHER FINANCING SOURCES (USES)
Proceeds from debt 1,000,000 - - 1,000,000
Proceeds from certificate of participation 3,665,816 - - 3,665,816
Proceeds from leases and subscriptions 88,627 9,419 98,046
Proceeds from sale of assets 18,169 - - 18,169
Transfers in (out)95,732 (95,732) - -
4,868,344 (86,313) - 4,782,031
NET CHANGE IN FUND BALANCES 4,486,800 - 726,055 5,212,855
BEGINNING FUND BALANCE 3,453,407 (2,310,284) 1,765,719 2,908,842
ENDING FUND BALANCE 7,940,207$ (2,310,284)$ 2,491,774$ 8,121,697$
CITY OF CHUBBUCK, IDAHO
STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
GOVERNMENTAL FUNDS
FOR THE YEAR ENDED SEPTEMBER 30, 2023
26
See accompanying notes to financial statements
(Continued)
Total
Reconciliation of the change in fund balances - total governmental funds
to the change in net position of governmental activities:
Net change in fund balances - total governmental funds 5,212,855$
Contributed capital assets 2,211,701
Capital asset purchases capitalized 4,818,282
Depreciation expense (1,129,274)
5,900,709
The net affect of sales transactions involving capital assets
12,736
Unavailable revenues are not recorded as current period receipts (27,743)
(250,764)
Accrued compensated absences (19,774)
Net proceeds from debt (912,890)
Pension expense in excess of contributions (448,429)
Certificate of participation proceeds in excess of deferred inflows (3,317,786)
Change in net position 6,148,914$
STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
GOVERNMENTAL FUNDS
CITY OF CHUBBUCK, IDAHO
Governmental funds report proceeds from certificate of participation as other financing sources.
However, in the Statement of Net Activities they are reported as lease expense net of amortized
deferred inflows:
Governmental funds report district pension contributions as expenditures. However, in the
Statement of Activities, the cost of pension benefits earned net of employee contributions is
reported as pension expense
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 fund:
FOR THE YEAR ENDED SEPTEMBER 30, 2023
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 assets.Capital asset
contributions from other entities are not recognized as a revenue for governmental purposes, but
are required to be recognized on the Statement of Activities:
Internal service funds are used to charge the costs of certain activities, such as employee health
insurance and equipment maintenance to individual funds. The revenues and expenses
applicable to governmental operations are included in the statement of activities
The net affect of lease agreements that are reported in the Statement of Activities,but do not
provide current financial resources and are not reported in the governmental funds.
27
See accompanying notes to financial statements
Water Sewer Sanitation
Health Plan
Trust CIAWWCA Total 2022
Internal
Service
Funds 2023
Internal
Service
Funds 2022
ASSETS
Current assets
Cash and cash equivalents 6,375,002$ 10,927,393$ 2,290,338$ 1,271,780$ -$ 20,864,513$ 18,233,162$ -$ $346,779
Accounts receivable 352,396 406,228 195,803 - - 954,427 943,415 6,149 17,604
Grant receivable 3,078 - - - - 3,078 - - -
Interest receivable - 3,342 - - - 3,342 3,474 - -
Prepaid expense - - - 37,456 - 37,456 13,632 - -
6,730,476 11,336,963 2,486,141 1,309,236 - 21,862,816 19,193,683 6,149 364,383
Noncurrent assets
Restricted assets
Bond reserves 164,600 - - - - 164,600 168,950 - -
Utility deposits 539,372 3,490 820 - - 543,682 476,085 - -
Investments 1,889,355 - 445,065 - - 2,334,420 2,269,090 - -
Capital assets 32,953,370 27,366,821 7,498,916 - - 67,819,107 65,502,145 261,085 261,085
Accumulated depreciation (5,827,229) (5,330,693) (2,750,374) - - (13,908,296) (11,863,213) (257,434) (256,147)
Lease and subscription assets 18,910 18,909 17,699 - - 55,518 17,121 - -
Accumulated amortization (8,057) (8,056) (7,508) - - (23,621) (3,928) - -
Due from other funds - 3,341,635 - - - 3,341,635 3,473,571 - -
29,730,321 25,392,106 5,204,618 - - 60,327,045 60,039,821 3,651 4,938
36,460,797 36,729,069 7,690,759 1,309,236 - 82,189,861 79,233,504 9,800 369,321
DEFERRED OUTFLOWS
Pension 243,605 225,621 237,341 - - 706,567 998,160 - -
LIABILITIES
Current Liabilities
Accounts payable 63,971 323,825 71,897 215 - 459,908 413,535 6,149 17,604
Payroll payable 17,166 14,892 15,934 - - 47,992 40,937 - -
Health Claims incurred but not reported - - - 108,801 - 108,801 93,540 - -
Unearned contributions - - - 120,409 - 120,409 102,878 - -
Accrued compensated absences 12,988 12,293 5,623 - - 30,904 28,214 - -
Current portion of bonds payable 152,355 - - - - 152,355 152,355 - -
Accrued bond interest 1,633 - - - - 1,633 1,996 - -
Current portion of long-term debt 373,752 852,545 99,483 - - 1,325,780 970,823 - -
Accrued note interest 1,070,738 - 1,208 - - 1,071,946 860,450 - -
Deposits 539,372 3,490 820 - - 543,682 476,085 - -
2,231,975 1,207,045 194,965 229,425 - 3,863,410 3,140,813 6,149 17,604
Noncurrent Liabilities
Revenue bonds payable,
net unamortized premium 329,711 - - - - 329,711 482,066 - -
Notes payable 7,861,582 8,269,555 301,298 - - 16,432,435 17,757,850 - -
Compensated absences 51,952 49,174 22,493 - - 123,619 112,853 - -
Lease and subscription liabilities 10,382 10,382 9,243 - - 30,007 13,164 - -
609,189 564,215 593,523 - - 1,766,927 1,879,448 - -
8,862,816 8,893,326 926,557 - - 18,682,699 20,245,381 - -
11,094,791 10,100,371 1,121,522 229,425 - 22,546,109 23,386,194 6,149 17,604
DEFERRED INFLOWS
Pension - - - - - - 21,977 - -
Certificate of participation 1,879,359 1,886,505 1,593,525 - - 5,359,389 5,671,131 - -
NET POSITION
Net investment in capital assets 18,408,741 22,036,128 4,347,761 - - 44,792,630 43,392,235 3,651 4,938
Restricted for bond service 164,600 - - - - 164,600 168,950 - -
Unrestricted 5,156,911 2,931,686 865,292 1,079,811 - 10,033,700 7,591,177 - 346,779
23,730,252$ 24,967,814$ 5,213,053$ 1,079,811$ -$ 54,990,930 51,152,362$ 3,651$ 351,717$
(653)
54,990,277$
Adjustment to reflect the consolidation of internal service fund activities related to enterprise activities.
WITH COMPARATIVE TOTALS FOR THE YEAR ENDED SEPTEMBER 30, 2022
CITY OF CHUBBUCK, IDAHO
STATEMENTS OF NET POSITION
PROPRIETARY FUNDS
SEPTEMBER 30, 2023
Net pension liabilities
28
See accompanying notes to financial statements
Water Sewer Sanitation
Health Plan
Trust CIAWWCA Total 2022
Internal
Service
Funds 2023
Internal
Service
Funds 2022
OPERATING REVENUES
Service revenue 3,058,134$ 5,348,899$ 2,283,471$ 1,992,780$ -$ 12,683,284$ 11,310,353$ 102,173$ 331,798$
Charges for services 482,066 - - - - 482,066 634,420 - -
3,540,200 5,348,899 2,283,471 1,992,780 - 13,165,350 11,944,773 102,173 331,798
OPERATING EXPENSES
Administration - - - 56,799 - 56,799 54,322 - -
Salaries and wages 766,941 666,227 717,258 - - 2,150,426 2,062,374 - -
Personnel benefits 336,391 306,468 349,535 1,140,432 - 2,132,826 2,289,813 - -
Repairs and maintenance 270,673 172,418 690,680 - - 1,133,771 1,209,271 6,432 13,766
Equipment and supplies 431,137 129,346 291,041 - - 851,524 892,491 86,973 279,023
Travel, meetings, and training 24,740 11,827 5,594 - - 42,161 25,004 15 48
Telephone and communications 9,508 6,165 8,288 - - 23,961 22,518 - -
Utilities 241,100 55,009 10,821 - - 306,930 265,568 8,753 9,978
Treatment - Pocatello - 1,624,222 - - - 1,624,222 1,511,891 - -
Certificate of participation payment 40,416 40,570 34,270 - - 115,256 236,203 - -
Other purchased services 52,335 - - 348,000 - 400,335 376,247 349,584 -
Professional services 70,216 41,734 3,128 50,694 3,100 168,872 99,229 - -
Bad debt 5,539 563 188 - - 6,290 5,407 - -
Depreciation 931,027 811,256 316,826 - - 2,059,109 1,903,510 1,287 1,287
Lease and subscription amortization 6,742 6,742 6,211 - - 19,695 3,928 - -
3,186,765 3,872,547 2,433,840 1,595,925 3,100 11,092,177 10,957,776 453,044 304,102
OPERATING INCOME 353,435 1,476,352 (150,369) 396,855 (3,100) 2,073,173 986,997 (350,871) 27,696
NONOPERATING REVENUE (EXPENSE)
Interest income 120,894 184,408 51,228 - - 356,530 33,070 2,805 651
Investment income 67,334 - 15,106 - - 82,440 (196,429) - -
Note interest income - 3,342 - - - 3,342 3,474 - -
Bond interest expense (16,232) - - - - (16,232) (20,445) - -
Note interest expense (214,407) - (15,696) - - (230,103) (350,676) - -
Lease and subscription interest expense (62) (62) (57) - - (181) (96) - -
Grant revenue 17,955 - - - - 17,955 228,000 - -
Miscellaneous revenue 2,157 2,157 3,388 - 3,100 10,802 4,599 - -
Gain (Loss) from asset disposal - - - - - - 7,626 - -
(22,361) 189,845 53,969 - 3,100 224,553 (290,877) 2,805 651
CAPITAL CONTRIBUTIONS
Developer contributions 1,072,687 468,155 - - - 1,540,842 3,057,586 - -
1,072,687 468,155 - - - 1,540,842 3,057,586 - -
CHANGES IN NET POSITION 1,403,761 2,134,352 (96,400) 396,855 - 3,838,568 3,753,706 (348,066) 28,347
BEGINNING NET POSITION 22,326,491 22,833,462 5,309,453 682,956 - 51,152,362 47,398,656 351,717 323,370
ENDING NET POSITION 23,730,252$ 24,967,814$ 5,213,053$ 1,079,811$ -$ 54,990,930$ 51,152,362$ 3,651$ 351,717$
(97,302)
Change in net position of business-type activities 3,741,266$
Adjustment to reflect the consolidation of internal service fund activities related to enterprise funds
CITY OF CHUBBUCK, IDAHO
for revenue bond:
Revenue used as security
STATEMENTS OF REVENUES, EXPENSES, AND CHANGES IN NET POSITION
PROPRIETARY FUNDS
FOR THE YEAR ENDED SEPTEMBER 30, 2023
WITH COMPARATIVE TOTALS FOR THE YEAR ENDED SEPTEMBER 30, 2022
29
See accompanying notes to financial statements
Water Sewer Sanitation
Health Plan
Trust CIAWWCA Total 2022
Internal
Service
Funds 2022
Internal
Service
Funds 2021
CASH FLOWS FROM OPERATING ACTIVITIES
Cash received from revenues 3,532,227$ 5,301,669$ 2,271,616$ 2,022,611$ -$ 13,128,123$ $11,861,024 116,433$ $314,845
Cash paid to suppliers (1,122,978) (2,038,877) (1,042,885) (1,581,158) (3,100) (5,788,998) (6,449,113) (463,212) (314,194)
Cash paid to employees (1,052,247) (906,919) (1,006,049) - - (2,965,215) (2,971,418) - -
Net cash provided by operating activities 1,357,002 2,355,873 222,682 441,453 (3,100) 4,373,910 2,440,493 (346,779) 651
CASH FLOW FROM NONCAPITAL FINANCING ACTIVITIES
Net change in interfund loans - 131,936 - - - 131,936 131,805 - -
Proceeds from grants 14,877 - - - 3,100 17,977 231,800 - -
Proceeds from deposits (payments)67,287 190 120 - - 67,597 71,004 - -
Net cash (used) in noncapital financing activities 82,164 132,126 120 - 3,100 217,510 434,609 - -
CASH FLOW FROM CAPITAL AND RELATED
FINANCING ACTIVITIES
Principal paid on debt (167,088) (852,545) (95,825) - - (1,115,458) (1,314,415) - -
Interest paid (26,524) - (16,033) - - (42,557) (50,798) - -
Proceeds from certificate of participation (109,318) (109,733) (92,691) - - (311,742) 368,762 - -
Proceeds from asset disposals - - - - - - 7,626 - -
Principal and interest paid on lease (7,265) (7,264) (7,206) - - (21,735) (4,053) - -
Purchase of capital assets (62,706) (62,748) (664,692) - - (790,146) (454,352) - -
Interest received - - - - - - - - -
Net cash provided (used) in capital and related
financing activities (372,901) (1,032,290) (876,447) - - (2,281,638) (1,447,230) - -
CASH FLOW FROM INVESTING ACTIVITIES
Cash paid from investments 12,369 - 4,741 - - 17,110 - - -
Interest proceeds 123,051 190,039 54,616 - - 367,706 (432,281) - -
Net cash provided by financing activities 135,420 190,039 59,357 - - 384,816 (432,281) - -
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS 1,201,685 1,645,748 (594,288) 441,453 - 2,694,598 995,591 (346,779) 651
BEGINNING CASH AND CASH EQUIVALENTS 5,877,289 9,285,135 2,885,446 830,327 - 18,878,197 17,882,606 346,779 346,128
ENDING CASH AND CASH EQUIVALENTS 7,078,974$ 10,930,883$ 2,291,158$ 1,271,780$ -$ 21,572,795$ 18,878,197$ -$ 346,779$
CASH AND CASH EQUIVALENTS ARE REPORTED AS:
Cash and cash equivalents 6,375,002$ 10,927,393$ 2,290,338$ 1,271,780$ -$ 20,864,513$ $18,233,162 -$ 346,779$
Cash and cash equivalents - Restricted 703,972 3,490 820 - - 708,282 645,035 - -
7,078,974$ 10,930,883$ 2,291,158$ 1,271,780$ -$ 21,572,795$ 18,878,197$ -$ 346,779$
CITY OF CHUBBUCK, IDAHO
STATEMENTS OF CASH FLOWS - PROPRIETARY FUNDS
FOR THE YEAR ENDED SEPTEMBER 30, 2023
WITH COMPARATIVE TOTALS FOR THE YEAR ENDED SEPTEMBER 30, 2022
30
See accompanying notes to financial statements
CITY OF CHUBBUCK, IDAHO
STATEMENTS OF CASH FLOWS - PROPRIETARY FUNDS
FOR THE YEAR ENDED SEPTEMBER 30, 2023
WITH COMPARATIVE TOTALS FOR THE YEAR ENDED SEPTEMBER 30, 2022
Water Sewer Sanitation
Health Plan
Trust CIAWWCA Total 2022
Internal
Service
Funds 2022
Internal
Service
Funds 2021
OPERATING INCOME 353,435$ 1,476,352$ (150,369)$ 396,855$ (3,100)$ 2,073,173$ 986,998$ (348,066)$ 28,347$
RECONCILIATION OF OPERATING INCOME TO
NET CASH PROVIDED BY OPERATING ACTIVITIES
Depreciation and amortization 937,769 817,998 323,037 - - 2,078,804 1,907,438 1,287 1,287
Pension expense 42,049 56,066 58,979 - - 157,094 256,574 - -
Bad debt expense 5,539 563 188 - - 6,290 5,407 - -
(Increase) decrease in assets
Accounts receivable (7,973) (47,230) (11,855) 49,756 (17,302) (68,167) 11,455 (17,604)
Prepaid expense 13,632 - - (37,456) - (23,824) - - -
Increase (decrease) in liabilities
Accounts payable 3,515 42,414 938 32,298 - 79,165 (551,641) (11,455) (11,379)
Payroll payable 2,334 2,034 2,687 - - 7,055 (74,402) - -
Accrued compensated absences 6,702 7,676 (923) - - 13,455 (21,714) - -
Total adjustments 1,003,567 879,521 373,051 44,598 - 2,300,737 $1,453,495 1,287 (27,696)
NET CASH PROVIDED BY OPERATING ACTIVITIES 1,357,002$ 2,355,873$ 222,682$ 441,453$ (3,100)$ 4,373,910$ 2,440,493$ (346,779)$ 651$
RECONCILIATIONS OF NET INCOME TO NET CASH
PROVIDED BY OPERATING ACTIVITIES
31
See accompanying notes to financial statements
Recreation
Programs
Trust Fund
2023 2022
Assets
Cash 14,309$ $33,105
14,309 33,105
Liabilities
Accounts payable - -
- -
Net Position
Held in trust 14,309$ 33,105$
CITY OF CHUBBUCK, IDAHO
STATEMENT OF NET POSITION
FIDUCIARY FUNDS
SEPTEMBER 30, 2023
WITH COMPARATIVE TOTALS AS OF SEPTEMBER 30, 2022
32
See accompanying notes to financial statements
Recreation
Programs Trust
Fund 2023 2022
Additions
Boys registration 19,940$ 19,214$
Girls registration 11,665 11,330
Tee/tiger registration 16,280 20,978
Boys sponsorship 5,200 3,451
Girls sponsorship 4,200 3,000
Other revenue 39 600
Total additions 57,324 58,573
Deductions
Boy's baseball 38,818 25,905
Girl's softball 13,948 12,227
Tee/tiger ball 13,582 14,435
Other expenses 9,772 10,709
Total deductions 76,120 63,276
Change in net position (18,796) (4,703)
Net position - beginning of the year 33,105 37,808
Net position - end of the year 14,309$ 33,105$
WITH COMPARATIVE TOTALS FOR THE YEAR ENDED SEPTEMBER 30, 2022
CITY OF CHUBBUCK, IDAHO
STATEMENTS OF REVENUES, EXPENSES, AND CHANGES IN NET POSITION
FIDUCIARY FUNDS
FOR THE YEAR ENDED SEPTEMBER 30, 2023
33
See accompanying notes to financial statements
CITY OF CHUBBUCK, IDAHO
NOTES TO FINANCIAL STATEMENTS (PAGE 1 OF 16)
NOTE 1 - Summary of Significant Accounting Policies
A.Reporting Entity
Primary Government
B.
a.
b.
The City's financial statements comply with generally accepted accounting principles (GAAP).GAAP includes all relevant Governmental
Accounting Standards Board (GASB)pronouncements within the codification.The government-wide financial statements,including the
enterprise funds and the fund financial statements for the proprietary funds,are also under GASB codification.The accounting and
reporting framework and the more significant accounting policies are discussed in subsequent subsections of this note.Applicable
GASB statements have been implemented through GASB 96 with the exception of those standards not required to be implemented.
The City’s financial reporting entity comprises the following:
In determining the financial reporting entity,the City complies with the provisions of GASB Statement No.61,“The Financial Reporting
Entity”.Currently,the City reports two component units;the Chubbuck Development Authority and the Chubbuck Impact Area Waste
Water Authority.
Discretely Presented Component Units
Chubbuck Development Authority (CDA)
One component unit reported in the combined financial statements represents the financial balances and transactions of the Chubbuck
Development Authority (CDA).CDA is a legally separate entity incorporated under the State of Idaho's urban renewal laws.CDA works
with the City to develop blighted areas within the City using tax increment financing to fund projects.These projects could include
providing infrastructure,purchasing land and demolishing blighted structures or rehabilitating structures to provide for low income
housing, among others. All non-private projects are donated to the City of Chubbuck.
Basis of Presentation
Government-wide Statements
The Statement of Net Position and Statement of Activities displays information about the reporting government as a whole.They
include all funds of the reporting entity except for fiduciary funds.The statements distinguish between governmental and business-type
activities.Governmental activities generally are financed through taxes,intergovernmental revenues,and other non-exchange
revenues. Business-type activities are financed in whole or in part by fees charged to external parties for goods or services.
Fund Financial Statements
The Board of Commissioners of the Authority consists of 7-9 members, which are appointed by the Mayor.
Complete financial statements of the Authority can be obtained from the City Clerk,City of Chubbuck,290 E.Linden Ave,Chubbuck,
Idaho 83202.
Blend Component Unit - Enterprise Fund
Chubbuck Impact Area Waste Water Collection Authority (CIAWWCA)
Effective September 1,2007,Bannock County,Idaho,City of Pocatello,Idaho and the City of Chubbuck,Idaho entered into a Joint
Powers Agreement creating the Chubbuck Impact Area Wastewater Collection Authority (CIAWWCA)for the purpose of financing,
designing,acquiring,constructing,managing,and operating a sewage collection facility along with transmission mains and lift stations.
The Authority is a public entity of the State of Idaho,therefore,the Authority's income is exempt form Federal and Idaho income taxes.
A two-member board governs the Chubbuck Impact Area Wastewater Collection Authority with one member representing the City of
Pocatello,and one member representing the City of Chubbuck.The City of Chubbuck provides loans to the Authority with no interest or
maturity date.Outstanding balance of loans to the authority were paid in full in 2022.During 2023,the operation of the Authority were
fully transferd to the City of Chubbuck.
Fund financial statements of the reporting entity are organized into funds,each of which is considered to be separate accounting entity.
Each fund is accounted for by providing a separate set of self-balancing accounts that constitute its assets,liabilities,fund equity,
revenues,and expenditures.Funds are organized into three major categories;governmental,proprietary,and fiduciary.An emphasis
is placed on major funds within the governmental and proprietary categories.A fund is considered major if it is the primary operating
fund of the City or meets the following criteria:
Total assets,liabilities,revenues or expenditures of that individual governmental or enterprise fund are at least 10 percent of the
corresponding total for all funds of that category or type.
Total assets,liabilities,revenues,or expenditures of the individual governmental fund or enterprise fund are at least 5 percent of
the corresponding total for all governmental and enterprise funds combined.
Page 34
CITY OF CHUBBUCK, IDAHO
NOTES TO FINANCIAL STATEMENTS (PAGE 2 OF 16)
NOTE 1 - Summary of Significant Accounting Policies (Continued)
B.
Highway, Streets, and Roads Fund
The City reports the following major proprietary funds:
The Water Fund accounts for the operations involved in collecting and distributing culinary water to the citizens of Chubbuck.
The Sewer Fund accounts for operations involved with the collection and treatment of sewer water.
The Sanitation Fund accounts for the operations for solid waste removal and disposal.
Central Garage
Each fund is allocated the costs of operations based on equipment maintenance and repairs to their departments.
Employee Health Benefit
B.
The City encourages its employees to live a healthy lifestyle.The idea is that if we have healthy employees,the health insurance
medical claims will remain low.The Employee Health Benefit Fund assists with costs like immunization,health screening,and weight
loss.
Proprietary funds distinguish “operating”revenues from “non-operating”revenues.Operating revenue is revenue generated from the
City's primary business activities.The operating revenues are produced through charges for services.Nonoperating revenue is the
portion of the City's revenue that is derived from activities not related to its core operations.
Fiduciary Funds
Fiduciary funds account for resources held for the purpose of parties outside the government.The City of Chubbuck accounts for the
Recreation Program Trust Fund.
The Recreation Program Trust Fund is used to account for assets held by the City for the use of the baseball and softball program. The
recreation program maintains the spending control of the fund.
Basis of Presentation (continued)
Internal Service Funds
The Health Plan Trust Fund provides optional health care benefits to City employees, dependents, and employees eligible through
Cobra. All medical and prescription drug coverages are paid by the City through contributions to the Trust. A third party administers the
benefits and receives a fee for processing claims.
The Highway, Streets, and Roads Fund accounts for revenue and expenditures used for the construction and maintenance of highways,
streets, and roads. It is a major fund.
Special Revenue Funds
Special Revenue Funds are used to account for the proceeds of specific revenue sources that are legally restricted to expenditures for
specific purposes.
Proprietary Funds
Enterprise Funds
Enterprise funds are used to account for business-like activities provided to the general public.These activities are financed primarily
by user charges and the measurement of financial activity focuses on net income measurement similar to the private sector.The
reporting entity includes the water, sewer, sanitation, health plan trust, Chubbuck Impact Area Wastewater Collection Authority funds.
Governmental Funds
General Fund
The General Fund is the general operating fund of the City and is always classified as a major fund.All financial resources,except
those required to be accounted for in another fund, are accounted for in the General Fund.
Basis of Presentation (continued)
Page 35
CITY OF CHUBBUCK, IDAHO
NOTES TO FINANCIAL STATEMENTS (PAGE 3 OF 16)
NOTE 1 - Summary of Significant Accounting Policies (Continued)
C. Measurement Focus and Basis of Accounting
a.
b.
D.
E. Cash and Cash Equivalents
For the purpose of the Statement of Net Position,“cash and cash equivalents”includes all demand,savings accounts,certificates of
deposits,and state investing pools of the City.For the purpose of the proprietary fund Statement of Cash Flows,“cash and cash
equivalents”include all demand and savings accounts,and certificates of deposit or short-term investments with an original maturity of
three months or less.
The effect of interfund activity has been eliminated from the government-wide financial statements.
Budgets and Encumbrances
Budgets are adopted on a basis consistent with generally accepted accounting principles.Annual appropriated budgets are adopted for
the general, highway, streets and roads, and special revenue funds. All annual appropriations lapse at fiscal year end.
Each month the City prepares a financial report that reflects the actual and budgeted financial data.A strict purchase order system is
used in controlling and maintaining expenditures within budget categories.This data is reviewed by the City Council.The City does not
use the encumbrance method of accounting.
All governmental funds utilize a “current financial resources”measurement focus.Only current financial assets and liabilities are
included on their balance sheets.Their operating statements present sources and uses of available spendable financial
resources during a given period.These funds use fund balance as their measure of available spendable financial resources at
the end of the period.
The proprietary fund utilizes an “economic resources”measurement focus.The accounting objectives of this measurement focus
are the determination of operating income,changes in net position (or cost recovery),financial position,and cash flows.All assets
and liabilities (whether current or noncurrent)associated with their activities are reported.Proprietary fund equity is classified as
net position.
Basis of Accounting
In the government-wide Statement of Net Position and Statement of Activities,both governmental and business-like activities are
presented using the accrual basis of accounting.Under the accrual basis of accounting,revenues are recognized when earned and
expenses are recorded when the liability is incurred or economic asset used.Revenues,expenses,gains,losses,assets,and liabilities
resulting from exchange and exchange-like transactions are recognized when the exchange takes place.
In the fund financial statements,governmental funds are presented on the modified accrual basis of accounting.Under this modified
accrual basis of accounting,revenues are recognized when “measurable and available.”Measurable means knowing or being able to
reasonably estimate the amount.Available means collectible within the current period or within sixty days after year end.Expenditures
(including capital outlay)are recorded when the related fund liability is incurred,except for general obligation bond principal and interest
which are reported when due.
All proprietary funds utilize the accrual basis of accounting.Under the accrual basis of accounting,revenues are recognized when
earned and expenses are recorded when the liability is incurred or economic asset used.
Measurement focus is a term used to describe “which”transactions are recorded within the various financial statements.Basis of
accounting refers to “when” transactions are recorded regardless of the measurement focus applied.
Measurement Focus
On the government-wide Statement of Net Position and the Statement of Activities,both governmental and business-like activities are
presented using the economic resources measurement focus as defined in item b. below.
In the fund financial statements,the “current financial resources”measurement focus or the “economic resources”measurement focus
is used:
Page 36
CITY OF CHUBBUCK, IDAHO
NOTES TO FINANCIAL STATEMENTS (PAGE 4 OF 16)
NOTE 1 - Summary of Significant Accounting Policies (Continued)
F.Fair Value Measurements of Assets and Liabilities
G.Capital Assets
20-30 years
15-20 years
7-10 years
5-7 years
H.Restricted Assets
Restricted assets include cash and investments of the proprietary fund that are legally restricted as to their use.The primary restricted
assets are related to utility deposits and bond reserve requirements.
When both restricted and unrestricted resources are available for use,it is the City's policy to use restricted resources first,then
unrestricted resources as they are needed.
Buildings
Other structures
Equipment
Vehicles
Fund Financial Statements
In the fund financial statements,capital assets used in governmental fund operations are accounted for as capital outlay expenditures of
the governmental fund upon acquisition.Capital assets used in proprietary fund operations are accounted for the same as in the
government-wide statements.
The accounting treatment for property,plant and equipment depends on whether the assets are used in governmental fund operations
or proprietary fund operations and whether they are reported in the government-wide or fund financial statements.
Government-wide Statements
In the government-wide financial statements,the assets are accounted for as capital assets.All capital assets are valued at historical
cost, or estimated historical cost if actual is unavailable, except for donated assets which are recorded at their estimated fair value at the
date of donation. Estimated historical cost was used to value the majority of the assets acquired prior to September 30, 2003.
Governmental fund infrastructure assets were not capitalized prior to October 1, 2003.
Depreciation of all exhaustible capital assets is recorded as an allocated expense in the Statement of Activities,with accumulated
depreciation reflected in the Statement of Net Position.Depreciation is provided over the assets’estimated useful lives using the
straight-line method of depreciation. The range of estimated useful lives by type of asset is as follows:
GAAP defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction
between market participants at the measurement date.GAAP establishes a fair value hierarchy for inputs used in measuring fair value
that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the most observable inputs
be used when available.Observable inputs are those that market participants would use in pricing the asset or liability based on market
data obtained from sources independent of the City.Unobservable inputs reflect the City's assumptions about the inputs market
participants would use in pricing the asset or liability based on the best information available.The fair value hierarchy is categorized into
three levels based on the inputs as follows:
Level 1 -Valuations based on quoted prices in active markets for identical assets or liabilities that City has the ability to access.Since
valuations are based on quoted prices that are readily and regularly available in an active market,valuation of these assets and
liabilities does not require a significant degree of judgement.
Level 2 - Valuations based on quoted prices in markets that are not active or for which all significant inputs are observable, either
directly or indirectly.
Level 3 - Valuations based on inputs that are unobservable, that is, inputs that reflect the City's own assumptions.
Capital assets,which include property,plant,equipment,and infrastructure assets (e.g.,roads,bridges,right of way and similar items),
are assets with an initial, individual cost of more than $25,000 and an estimated useful life in excess of one year.
Page 37
CITY OF CHUBBUCK, IDAHO
NOTES TO FINANCIAL STATEMENTS (PAGE 5 OF 16)
NOTE 1 - Summary of Significant Accounting Policies (Continued)
I.Lessor/Lessee Leases
J.Long-term Debt
K.Comparative data/reclassifications
L.Compensated Absences
M.Equity Classifications
a.
b.
c.
Assigned items-Assigned items represent the City's intent to use certain resources for specific purposes.The City Council may
establish the intended use of these funds for a designated purpose.
Restricted items -This category includes resources where limitations are imposed by external entities,such as grantors and creditors,or
to comply with laws and regulations of governments.
Committed items-This category includes amounts that can only be used for the specific purposes determined by a formal action of the
City's highest level of decision-making authority for the City.Commitments may be changed or lifted only by the Council taking the same
formal action that imposed the constraint originally.
Comparative total data for the prior year has been presented in the fund financial statements in order to provide an understanding of the
changes in assets and operations of these funds.Also,certain amounts presented in the prior year data have been reclassified in order
to be consistent with the current year's presentation.
The City’s policies regarding vacation time permit employees to accumulate earned but unused vacation leave.The liability for these
unpaid compensated absences is recorded as long-term debt in the government-wide statements.The current portion of this debt is
estimated based on historical trends.In the fund financial statements,governmental funds report only the compensated absence
liability payable from expendable available financial resources, while the proprietary funds report the liability as it is incurred.
The accounting treatment of long-term debt depends on whether the assets are used in governmental fund operations or proprietary
fund operations and whether they are reported in the government-wide or fund financial statements.
All long-term debt to be repaid from governmental and business-type resources are reported as liabilities in the government-wide
statements.The long-term debt consists primarily of notes payable,capital leases,capital subscriptions,and accrued compensated
absences.
Long-term debt for governmental funds is not reported as liabilities in the fund financial statements.Debt proceeds are reported as
other financing sources.Payment of principal and interest are reported as expenditures.The accounting for proprietary funds is the
same in the fund statements as it is in the government-wide statements.
Unrestricted - All other assets that do not meet the definition of “restricted” or “net investment in capital assets.”
Fund Statements
In the fund financial statements, governmental funds report the following classifications of fund balance:
Nonspendable items-This category includes a portion of net resources that cannot be spent because of their form or because they
must be maintained intact. This includes inventories and prepaid items.
Government-wide Statements
Equity is classified as net position and displayed in three components:
Net investment in capital assets -Consists of capital assets including capital assets,net of accumulated depreciation and
reduced by the outstanding balances of any bonds,mortgages notes,or other borrowings that are attributable to the acquisition,
construction, or improvement of these assets.
Restricted -Consists of assets with constraints placed on the use either by (1)external groups such as creditors,grantors,
contributors, or laws or regulations of other governments; or (2) law through constitutional provisions or enabling legislation.
The financial statements include the adoption of GASB Statement No. 87 Leases, and GASB Statement No. 96 Subscriptions. The
primary objective of these statements are to enhance the relevance and consistencesy of information about the City's leasing and
subscribing activities. These statements establish a model for lease and subscription accounting based on the principle that these
activities are financing the right to use an underlying asset. Under these Statements, a lessee or subscriber is required to recognize a
lease or subscription liability and an intangible right-to-use lease or subscription asset, and a lessor is required to recognize a lease
receivable and a deferred inflow of resources.
Page 38
CITY OF CHUBBUCK, IDAHO
NOTES TO FINANCIAL STATEMENTS (PAGE 6 OF 16)
NOTE 1 - Summary of Significant Accounting Policies (Continued)
M.
N.
O.
NOTE 2 - Legal Compliance - Budgets
NOTE 3 - Restricted Assets and Payable from Restricted Assets
Bond reserves 164,600$
Utility deposits 543,682
Total 708,282$
NOTE 4 -
NOTE 5 -Tax Abatements
The City has no tax abatement agreements as of September 30, 2023.
Property Tax
Bannock County has the responsibility of assessing and collecting all property taxes.Taxes levied for the year are payable in two
installments due December 20th of the current year and June 20th of the following year.The County remits property taxes collected to
the City monthly.
Property taxes are recognized as revenue when received for monthly reporting purposes.At year end,an accrual is made to recognize
property taxes receivable at year end.At year end,$579,702 in outstanding property taxes were expected to be collected and remitted
by the County.
Proprietary
Water deposits are collected from individuals who receive utility services from the City.Money on deposit may be used to pay past due
balances or is returned when the payer stops utility service. Restricted utility deposits totaled $543,682 at year-end.
Bond reserves are amounts the City is legally required to reserve for the repayment of outstanding bonds.
For purposes of measuring the net pension liability and pension expense,information about the fiduciary net position of the Public
Employee Retirement System of Idaho Base Plan (Base Plan)and additions to/deductions from Base Plan's fiduciary net position have
been determined on the same basis as they are reported by the Base Plan.For this purpose,benefit payments (including refunds of
employee contributions)are recognized when due and payable in accordance with the benefit terms.Investments are reported at fair
value.
Approximately six to seven months before the start of a new fiscal year,the City's financial officer submits to the City Council a
proposed operating budget for the fiscal year commencing the following October 1.The budget is prepared by fund at the function level
and includes information on the past year, current year estimates and requested appropriations for the next fiscal year.
The City Council holds public hearings and may add to,subtract from or change appropriations,but may not change the form of the
budget.Any changes in the budget must be within the revenues and reserves estimated as available to the City or the revenue
estimates must be changed by an affirmative vote of a majority of the City Council. After public hearings and before the end of the fiscal
year, the City Council formally adopts the budget.
Budgetary control is exercised by function at the fund level.The City Manager is authorized to transfer budgeted appropriations within
individual funds,but cannot alter the appropriations on a fund level without City Council approval.Expenditures may not legally exceed
budgeted appropriations at the fund level. During the year, several supplementary appropriations may be necessary.
Assets have been set aside for special items and are restricted for that purpose.Restricted resources are used only after the
unrestricted resources are depleted. To date cash has been restricted for the following items:
Unassigned items -Represents the remainder of the City's equity in governmental fund-type balances in excess of the aforementioned
classifications.
It is the City's policy to use unrestricted fund balances in the following order: (1) Committed, (2) Assigned, (3) Unassigned.
Use of Estimates
The preparation of financial statements in conformity with generally accepted accounting principles requires the City to make estimates
and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results could differ from those estimates.
Pensions
Equity Classifications (continued)
Page 39
CITY OF CHUBBUCK, IDAHO
NOTES TO FINANCIAL STATEMENTS (PAGE 7 OF 16)
NOTE 6 -Cash, Cash Equivalents and Investments
Primary Government:
Deposits at year end consist of the following:
Deposits
Cash in bank - carrying amount Balance
Restricted 708,282$
Unrestricted 32,335,748
33,044,030$
Fiduciary Fund:Balance
Cash 14,309$
14,309$
Deposits
Investments
As of September 30, 2023, the City had the following investments:
More Than
Fair Value No Maturity 1-10 Years 10 Years Moody / S&P
Money Funds $ 18,850 $ 18,850 $ - $ - N/A
U.S. Government Bonds 2,334,420 - 2,334,420 - Aaa / AA+
Total Investments $ 2,353,270 $ 18,850 $ 2,334,420 $ -
Component Unit - Chubbuck Development Authority (CDA):
Deposits at year end consist of the following:
Deposits
Cash in bank - carrying amount
Unrestricted 2,524,950$
Custodial Credit Risk for deposits is the risk that,in the event of bank failure,the government's deposits may not be returned to it.At
year-end,the carrying amount of the City's deposits (cash and certificates of deposit)was $33,058,339 and the bank balance was
$29,027,828.The deposits were covered by collateralized accounts or federal depository insurance of $250,000 per bank.The City
uses various commercial banks to limit their exposure to custodial credit risk,however,some of the City's deposits including the State of
Idaho, Local Government Investment Pool (LGIP) at year-end were not insured nor collateralized in the amount of $2,688,752.
The State Treasurer's Investment Pools (LGIP)operates in accordance with appropriate state laws and regulations.The reported value
of the pools is the same as the fair value of the pool shares.
Maturities
The above investments are measured at fair market value based on the exit price for these investments at the fiscal year end date.
These are all considered to be measured on a Level 1 on the fair market value hierarchy.
Bank Deposits -Custodial Credit Risk for deposits is the risk that,in the event of bank failure,the government's deposits may not be
returned to it.At year-end the carrying amount and bank balance of CDA's deposits (cash and certificates of deposit)was $2,524,950.
At year-end,all the Authority's deposits were held in the LGIP.Deposits in the LGIP are not insured or guaranteed by the Federal
Deposit Insurance Corporation,the State of Idaho or any other government agency.CDA's deposits in the bank at year-end were fully
insured or collateralized.
The State Treasurer's Investment Pools (LGIP)operates in accordance with appropriate state laws and regulations.The reported value
of the pools is the same as the fair value of the pool shares.
Investments - The CDA has no investments
Page 40
CITY OF CHUBBUCK, IDAHO
NOTES TO FINANCIAL STATEMENTS (PAGE 8 OF 16)
NOTE 6 -Cash and Cash Equivalents and Investments (Continued)
Component Unit - Chubbuck Impact Area Waste Water Collection Authority (CIAWWCA):
Deposits at year end consist of the following:
Deposits
Cash in bank - carrying amount
Unrestricted $ -
NOTE 7 -Receivables and Deferred Inflow of Resources-Leases
Highway, Streets,
General and Roads Total
9,012 28,700 37,712
(2,186) - (2,186)
6,826 28,700 35,526
CIAWWC
Water Sewer Sanitation Authority Total
368,097$ 415,688$ 198,431$ -$ 982,216$
(15,701) (9,460) (2,628) - (27,789)
352,396$ 406,228$ 195,803$ -$ 954,427$
Fiscal Year
Principal
Payments
Interest
Payments Total Payments
2024 $ 51,310 1,289$ $ 52,599
2025 29,236 722 29,958
2026 7,437 560 7,997
2027 5,522 478 6,000
2028 5,604 396 6,000
2029 - 2033 23,762 738 24,500
122,871$ 4,183$ 127,054$
Governmental Activities
Beginning
Balance Additions Reductions
Ending
Balance
Lease Receivable 137,472$ $ 35,890 $ 50,492 $ 122,870
$ 137,472 $ 35,890 $ 50,492 $ 122,870
Governmental Activities
Beginning
Balance Additions Reductions
Ending
Balance
Deferred Inflow of Resources-Leases $ 134,560 $ 35,890 $ 52,719 $ 117,731
$ 134,560 $ 35,890 $ 52,719 $ 117,731
Receivables as of year-end for the City's governmental-type funds are as follows:
Accounts Receivables
Allowance for Doubtful Accounts
Governmental Activities
The City, as a lessor, had entered into lease agreements involving infrastructure, land and structures, and buildings. As of 9/30/23, the
City had a lease receivable balance of $122,870. The balance of the deferred inflow of resources was $117,731, and the lease revenue
balance was $52,720.
Principal and Interest Expected to Maturity
All trade receivables are shown net of allowance for doubtful accounts.Doubtful accounts are based on an aging delinquent balance
report.Historically 100%of property taxes have been collected,therefore,there is no allowance for uncollectible property tax
receivables.
Receivables as of year-end for the City's business-type funds are as follows:
Accounts Receivables
Allowance for Doubtful Accounts
Deposits and Investments - The CIAWWCA has no deposits or investments.
Bank Deposits -Custodial Credit Risk for deposits is the risk that,in the event of bank failure,the government's deposits may not be
returned to it.At year-end the carrying amount and bank balance of CIAWWCA's deposits (cash and certificates of deposit)was $0.At
year-end,all the Authority's deposits were held in a financial institution.All deposits were guaranteed by the Federal Deposit Insurance
Corporation and were not subject to custodial credit risk.
Page 41
CITY OF CHUBBUCK, IDAHO
NOTES TO FINANCIAL STATEMENTS (PAGE 9 OF 16)
NOTE 8 -
NOTE 9 - Changes in Assets
Beginning Ending
Balance Additions Deletions Balance
Nondepreciable assets
Land 2,817,480$ 389,857$ -$ 3,207,337$
Work in Process 14,583,066 5,367,668 - 19,950,734
Infrastructures 21,965,166 1,261,958 - 23,227,124
Buildings and Improvements 7,919,735 - - 7,919,735
Vehicles and Equipment 5,258,000 10,500 79,539 5,188,961
52,543,447 7,029,983 79,539 59,493,891
Accumulated Depreciation 9,642,393 1,129,274 79,539 10,692,128
42,901,054$ 5,900,709$ -$ 48,801,763$
Beginning Ending
Balance Additions Deletions Balance
Nondepreciable assets
$ 2,159,817 -$ -$ 2,159,817$
2,421,167 - - 2,421,167
Work in Process 989,097 - - 989,097
Buildings and Improvements 51,568,633 1,955,166 - 53,523,799
Vehicles and Equipment 8,624,516 375,824 14,028 8,986,312
65,763,230 2,330,990 14,028 68,080,192
Accumulated Depreciation 12,119,360 2,060,398 14,028 14,165,730
53,643,870$ 270,592$ -$ 53,914,462$
Beginning Ending
Balance Additions Deletions Balance
Vehicles and Equipment 141,108$ 86,205$ -$ 227,313$
141,108 86,205 - 227,313
Accumulated Amortization 7,869 36,664 - 44,533$
133,239$ 49,541$ -$ 182,780$
Beginning Ending
Balance Additions Deletions Balance
Equipment 17,120$ 3,829$ -$ 20,949$
17,120 3,829 - 20,949
Accumulated Amortization 3,928 4,621 - 8,549$
13,192$ (792)$ -$ 12,400$
A summary of general capital assets at year end is as follows:
Concentration of Credit Risk is the risk of loss attributed to the magnitude of an investment in a single issuer.Exclusive of the State of
Idaho LGIP,the City's deposits in any one issuer does not represent a concentration of total credit risk.The funds in the State of Idaho
LGIP are in a variety of investments which are required to have an A quality credit rating or better.
The City is subject to credit risk on deposits in banks that exceed the FDIC maximum insured balance amount.
A summary of general lease assets at year end is as follows:
A summary of proprietary type lease assets at year end is as follows:
Additionally,the City grants credit to customers in the City for utility service.This extension of credit potentially subjects the City to
credit risk.
Concentration of Credit Risk
Interest Rate Risk is the risk that changes in interest rates will adversely affect the value of a deposit.The City manages its exposure
to declines in fair value by limiting the average maturity of its deposits to one year or less, or redeemable on demand with no penalty.
A summary of proprietary type capital assets at year end is as follows:
Land
Water Rights
Credit Risk is the risk that an issuer or a counterparty to a deposit will not fulfill its obligations.The City seeks to minimize credit risk
through diversification of deposits within the choices allowed under state statutes.The City's investments in U.S.government bonds
were rated Aaa and AA+by Moody's and Standard &Poor's Investor Services,respectively.Idaho law requires the City to obtain the
safest investment rated by a nationally recognized standard rating service.
Page 42
CITY OF CHUBBUCK, IDAHO
NOTES TO FINANCIAL STATEMENTS (PAGE 10 OF 16)
NOTE 9 - Changes in Assets (Continued)
Beginning Ending
Balance Additions Deletions Balance
Software -$ 11,840$ -$ 11,840$
- 11,840 - 11,840
Accumulated Amortization - 5,183 - 5,183$
-$ 6,657$ -$ 6,657$
Beginning Ending
Balance Additions Deletions Balance
Software -$ 34,568$ -$ 34,568$
- 34,568 - 34,568
Accumulated Amortization - 15,073 - 15,073$
-$ 19,495$ -$ 19,495$
NOTE 10 - Lease and Subscription Payable
Lease
Principal and Interest Expected to Maturity
Fiscal Year
Principal
Payments
Interest
Payments Total Payments
2024 47,664$ 3,595$ 51,259$
2025 48,092 2,467 50,559
2026 39,417 1,312 40,729
2027 15,534 379 15,913
2028 92 1 93
150,799$ 7,754$ 158,553$
Fiscal Year
Principal
Payments
Interest
Payments Total Payments
2024 $ 4,466 147$ 4,613$
2025 3,813 100 3,913
2026 3,079 55 3,134
2027 772 23 795
2028 263 2 265
$ 12,393 $ 327 $ 12,720
Governmental Activities
Beginning
Balance Additions Reductions Ending Balance
Lease Liability 113,525 $ 86,204 $ 48,931 $ 150,798
113,525 $ 86,204 $ 48,931 $ 150,798
Business-Type Activities
Beginning
Balance Additions Reductions Ending Balance
Lease Liability $ 13,163.00 $ 3,829 $ 4,600 $ 12,392
$ 13,163.00 $ 3,829 $ 4,600 $ 12,392
A summary of general subscription assets at year end is as follows:
A summary of proprietary type subscription assets at year end is as follows:
Governmental Activities
Business-Type Activities
The City, as a lessee, had entered into lease agreements involving vehicles and equipment. As of 9/30/23, the City had a lease liability
balance of $163,190. The balance of the lease assets was $248,262, and the accumulated amortization balance was $53,082.
Page 43
CITY OF CHUBBUCK, IDAHO
NOTES TO FINANCIAL STATEMENTS (PAGE 11 OF 16)
NOTE 10 - Lease and Subscription Payable (Continued)
Subscription
Principal and Interest Expected to Maturity
Fiscal Year
Principal
Payments
Interest
Payments Total Payments
2024 6,037$ 195$ 6,232$
6,037$ 195$ 6,232$
Fiscal Year
Principal
Payments
Interest
Payments Total Payments
2024 $ 17,621 568$ 18,189$
$ 17,621.00 $ 568 $ 18,189
Governmental Activities
Beginning
Balance Additions Reductions Ending Balance
Subscription Liability -$ $ 11,840 $ 5,183 $ 6,657
$ - $ 11,840 $ 5,183 $ 6,657
Business-Type Activities
Beginning
Balance Additions Reductions Ending Balance
Subscription Liability $ - $ 34,563 $ 16,948 $ 17,615
$ - $ 34,563 $ 16,948 $ 17,615
NOTE 11 -
Accrued Compensated Absences:
Governmental Business-type
Current portion 97,523$ 30,904$
Noncurrent portion 390,092 123,619
487,615$ 154,523$
Long-term Debt:
Governmental Activities:
Current portion $ 89,750
Noncurrent portion 823,140
$ 912,890
Current portion $ 22,938
Noncurrent portion 35,883
$ 58,821
Business-Type Activities
The City had entered into subscription-based information technology agreements involving the use of software. As of 9/30/23, the City
had a subscription liability balance of $23,804. The balance of the subscription assets was $46408, and the accumulated amortization
balance was $20,256.
Governmental Activities
In 2006,the City refinanced a construction line of credit for a note payable with the Department of Environmental Quality (DEQ)with an
interest rate of 3.25% and semi-annual payments of $12,332 for 20 years.
Business-type activities:
On April 14,2022,the City issued a debt obligation to purchase an fire aerial ladder truck.Payments are due April 14,beginning April
14,2023.The debt was issued at 3.03%.The note was issued for $1,000,000 with a annual payment of $117,410 until the maturity
date of April 14, 2032.
Long-term Debt and Accrued Compensation
The City's long-term debt is segregated between the amounts to be repaid from governmental activities and amounts to be repaid from
business-type activities.
Page 44
CITY OF CHUBBUCK, IDAHO
NOTES TO FINANCIAL STATEMENTS (PAGE 12 OF 16)
NOTE 11 -
Outstanding
82,591$
4,709,255
4,255,142
75,112
9,122,100$
Less current portion 852,545
Noncurrent portion 8,269,555$
Current portion $ 350,813
Noncurrent portion 7,825,700
$ 8,176,513
Net Premium Principal Total
22,066$ 460,000$ 482,066$
22,066 460,000 482,066
Less current portion 7,355 145,000 152,355
Noncurrent portion 14,711$ 315,000$ 329,711$
Current portion 99,483$
Noncurrent portion 301,298
400,781$
Due from Due to
Highway, Streets, and Roads 3,341,635$ -$
Sewer Enterprise Fund - 3,341,635
3,341,635$ 3,341,635$
DEQ line of credit at zero percent interest, with biannual payment of $212,757 for 20 years, and a maturity date of May
17, 2033. Loan closed April 9, 2013.
DEQ line of credit at zero percent interest, with biannual payment of $3,266 for 20 years, and a maturity date of April
27, 2035. Loan closed January 31, 2011.
The City was authorized to borrowed $17,569,518 from the Department of Environmental Quality (DEQ)under four (4)separate loans.
The four (4) loans have zero percent interest rate and are required to be paid in biannual installments over 20 years.
DEQ line of credit at zero percent interest, with biannual payment of $5,499 for 20 years, and a maturity date of
November 1, 2030. Loan closed April 22, 2010.
DEQ line of credit at zero percent interest, with biannual payment of $204,750 for 20 years, and a maturity date of April
27, 2035. Loan closed March 5, 2015.
On October 1,2017,the Sewer Enterprise Fund loaned the Highway,Streets and Roads Fund,for the purpose of the Siphon Road
Interchange,the principal sum of $4,000,000 with an interest rate of .10%and an annual payment of $135,409.98 for 30 years.The first
payment being made on October 1, 2018 and then on the first day of October for each year thereafter until October 1, 2047.
Fund
Due To/Due From
With an original loan date of August 23,2023,the City received a loan award from the Department of Environmental Quality (DEQ)for
$9,222,747 at 2.75%interest.Principal and interest shall be paid in equal semi-annual installments of $301,377 over 20 years.The
loan is being used to finance the designing and constructing of a well in Copperfield Landing,additional water distribution lines
throughout the City, and the Hiline booster station.
Long-term Debt and Accrued Compensation (Continued)
Bond premiums,net amortization totaled $22,066.The bond premium and expenses are amortized over fifteen (15)years,the life of
the bond. Bond premium amortization of $7,355 for the year.
Notes Payable
The Water Revenue Bonds,Series 2011 was issued September 28,2011,for 15 years in the amount of $1,930,000 at a premium of
$110,330. The bond carries interest rates between 2 and 4.75% and a maturity date of September 1, 2026.
Bonds Payable:
Water Revenue Bond
On June 4,2008,the City issued a note to purchase assets needed in order to collect sanitation for the City.The note was issued at
5.25%.The note was refinanced in 2009.The note was issued for $1,375,000 with a monthly payment of $9,321 until the maturity date
of May 5, 2029.
Page 45
CITY OF CHUBBUCK, IDAHO
NOTES TO FINANCIAL STATEMENTS (PAGE 13 OF 16)
NOTE 11 -
Principal Interest Principal Interest
89,750$ 27,660.57$ 1,377,847$ 242,664$
92,469 24,941 1,400,960 225,224
95,271 22,139 1,395,913 207,822
98,157 19,253 1,238,618 189,422
101,132 16,278 1,165,095 179,743
436,112 33,528 5,954,987 753,001
- - 3,064,745 487,884
- - 2,620,051 183,953
912,890$ 143,801$ 18,218,216$ 2,469,713$
Changes in long-term liabilities
Beginning Ending Due within
Balance Additions Reductions Balance one year
Governmental activities
Notes payable -$ 1,000,000$ 87,110$ 912,890$ 89,750$
Compensated absences 462,897$ 539,625$ 514,907$ 487,615$ 97,523$
462,897$ 1,539,625$ 602,017$ 1,400,505$ 187,273$
Long-term portion 1,213,232$
Beginning Ending Due within
Balance Additions Reductions Balance one year
Business-type activities
Bonds payable 605,000$ -$ 145,000$ 460,000$ 152,355$
Notes payable 18,728,673 - 970,457 17,758,216 1,325,780
Compensated absences 141,067 209,462 196,006 154,523 30,904
19,474,740$ 209,462$ 1,311,463$ 18,372,739$ 1,509,039$
Long-term portion 16,863,700$
NOTE 12- Conduit Debt Obligations
NOTE 13- Stewardship, Compliance and Accountability
A. Deficit Fund Balance
At September 30, 2023, the City had a deficit fund balance in the amount of $2,310,284 in the Highway, Streets, and Roads fund. The
future revenues and reduction of an interfund loan will decrease the deficit fund balance.
2034-2038
2027
2029-2033
Long-term Debt and Accrued Compensation (Continued)
Annual Debt Service Requirements for bonds and notes payable
Year Ending Governmental Activities Business-type Activities
2039-2043
Long-term liability activity for the year was as follows:
September 30
2024
2025
2026
Conduit debt has been defined by Generally Accepted Accounting Principles (GAAP)as certain limited-obligation revenue bonds or
similar debt instruments issued by a local governmental entity for the express purpose of providing capital financing for a specific third
party that is not a part of the issuer's financial reporting entity.In November of 2019,the City issued Certificate of Participation (COP)in
the amount of $14,815,000,to provide the financial assistance needed to construct a new City Hall,remodel the existing City Hall into
Law Enforcement Headquarters and build a new Animal Control Facility.The COP is secured by the properties financed. The City has
entered into a lease back agreement to qualify for the conduit debt. Each year the city has the opportunity to disclose its intent to renew
the annual lease agreement. If the City does not renew the annual lease,the COP holders would have the rights to the assets. The
COP principal balance is reported as deferred inflows on the City’s financials and is not a long-term liability of the City. The option to
lease will expire in the year 2043.
There are no voluntary or limited obligations in regards to this Certificate of Participation.
2028
Page 46
CITY OF CHUBBUCK, IDAHO
NOTES TO FINANCIAL STATEMENTS (PAGE 14 OF 16)
NOTE 14-
Deferred Deferred
Outflows of Inflows of
Resources Resources
$ 1,044,196 $ -
603,225 -
- -
571,814 -
216,817 -
$ 2,436,052 $ -
Pension Liabilities, Pension Expense (Revenue), and Deferred Outflows of Resources and Deferred Inflows of Resources
Related to Pensions:
City contributions subsequent to the measurement date
$216,817 was 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 ending, September 30, 2023.
Pension Plan
Plan Description:
The City contributes to the Base Plan which is a cost-sharing multiple-employer defined benefit pension plan administered by Public
Employee Retirement System of Idaho (PERSI or System)that covers substantially all employees of the State of Idaho,its agencies
and various participating political subdivisions.The cost to administer the plan is financed through the contributions and investment
earnings of the plan.PERSI issues a publicly available financial report that includes financial statements and the required
supplementary information for PERSI. That report may be obtained on the PERSI website at www.persi.idaho.gov.
The benefit payments for the Base Plan are calculated using a benefit formula adopted by the Idaho Legislature.The Base Plan is
required to provide a 1%minimum cost of living increase per year provided the Consumer Price Index increases 1%or more.The
PERSI Board has the authority to provide higher cost of living increases to a maximum of the Consumer Price Index movement or 6%,
whichever is less; however, any amount above the 1% minimum is subject to review by the Idaho Legislature.
Member and employer contributions paid to the Base Plan are set by statute and are established as a percent of covered
compensation.Contribution rates are determined by the PERSI Board within limitations,as defined by state law.The Board may make
periodic changes to employer and employee contribution rates (expressed as percentages of annual covered payroll)that are adequate
to accumulate sufficient assets to pay benefits when due.
The Base Plan provides retirement,disability,death and survivor benefits of eligible members or beneficiaries.Benefits are based on
members'years of service,age,and highest average salary.Members become fully vested in their retirement benefits with five years of
credited service (5 months for elected or appointed officials).Members are eligible for retirement benefits upon attainment of the ages
specified for their employment classification.The annual service retirement allowance for each month of credited service is 2.0%(2.3%
for police/firefighters) of the average monthly salary for the highest consecutive 42 months.
Changes in assumptions or other inputs
Net difference between projected and actual earnings on pension plan investments
At September 30,2023, the City reported a liability for its proportionate share of the net pension liability. The net pension liability was
measured as of June 30, 2023, and the total pension liability used to calculate the net pension liability was determined by an actuarial
valuation as of that date. The City's proportion of the net pension liability was based on the City's share of contributions in the Base Plan
pension plan relative to the total contributions of all participating PERSI Base Plan employers. At June 30, 2023, the City's proportion
was .15265332 percent.
For the year ended September 30, 2023, the City recognized pension expense (revenue) of $1,633,014. At September 30, 2023, the
City reported deferred outflows of resources and deferred inflows of resources related to pensions from the following sources:
Differences between expected and actual experience
Responsibility for administration of the Base Plan is assigned to the Board comprised of five members appointed by the Governor and
confirmed by the Idaho Senate.State law requires that two members of the Board be active Base Plan members with at least ten years
of service and three members who are Idaho citizens not members of the Base Plan except by reason of having served on the Board.
Pension Benefits:
The contribution rates for employees are set by stature at 60%of the employer rate for general employees and 74%for police and
firefighters.As of June 30,2023 it was 7.16%for general employees and 9.13%for police and firefighters.The employer contribution
rate as a percent of covered payroll is set by the Retirement Board and was 11.94%general employees and 12.28%for police and
firefighters. The City's contributions were $774,988 for the year ended September 30, 2023.
Member and Employer Contributions:
Changes in the employer's proportion and differences between the employer's contributions and the
employer's proportionate contributions
Page 47
CITY OF CHUBBUCK, IDAHO
NOTES TO FINANCIAL STATEMENTS (PAGE 15 OF 16)
NOTE 14 -
2024 789,208$
2025 370,871
2026 1,153,722
2027 (94,566)
2.30%
3.05%
3.05%
1%
Contributing Members, Service Retirement Members, and Beneficiaries
General Employees and All Beneficiaries - Males Pub-2010 General Tables, increased 11%
General Employees and All Beneficiaries - Females Pub-2010 General Tables, increased 21%
Teachers - Males Pub-2010 Teacher Tables, increased 12%
Teachers - Females Pub-2010 Teacher Tables, increased 21%
Fire & Police - Males Pub-2010 Safety Tables, increased 21%.
Fire & Police - Females Pub-2010 Safety Tables, increased 26%.
Disabled Members - Males Pub-2010 Disabled Tables, increased 38%
Disabled Members - Females Pub-2010 Disabled Tables, increased 36%
The average of the expected remaining service lives of all employees that are provided with pensions through the System (active and
inactive employees)determined at July 1,2023 the beginning of the measurement period ended June 30,2022 is 4.6 and 4.4 for the
measurement period June 30, 2023.
Salary increases
Inflation
Salary inflation
Year ended September 30, 2023:
Pension Plan (Continued)
Other amounts reported as deferred outflows of resources and deferred inflows of resources related to pensions will be recognized in
pension expense (revenue) as follows:
An experience study was performed for the period July 1,2015 through June 30,2020,which reviewed all economic and demographic
assumptions including mortality.The Total Pension Liability as of June 30,2023 is based on the results of an actuarial valuation date
July 1,2023.
The long-term expected rate of return on pension plan investments was determined using the building block approach and a forward-
looking model in which best estimate ranges of expected future real rates of return (expected returns,net of pension plan investment
expense and inflation)are developed for each major asset class.These ranges are combined to produce the long-term expected rate of
return by weighing the expected future real rates of return by the target asset allocation percentage and by adding expected inflation.
Even though history provides a valuable perspective for setting the investment return assumption,the System relies primarily on an
approach which builds upon the latest capital market assumptions.Specifically,the System uses consultants,investment managers and
trustees to develop capital market assumptions in analyzing the System’s asset allocation.The assumptions and the System’s formal
policy for asset allocation are shown below.The formal asset allocation policy is somewhat more conservative than the current
allocation of System’s assets.
Investment rate of return 6.35%, net of investment expenses
Cost-of-living adjustments
Actuarial Assumptions:
Valuations are based on actuarial assumptions,the benefit formulas,and employee groups.Level percentages of payroll normal costs
are determined using the Entry Age Normal Cost Method.Under the Entry Age Normal Cost Method,the actuarial present value of the
projected benefits of each individual included in the actuarial valuation is allocated as a level percentage of each year’s earnings of the
individual between entry age and assumed exit age.The Base Plan amortizes any unfunded actuarial accrued liability based on a level
percentage of payroll. The maximum amortization period for the Base Plan permitted under Section 59-1322, Idaho Code, is 25 years.
The total pension liability in the June 30,2023 actuarial valuation was determined using the following actuarial assumptions,applied to
all periods included in the measurement:
Page 48
CITY OF CHUBBUCK, IDAHO
NOTES TO FINANCIAL STATEMENTS (PAGE 16 OF 16)
NOTE 14 -
Asset Class DB Plans Sick Leave
Fixed Income 30.0%50.0%
US/Global Equity 55.0%39.3%
International Equity 15.0%10.7%
Cash 0.0%0.0%
Total 100.0%100.0%
1% Decrease
(5.35%)
Current
Discount Rate
(6.35%)
1% Increase
(7.35%)
$ 10,956,517 $ 6,091,891 $ 2,115,972
NOTE 15 -
NOTE 16 -
Actuarial Assumptions: (continued)
Payables to the pension plan:
Pension Plan (Continued)
Discount Rate:
The discount rate used to measure the total pension liability was 7.05%.The projection of cash flows used to determine the discount
rate assumed that contributions from plan members will be made at the current contribution rate.Based on these assumptions,the
pension plans’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.The long-term expected rate of return was determined net of pension plan investment expense
but without reduction for pension plan administrative expense.
Sensitivity of the Employer's proportionate share of the net pension liability to changes in the discount rate:
The following presents the Employer's proportionate share of the net pension liability calculated using the discount rate of 6.35 percent,
as well as what the Employer's proportionate share of the net pension liability would be if it were calculated using a discount rate that is
1-percentage-point lower (5.35 percent) or 1-percentage-point higher (7.35 percent) than the current rate:
Detailed information about the pension plan's fiduciary net position is available in the separately issued PERSI financial report.
The best-estimate range for the long-term expected rate of return is determined by adding expected inflation to expected long-term real
returns and reflecting expected volatility and correlation. The capital market assumptions are as of 2023.
Pension plan fiduciary net position:
Employer's proportionate share of the net pension liability (asset)
PERSI issues a publicly available financial report that includes financial statements and the required supplementary information for
PERSI. That report may be obtained on the PERSI website at www.persi.idaho.gov.
At September 30,2023,the City reported payables to the defined benefit pension plan of $0 for legally required employer contributions
and $0 for legally required employee contributions which had been withheld from employee wages but not yet remitted to PERSI.
Risk Management
The City is exposed to various risks of loss. The City has obtained commercial insurance to reduce the risk of substantial losses.
The City has established a Health Plan Trust for medical benefits provided to City employees and covered dependents.Health benefits
were self-funded up to a specific stop loss amount of $50,000,and an aggregate attachment point of $934,314 for 2023.Coverage from
a private insurance company is maintained for individual claims in excess of $50,000 and for total claims in excess of the aggregate
attachment point..All claims handling procedures are performed by a third-party claims administrator.Incurred but not reported claims
have been accrued as a liability based upon a professional actuary estimate.The estimated liability does not include any allocated or
unallocated claims adjustment expense.All funds for the City participate in the program and make payments by way of the Health
Insurance Fund to the Health Plan Trust based on actuarial estimates of the amounts needed to pay claims and expenses.The claims
liability of $108,801 reported as incurred but not reported in the Health Plan Trust is based on the requirements of Governmental
Accounting Standards Board Statement No.10,which requires that a liability for claims be reported if information prior to the issuance
of the financial statements indicates that it is probable that a liability has been incurred at the date of the financial statements and the
amount of the loss can be reasonably estimated.
Subsequent Events
Subsequent events were evaluated up to May 3, 2024, the date the financial statements were available to be issued.
Page 49
REQUIRED SUPPLEMENTARY INFORMATION
50
Budgeted Amounts Variance
Actual Positive
Original Final Amounts (Negative)
Resources
Property taxes 6,133,412$ 6,133,412$ 6,216,172$ 82,760$
Franchise fees 240,000 240,000 250,217 10,217
Intergovernmental income 2,003,482 2,003,482 2,002,540 (942)
Court revenue 35,000 35,000 35,076 76
Parks revenue 10,000 10,000 18,224 8,224
Licenses, permits and fines 42,000 42,000 461,613 419,613
Grants - - 3,246,648 3,246,648
Fire protection and prevention - - 72 72
Law enforcement - - 110 110
Leases and rents 75,000 75,000 136,939 61,939
Interest income 100,000 100,000 337,454 237,454
Donations - - 8,084 8,084
Charges for services - - 3,472 3,472
Other resources - - 45,648 45,648
Amounts available for appropriations 8,638,894 8,638,894 12,762,269 4,123,375
Charges to appropriations
General government 820,326 820,326 1,050,464 (230,138)
Law enforcement 4,329,500 4,329,500 3,970,167 359,333
Fire control 2,145,613 2,145,613 1,972,237 173,376
Parks and recreation 748,569 748,569 775,584 (27,015)
Community services 516,886 516,886 482,760 34,126
Capital outlays 78,000 78,000 4,635,222 (4,557,222)
Lease and subscription capital outlays - - 88,628 (88,628)
Debt service
Equipment note payable principle expense - - 87,110 (87,110)
Principle retirement and lease finance - - 54,474 (54,474)
Interest expense - - 27,167 (27,167)
Total charges to appropriations 8,638,894 8,638,894 13,143,813 (4,504,919)
EXCESS OF REVENUES OVER
(UNDER) EXPENDITURES - - (381,544) (381,544)
Other Financing Sources
Proceeds from debt - - 1,000,000 1,000,000
Proceeds from certificate of participation - - 3,665,816 3,665,816
Proceeds from leases and subscriptions - - 88,627 88,627
Proceeds from sale of assets - - 18,169 18,169
Transfer in (out)- - 95,732 95,732
- - 4,868,344 4,868,344
NET CHANGE IN FUND BALANCE - - 4,486,800 4,486,800
BEGINNING FUND BALANCE - - 3,453,407 3,453,407
ENDING FUND BALANCE -$ -$ 7,940,207$ 7,940,207$
CITY OF CHUBBUCK, IDAHO
BUDGETARY COMPARISON SCHEDULE
GENERAL FUND
YEAR ENDED SEPTEMBER 30, 2023
51
Budgeted Amounts Variance
Actual Positive
Original Final Amounts (Negative)
Resources
Property taxes 945,540$ 945,540$ 943,665$ (1,875)$
Intergovernmental 1,354,460 1,354,460 1,071,510 (282,950)
Grant revenue - - 92,676 92,676
Interest Income - - 29,036 29,036
Other revenues - - 18,895 18,895
Amounts available for appropriations 2,300,000 2,300,000 2,155,782 (144,218)
Charges to appropriations
Highway Streets amd Roads - - 1,958,654 (1,958,654)
Salaries and personnel benefits 778,700 778,700 - 778,700
Supplies 7,500 7,500 - 7,500
Utilities 17,000 17,000 - 17,000
Building maintenance 10,000 10,000 - 10,000
Professional services 25,000 25,000 - 25,000
Street signing and marking 38,000 38,000 - 38,000
Street construction and maintenance 602,400 602,400 - 602,400
Equipment maintenance 192,500 192,500 - 192,500
Capital outlays 136,000 136,000 97,926 38,074
Lease and subscription capital outlays - - 9,419 (9,419)
Miscellaneous expenses 492,900 492,900 - 492,900
Debt Service
Principal lease and subscription expense - - 110 (110)
Interest expense - - 3,360 (3,360)
Total charges to appropriations 2,300,000 2,300,000 2,069,469 230,531
Excess of revenues over
(under) expenditures - - 86,313 86,313
Other financing sources (uses)
Proceeds from leases and subscriptions - - 9,419 9,419
Transfer in (out)- - (95,732) (95,732)
- - (86,313) (86,313)
NET CHANGE IN FUND BALANCE - - - -
BEGINNING FUND BALANCE - - (2,310,284) (2,310,284)
ENDING FUND BALANCE -$ - (2,310,284)$ (2,310,284)$
CITY OF CHUBBUCK, IDAHO
BUDGETARY COMPARISON SCHEDULE
HIGHWAY, STREETS AND ROADS
YEAR ENDED SEPTEMBER 30, 2023
52
2023 2022 2021 2020 2019 2018 2017 2016 2015
0.0015265332 0.001611476 0.001644693 0.001641301 0.001625296 0.001606905 0.001542148 0.00145924 0.001459012
6,091,891$ 6,347,214$ (129,895)$ 3,811,318$ 1,855,230$ 2,370,213$ 2,423,992$ 2,958,104$ 1,921,281$
6,464,312$ 6,327,525$ 6,112,874$ 5,820,108$ 5,496,835$ 5,142,733$ 4,764,551$ 4,225,127$ 4,072,262$
94.24%100.31%-2.12%65.49%33.75%46.09%50.88%70.01%47.18%
83.83%83.09%100.36%88.22%93.79%91.69%90.68%87.26%91.38%
CITY OF CHUBBUCK, IDAHO
Schedule of Employer's Share of Net Pension Liability
PERSI - Base Plan
Last 10 - Fiscal Years*
* 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
Data reported is measured as of June 30, 2023
Employer's portion of the net pension liability
(asset)
Employer's proportionate share of the net pension
liability (asset)
Employer's covered-employee payroll
Employer’s proportional share of the net pension
liability as a percentage of its covered-employee
payroll
Plan fiduciary net position as a percentage of the
total pension liability
53
2023 2022 2021 2020 2019 2018 2017 2016 2015
791,964$ 765,724$ 741,954$ 709,029$ 643,275$ 594,166$ 545,551$ 503,931$ 469,058$
791,964$ 765,724$ 741,954$ 709,029$ 643,275$ 594,166$ 545,551$ 503,931$ 469,058$
Contribution (deficiency) excess -$ -$ -$ -$ -$ -$ -$ -$ -$
Employer’s covered-employee payroll 6,336,434$ 6,254,019$ 6,154,443$ 6,009,444$ 5,597,869$ 5,318,395$ 4,568,504$ 4,536,572$ 4,225,217$
12.50%12.24%12.06%11.80%11.49%11.17%11.94%11.11%11.10%
Data is reported as a measurement of September 30, 2023.
* 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.
CITY OF CHUBBUCK, IDAHO
Statutorily required contribution
Schedule of Employer Contributions
PERSI – Base Plan
Last 10 – Fiscal Years *
Contributions in relation to the statutorily
required contribution
Contributions as a percentage of covered-
employee payroll
54
CITY OF CHUBBUCK, IDAHO
NOTES TO REQUIRED SUPPLEMENTARY INFORMATION
NOTE 1 -STEWARDSHIP, COMPLIANCE, AND ACCOUNTABILITY
A. Basis of Budgetary Accounting
B. Budgetary Information
GENERAL FUND
General government
The City is required by State law to adopt annual budgets on all governmental funds that cover a period
from October 1,through September 30.All adopted budgets are prepared in accordance with the
modified accrual basis of accounting and are adopted on a basis consistent with generally accepted
accounting principles.
The City had expenditures in excess of budget of $4,504,919 in the general government due to:an
increase of general expenditures for the expansion and remodel of office space.The City received
$3,665,816 in proceeds from Certificates of Participation,$1,000,000 in lease proceeds and used
available fund balances to cover the expenditures over budget.
Highway, Streets, and Roads
The City had actual expenditures below budget of $230,531.
55
OTHER SUPPLEMENTARY INFORMATION
56
CITY OF CHUBBUCK, IDAHO
COMBINING BALANCE SHEET
NONMAJOR GOVERNMENTAL FUNDS
SEPTEMBER 30, 2023
Law Street Juvenile Road Total
Fire Control Enforcement Park Guarantee Referral Court Projects Parks Nonmajor
Impact Fees Impact Fees Impact Fees Fund Fund Fund Fund Fund Funds
ASSETS
Cash 242,940$ 192,343$ 1,006,918$ 312,480$ 1,259$ 178,782$ 172,828$ 384,224$ 2,491,774$
FUND BALANCES
Committed, reported in:
Special revenue fund 242,940$ 192,343$ 1,006,918$ 312,480$ 1,259$ 178,782$ 172,828$ 384,224$ 2,491,774$
Special Revenue
57
Law Street Juvenile Road Total
Fire Control Enforcement Park Guarantee Referral Court Projects Parks Nonmajor
Impact Fees Impact Fees Impact Fees Fund Fund Fund Fund Fund Funds
REVENUES
Interest income 3,470$ 2,854$ 14,143$ 4,686$ 20$ 3,065$ 3,169$ 7,045$ 38,452$
Other revenues 88,402 63,658 503,585 98,453 - 44,139 - - 798,237
91,872 66,512 517,728 103,139 20 47,204 3,169 7,045 836,689
EXPENDITURES
Other purchased services - - 22,500 3,000 - - - - 25,500
Capital Outlays - - 85,134 - - - - - 85,134
- - 107,634 3,000 - - - - 110,634
EXCESS OF REVENUES OVER
(UNDER) EXPENDITURES 91,872 66,512 410,094 100,139 20 47,204 3,169 7,045 726,055
NET CHANGE IN FUND BALANCES 91,872 66,512 410,094 100,139 20 47,204 3,169 7,045 726,055
BEGINNING FUND BALANCE 151,068 125,831 596,824 212,341 1,239 131,578 169,659 377,179 1,765,719
ENDING FUND BALANCE 242,940$ 192,343$ 1,006,918$ 312,480$ 1,259$ 178,782$ 172,828$ 384,224$ 2,491,774$
Special Revenue
CITY OF CHUBBUCK, IDAHO
STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
NONMAJOR GOVERNMENTAL FUNDS
FOR THE YEAR ENDED SEPTEMBER 30, 2023
58
Employee
Central Health
Garage Benefit 2023 2022
Fund Fund Totals Totals
ASSETS
Current assets
Cash and cash equivalents -$ -$ -$ $346,779
Accounts receivable 6,149 - 6,149 17,604
6,149 - 6,149 364,383
Noncurrent assets
Restricted assets
Capital assets 261,085 - 261,085 261,085
Accumulated depreciation (257,434) - (257,434) (256,147)
3,651 - 3,651 4,938
9,800 - 9,800 369,321
LIABILITIES
Current Liabilities
Accounts payable 6,149 - 6,149 6,149
6,149 - 6,149 6,149
Noncurrent Liabilities
- - - -
6,149 - 6,149 6,149
NET POSITION
Net investment in capital assets 3,651 - 3,651 4,938
Unrestricted - - - 346,779
3,651$ -$ 3,651$ 351,717$
CITY OF CHUBBUCK, IDAHO
STATEMENTS OF NET POSITION
INTERNAL SERVICE FUNDS
SEPTEMBER 30, 2023
WITH COMPARATIVE TOTALS AS OF SEPTEMBER 30, 2022
59
Employee
Central Health
Garage Benefit 2023 2022
Fund Fund Totals Totals
OPERATING REVENUES
Interest earnings -$ 2,805$ 2,805$ $651
Service revenue 102,173 - 102,173 331,798
102,173 2,805 104,978 332,449
OPERATING EXPENSES
Repairs and maintenance 6,432 - 6,432 13,766
Equipment and supplies 86,448 - 86,448 276,413
Travel, meetings, and training 15 - 15 48
Fuels and lubricants 525 - 525 2,610
Utilities 8,753 - 8,753 9,978
Other purchased services - 349,584 349,584 -
Depreciation 1,287 - 1,287 1,287
103,460 349,584 453,044 304,102
OPERATING INCOME (LOSS)(1,287) (346,779) (348,066) 28,347
CHANGES IN NET POSITION (1,287) (346,779) (348,066) 28,347
BEGINNING NET POSITION 4,938 346,779 351,717 323,370
ENDING NET POSITION 3,651$ -$ 3,651$ 351,717$
CITY OF CHUBBUCK, IDAHO
STATEMENTS OF REVENUES, EXPENSES, AND CHANGES IN NET POSITION
INTERNAL SERVICE FUNDS
FOR THE YEAR ENDED SEPTEMBER 30, 2023
WITH COMPARATIVE TOTALS FOR THE YEAR ENDED SEPTEMBER 30, 2022
60
Central
Garage
Fund
Employee
Health
Benefit
Fund 2023 2022
CASH FLOWS FROM OPERATING ACTIVITIES
Cash received from revenues 113,628$ 2,805$ 116,433$ 314,845$
Cash paid to suppliers (113,628) (349,584) (463,212) (314,194)
Cash paid to employees - - - -
Net cash provided by operating activities - (346,779) (346,779) 651
CASH FLOW FROM NONCAPITAL FINANCING ACTIVITIES
Net cash (used) in noncapital financing activities - - - -
CASH FLOW FROM CAPITAL AND RELATED
FINANCING ACTIVITIES
Net cash provided (used) in capital and related
financing activities - - - -
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS - (346,779) (346,779) 651
BEGINNING CASH AND CASH EQUIVALENTS - 346,779 346,779 346,128
ENDING CASH AND CASH EQUIVALENTS -$ -$ -$ 346,779$
CASH AND CASH EQUIVALENTS ARE REPORTED AS:
Cash and cash equivalents -$ -$ -$ $346,779
Cash and cash equivalents - Restricted - - - -
-$ -$ -$ 346,779$
Central
Garage
Fund
Employee
Health
Benefit
Fund 2023 2022
OPERATING INCOME (LOSS)(1,287)$ (346,779)$ (348,066)$ 28,347$
RECONCILIATION OF OPERATING INCOME TO
NET CASH PROVIDED BY OPERATING ACTIVITIES
Depreciation 1,287 - 1,287 1,287
(Increase) decrease in assets
Accounts receivable 11,455 - 11,455 (17,604)
Increase (decrease) in liabilities
Accounts payable (11,455) - (11,455) (11,379)
Total adjustments 1,287 - 1,287 (27,696)
NET CASH PROVIDED BY OPERATING ACTIVITIES -$ (346,779)$ (346,779)$ 651$
PROVIDED BY OPERATING ACTIVITIES
CITY OF CHUBBUCK, IDAHO
STATEMENTS OF CASH FLOWS - INTERNAL SERVICE FUNDS
FOR THE YEAR ENDED SEPTEMBER 30,2023
WITH COMPARATIVE TOTALS FOR THE YEAR ENDED SEPTEMBER 30, 2022
RECONCILIATIONS OF NET INCOME TO NET CASH
61
Budgeted Amounts Variance
Actual Positive
Original Final Amounts (Negative)
Resources
Interest income - - 38,452.00$ 38,452.00$
Other resources - - 798,237 798,237
Amounts available for appropriations - - 836,689 836,689
Charges to appropriations
Park Impact Fees - - 107,634 (107,634)
Street guarantee fund - - 3,000 (3,000)
Total charges to appropriations - - 110,634 (110,634)
NET CHANGE IN FUND BALANCE - - 726,055 726,055
BEGINNING FUND BALANCE - - 1,765,719 1,765,719
ENDING FUND BALANCE -$ -$ 2,491,774$ 2,491,774$
CITY OF CHUBBUCK, IDAHO
BUDGETARY COMPARISON SCHEDULE
NONMAJOR GOVERNMENTAL FUNDS
FOR THE YEAR ENDED SEPTEMBER 30, 2023
62
STATISTICAL SECTION
63
Contents Page
Financial Trends 65-72
These schedules contain trend information to help the reader
understand how the City's financial performance and well-being
have changed over time.
Revenue Capacity 73-76
These schedulers contain information to help the reader assess
the City's most significant local revenue source, the property tax.
Debt Capacity 77-78
These schedules offer demographic and economic indicators to
help the reader understand the environment within which the
City's financial activities take place.
Operating Information 79-81
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.
Statistical Section
This part of the City of Chubbuck's comprehensive annual financial report presents 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.
Sources: Unless otherwise noted, the information in these schedules is derived from the comprehensive
annual financial reports for the relevant year.
CITY OF CHUBBUCK, IDAHO
64
2014 2015 2016 2017 2018 2019 2020 2021 2022 2023
Governmental activities:
Invested in capital assets, net of related debt 11,396,599$ 10,137,975$ 11,138,839$ 16,829,117$ 24,019,218$ 26,473,293$ 28,622,260$ 32,641,830$ 42,901,054$ 48,801,763$
Restricted - - - - - - - - - -
Unrestricted 4,130,936 4,532,072 6,181,447 3,212,484 547,753 (381,048) (1,695,666) (1,091,874) (4,373,190) (4,124,985)
Total governmental activities net position 15,527,535$ 14,670,047$ 17,320,286$ 20,041,601$ 24,566,971$ 26,092,245$ 26,926,594$ 31,549,956$ 38,527,864$ 44,676,778$
Business-type activities
Invested in capital assets, net of related debt 6,091,493$ 6,086,514$ 6,814,991$ 9,217,942$ 11,612,979$ 11,876,681$ 16,363,939$ 41,932,621$ 43,397,173$ 44,796,281$
Restricted 167,481 165,181 166,731 168,131 164,850 166,100 167,200 168,150 168,950 164,600
Unrestricted 16,145,285 18,460,974 21,272,113 22,001,056 21,704,355 25,076,744 24,496,821 5,378,964 7,682,888 10,029,396
Total business-type activities net position 22,404,259$ 24,712,669$ 28,253,835$ 31,387,129$ 33,482,184$ 37,119,525$ 41,027,960$ 47,479,735$ 51,249,011$ 54,990,277$
Primary government
Net investment in capital assets 17,488,092$ 16,224,489$ 17,953,830$ 26,047,059$ 35,632,197$ 38,349,974$ 44,986,199$ 74,574,451$ 86,298,227$ 93,598,044$
Restricted 167,481 165,181 166,731 168,131 164,850 166,100 167,200 168,150 168,950 164,600
Unrestricted 20,276,221 22,993,046 27,453,560 25,213,540 22,252,108 24,695,696 22,801,155 4,287,090 3,309,698 5,904,411
Total primary government net position 37,931,794$ 39,382,716$ 45,574,121$ 51,428,730$ 58,049,155$ 63,211,770$ 67,954,554$ 79,029,691$ 89,776,875$ 99,667,055$
City of Chubbuck
Net Position By Components
Last Ten Fiscal Years
(Accrual-Basis Accounting)
65
2014 2015 2016 2017 2018 2019 2020 2021 2022 2023
Expenses
Governmental activities:
General Government 443,813$ 542,494$ 896,297$ 880,217$ 862,299$ 836,698$ 1,537,463$ 1,348,508$ 1,153,148$ 1,309,632$
Law enforcement 2,771,003 2,868,345 3,188,507 3,310,717 3,447,266 3,492,557 3,896,661 3,288,219 3,922,815 4,088,400
Fire Control 1,335,240 1,519,108 1,360,246 1,307,106 1,417,951 1,556,572 1,939,749 1,802,233 2,166,198 2,221,199
Building Inspection 172,439 172,946 199,277 199,336 217,171 246,220 28,004 371,732 - -
Street 1,450,965 1,524,819 1,487,702 1,426,385 1,293,629 1,210,550 2,042,497 1,764,251 2,121,982 2,490,247
Parks & Recreation 484,041 529,372 591,638 601,054 653,878 623,328 636,713 802,354 879,101 913,966
Health and welfare 51,165 41,171 76,884 83,293 90,621 80,049 88,129 91,539 630,746 508,245
Other special funds 350 - 20,196 150 1,600 17,100 43,181 4,425 234,872 25,500
CIAWWC Authority 2,930 2,930 609,036 609,036 - - - - - -
Total governmental activities expenses 6,711,946 7,201,185 8,429,783 8,417,294 7,984,416 8,063,075 10,212,397 9,473,261 11,108,862 11,557,189
Business-type activities:
Water 1,560,406 1,781,501 1,793,535 1,726,443 2,111,162 2,028,807 2,440,008 2,742,104 3,494,695 3,514,768
Sewer 1,709,310 2,200,476 2,319,135 2,363,009 2,649,245 2,705,251 3,174,444 2,868,693 3,707,757 3,872,609
Sanitation 1,219,283 1,060,218 1,221,934 1,637,470 1,732,030 1,626,740 1,916,682 1,969,580 2,460,458 2,449,593
Health Plan Trust - - - - - - - 1,346,956 1,646,714 1,595,925
CIAWWC Authority - - - - 609,036 609,036 609,063 306,104 3,800 3,100
Total business-type activities program expenses 4,488,999 5,042,195 5,334,604 5,726,922 7,101,473 6,969,834 8,140,197 9,233,437 11,313,424 11,435,995
Total primary government program expenses 11,200,945 12,243,380 13,764,387 14,144,216 15,085,889 15,032,909 18,352,594 18,706,698 22,422,286 22,993,184
City of Chubbuck
Change in Net Position
Last Ten Fiscal Years
(Accrual-Basis Accounting)
66
City of Chubbuck
Change in Net Position
Last Ten Fiscal Years
(Accrual-Basis Accounting)
2014 2015 2016 2017 2018 2019 2020 2021 2022 2023
Program Revenues
Governmental activities:
Charges for services:
General Government 134,555 298,505 365,049 414,674 323,186 399,415 342,244 379,116 497,615 598,552
Law enforcement - 35,311 28,918 31,942 29,940 34,221 28,081 27,335 38,982 35,186
Fire control 232,992 197,261 211,041 214,172 237,675 176,925 61,832 5,009 23,963 72
Street - - - - 13,165 17,468 1,292 8,493 - -
Parks & Recreation 7,203 9,762 10,589 12,728 149,681 14,758 6,125 16,889 15,833 21,696
CIAWWC Authority - - - 10,980 - - - - - -
Operating grants and contributions 33,200 48,000 43,890 71,329 84,653 179,095 652,897 2,345,551 1,034,960 3,347,408
Capital grants and contributions - 916,767 2,667,268 2,354,109 3,644,635 1,019,354 1,253,033 2,253,204 5,322,013 2,211,701
Total governmental activities program revenues 407,950 1,505,606 3,326,755 3,109,934 4,482,935 1,841,236 2,345,504 5,035,597 6,933,366 6,214,615
Business-type activities:
Charges for services:
Water 2,422,542 2,680,920 2,783,945 2,728,684 2,896,320 2,983,977 2,944,986 3,167,282 3,256,843 3,540,200
Sewer 3,093,116 3,583,861 3,657,738 3,803,714 3,979,134 4,229,957 4,163,168 4,403,367 4,749,986 5,348,899
Sanitation 1,727,680 1,731,740 2,169,627 2,192,420 1,978,239 1,930,472 1,952,196 2,044,405 2,223,905 2,283,471
Health Plan Trust - - - - - - - 1,484,058 1,714,040 1,992,780
CIAWWC Authority - - - - 66,915 21,960 95,330 54,900 - -
Operating grants and contributions - 11,328 - 134,662 93,730 - - - - 17,955
Capital grants and contributions - - - - 228,000 1,045,754 2,785,144 3,228,076 3,285,586 1,540,842
Total business-type activities program revenues 7,243,338 8,007,849 8,611,310 8,859,480 9,242,338 10,212,120 11,940,824 14,382,088 15,230,360 14,724,147
Total primary government program revenues 7,651,288 9,513,455 11,938,065 11,969,414 13,725,273 12,053,356 14,286,328 19,417,685 22,163,726 20,938,762
Net(Expense)/Revenue
Governmental activities (6,303,996) (5,695,579) (5,103,028) (5,307,360) (3,501,480) (6,221,839) (7,866,893) (4,437,664) (4,175,496) (5,342,574)
Business-type activities 2,754,339 2,965,654 3,276,706 3,132,558 2,140,865 3,242,286 3,800,627 5,148,651 3,916,936 3,288,152
Total primary governmental net (expense)/revenue (3,549,657) (2,729,925) (1,826,322) (2,174,802) (1,360,615) (2,979,553) (4,066,266) 710,987 (258,560) (2,054,422)
67
City of Chubbuck
Change in Net Position
Last Ten Fiscal Years
(Accrual-Basis Accounting)
2014 2015 2016 2017 2018 2019 2020 2021 2022 2023
General Revenues and other Changes in Net Position
Governmental activities:
General Property taxes and sales tax 5,292,450 5,296,480 5,366,613 5,642,004 5,975,483 6,499,369 7,123,630 4,790,711 7,001,435 7,132,094
Franchise fees 203,790 198,493 199,194 201,328 203,950 189,494 186,818 195,483 254,956 250,217
Intergovernmental 903,149 1,021,666 1,311,704 1,323,581 1,373,948 1,403,606 1,187,121 3,241,504 3,223,432 3,074,050
Leases and rents 66,152 - - - - - - - - -
Interest income 60,651 76,828 90,432 98,064 157,760 182,445 160,617 97,869 131,771 404,942
Proceeds from sale of assets 11,154 - - - - - - - - -
Gain on sale of assets - 18,038 19,282 - 54,759 78 6,345 - 79,272 18,169
Capital contributions 1,286,887 - - - - - - - - -
Other revenue 14,366 41,828 766,042 763,697 199,888 186,953 36,711 735,459 462,538 612,016
Transfers in (out)(3,000) - - - - (534,080) - - - -
CIAWWC Authority 228,000 - - - - - - - - -
Total governmental activities 8,063,599 6,653,333 7,753,267 8,028,674 7,965,788 7,927,865 8,701,242 9,061,026 11,153,404 11,491,488
Business-type activities:
Interest income 574 - - - 4,000 106,283 105,808 24,178 (159,885) 442,312
Capital contributions 13,217 - - - - - - - - -
Gain on sale of assets - 2,530 86,100 736 11,252 - 2,000 800,418 7,626 10,802
Other revenue - - - - - - - - 4,599 -
Transfers in (out)3,000 100 - - - 534,080 - - - -
Total business-type activities 16,791 2,630 86,100 736 15,252 640,363 107,808 824,596 (147,660) 453,114
Total primary government 8,080,390 6,655,963 7,839,367 8,029,410 7,981,040 8,568,228 8,809,050 9,885,622 11,005,744 11,944,602
Changes in Net Position
Governmental Activities 1,759,603 957,754 2,650,239 2,721,314 4,464,308 1,706,026 834,349 4,623,362 6,977,908 6,148,914
Business-type activities 2,771,130 2,968,284 3,362,806 3,133,294 2,156,117 3,882,649 3,908,435 5,973,247 3,769,276 3,741,266
Total primary government 4,530,733$ 3,926,038$ 6,013,045$ 5,854,608$ 6,620,425$ 5,588,675$ 4,742,784$ 10,596,609$ 10,747,184$ 9,890,180$
68
2014 2015 2016 2017 2018 2019 2020 2021 2022 2023
General fund
Unassigned 2,933,821$ 2,952,093$ 3,410,321$ 3,939,114$ 1,239,050$ 107,771$ (589,351)$ 540,267$ 1,143,122$ 5,629,923$
Total General Fund 2,933,821 2,952,093 3,410,321 3,939,114 1,239,050 107,771 (589,351) 540,267 1,143,122 5,629,923
All Other Governmental Funds
Committed 511,696 554,175 565,911 453,040 516,555 658,913 910,503 1,566,814 1,765,720 2,491,774
Total all other governmental funds 511,696$ 554,175$ 565,911$ 453,040$ 516,555$ 658,913$ 910,503$ 1,566,814$ 1,765,720$ 2,491,774$
City of Chubbuck
Fund Balances of Governmental Funds
Last Ten Fiscal Years
(Modified Accrual-Basis of Accounting)
69
2014 2015 2016 2017 2018 2019 2020 2021 2022 2023
Revenues:
Property taxes and sales tax 5,295,493$ 5,349,772$ 5,375,566$ 5,627,360$ 5,930,753$ 6,405,974$ 7,131,017$ 4,895,548$ 7,040,950$ 7,159,837$
Franchise fees 203,790 198,493 199,194 201,328 203,950 189,494 186,818 195,483 254,956 250,217
Intergovernmental 903,149 1,021,666 1,311,704 1,323,581 1,373,948 1,403,606 1,187,121 3,241,504 3,223,432 3,074,050
Court Revenue - 35,311 28,918 31,942 29,940 34,221 28,081 27,335 28,549 35,076
Parks revenue 2,668 5,402 7,629 10,733 7,729 8,670 2,409 14,275 13,133 18,224
License, permits and fines 134,555 219,868 289,199 320,860 231,180 308,615 220,174 262,953 368,406 461,613
Grants 14,800 466,000 248,290 336,433 43,629 109,076 585,950 2,334,053 516,533 3,339,324
Fire protection and prevention 232,992 197,261 211,041 214,172 237,675 176,925 61,832 5,009 23,963 72
Law enforcement - - - - - - - - 10,433 110
Leases and rents 66,152 78,637 75,850 93,814 92,006 90,800 122,070 116,163 129,209 136,939
Interest income 60,651 76,828 90,432 98,064 157,760 182,445 160,617 97,869 131,771 404,942
Donations 18,400 38,000 23,600 40,149 41,024 70,019 66,947 11,498 518,427 8,084
Charges for services 4,535 4,360 2,960 12,975 155,117 23,556 5,008 11,107 2,700 3,472
Other revenues 14,366 41,827 19,063 65,897 86,449 184,022 249,999 720,616 449,760 862,780
Total Revenues 6,951,551 7,733,425 7,883,446 8,377,308 8,591,160 9,187,423 10,008,043 11,933,413 12,712,222 15,754,740
City of Chubbuck
Changes in Fund Balances of Governmental Funds
Last Ten Fiscal Years
(Modified Accrual-Basis of Accounting)
70
City of Chubbuck
Changes in Fund Balances of Governmental Funds
Last Ten Fiscal Years
(Modified Accrual-Basis of Accounting)
2014 2015 2016 2017 2018 2019 2020 2021 2022 2023
Expenditures:
General government 393,539 483,135 574,204 496,074 580,806 621,568 1,303,835 1,072,664 914,597 1,050,464
Law enforcement 2,695,807 2,843,478 2,960,661 3,062,347 3,287,172 3,354,522 3,507,675 3,550,335 3,646,501 3,970,167
Fire control 1,234,101 1,431,180 1,213,866 1,181,308 1,300,583 1,463,484 1,652,703 1,738,732 1,859,209 1,972,237
Building inspection 172,439 174,432 181,199 186,059 212,747 244,749 8,913 395,491 - -
Street 1,356,339 1,365,190 1,336,127 1,270,359 1,136,919 1,054,240 1,722,677 1,437,020 1,618,017 1,958,654
Parks and recreation 442,246 498,932 513,091 502,709 552,176 530,705 509,997 722,129 727,783 775,584
Community services - - - - - - - - 593,428 482,760
Health and welfare 51,165 41,171 76,884 83,293 90,621 80,049 88,129 91,539 - -
Other purchased services - - - - - - - - 234,872 25,500
Court fund 350 - 1,500 150 1,600 - - - - -
Parks fund - - 18,696 - - 17,100 43,181 4,425 - -
Capital outlays 365,442 409,060 333,207 953,944 4,160,478 2,806,886 1,771,351 2,882,122 6,032,716 4,818,282
Note payable principle payment - - - - - - - - - 98,047
Lease and subscription capital outlays - - - - - - - - 141,108 87,110
Principal retirement and lease finance - - - - - - - - 25,648 54,584
Interest expense - - - - - - - - 3,651 30,527
CIAWWC Authority 2,930 458,930 230,930 2,930 - - - - - -
Total Expenditures 6,714,358 7,705,508 7,440,365 7,739,173 11,323,102 10,173,303 10,608,461 11,894,457 15,797,530 15,323,916
Excess (deficiency) of Revenues over
(under) Expenditures 237,193 27,917 443,081 638,135 (2,731,942) (985,880) (600,418) 38,956 (3,085,308) 430,824
71
City of Chubbuck
Changes in Fund Balances of Governmental Funds
Last Ten Fiscal Years
(Modified Accrual-Basis of Accounting)
2014 2015 2016 2017 2018 2019 2020 2021 2022 2023
Other financing sources (uses):
Proceeds from note payable 155,468 11,680 2,930 - - - - - - 1,000,000
Proceeds from lease and subscription - - - - - - - - 141,108 98,046
Principal payments (154,929) - - (236,050) - - - - - -
Proceeds from certificate of participation - - - - - - 152,278 1,749,674 3,666,689 3,665,816
Interest expense - - - - (4,000) (3,869) (3,737) (3,605) - -
Proceeds from sale of assets 11,154 21,153 23,953 13,837 99,393 828 6,345 - 79,272 18,169
Transfers in (out)(3,000) - - - - - - - - -
Total other financing sources (uses)8,693 32,833 26,883 (222,213) 95,393 (3,041) 154,886 1,746,069 3,887,069 4,782,031
Net Change in Fund Balances 245,886 60,750 469,964 415,922 (2,636,549) (988,921) (445,532) 1,785,025 801,761 5,212,855
Beginning Fund Balances 3,199,632 3,445,518 3,506,268 3,976,232 4,392,154 1,755,605 766,684 322,056 2,107,081 2,908,842
Ending Fund Balances 3,445,518$ 3,506,268$ 3,976,232$ 4,392,154$ 1,755,605$ 766,684$ 321,152$ 2,107,081$ 2,908,842$ 8,121,697$
72
Fiscal Year Property Tax Franchise Tax
Highway
Streets &
Road Sales Tax
Total Local
Taxes
State Liquor
Tax
Highway User's
Revenue
Court
Revenue Road & Bridge
Shared Sales
Tax
Total
Intergovernmental
Taxes Total Taxes
Local Taxes as
a Percentage
of Total
2014 4,781,207$ 203,790$ 114,496$ 514,286$ 5,623,276$ 152,877$ 467,297$ 30,815$ 66,326$ 185,833$ 903,148$ 6,526,424$ 86%
2015 4,813,441 198,493 - 536,331 5,548,265 148,641 494,812 35,312 112,443 265,770 1,056,978 6,605,243 84%
2016 4,164,281 199,194 645,147 566,139 5,574,761 158,211 664,004 28,918 198,466 291,023 1,340,622 6,915,383 81%
2017 4,367,685 201,328 671,658 588,016 5,828,687 160,066 674,106 31,942 175,062 314,347 1,355,523 7,184,210 81%
2018 4,342,621 203,950 962,076 626,056 6,134,703 164,971 685,345 29,940 174,663 348,969 1,403,888 7,538,591 81%
2019 4,820,932 189,494 933,810 651,323 6,595,559 184,041 719,995 34,221 121,341 378,229 1,437,827 8,033,386 82%
2020 5,331,506 186,818 853,514 945,996 7,317,834 205,579 718,902 28,081 69,460 193,180 1,215,202 8,533,036 86%
2021 4,000,938 195,483 894,610 - 5,091,031 243,994 941,626 27,335 447,544 1,608,340 3,268,839 8,359,870 61%
2022 5,995,113 254,956 944,984 100,853 7,295,906 223,452 1,043,079 28,549 171,088 1,785,812 3,251,980 10,547,886 69%
2023 6,216,172$ 250,217$ 943,665$ -$ 7,410,054$ 225,430$ 1,071,510$ 35,076$ -$ 1,777,110$ 3,109,126$ 10,519,180$ 70%
Local Tax Revenues Intergovernmental Revenues
City of Chubbuck
General Government Tax and Intergovernmental Revenues by Source
Last Ten Fiscal Years
(modified accrual basis of accounting)
73
Fiscal Year Real and Personal Tax Roll Utilities Tax Roll Actual Sub Roll
Exemptions Home
Owner's
Exemptions Personal
Property
Total Assessed Actual Value
(including exemptions)Levy Rate
Tax Rate Per $1,000
Value
2014 459,147,628$ 7,502,193$ 1,138,795$ 236,839,910$ -$ 704,628,526$ 0.009967676 9.97
2015 461,440,210 7,884,559 1,017,251 238,171,372 81,774 708,595,166 0.009933799 9.93
2016 475,051,058 7,702,297 1,697,797 251,008,396 81,774 735,541,322 0.010140122 10.14
2017 507,182,903 8,152,805 469,490 263,554,022 81,744 779,440,964 0.010188661 10.19
2018 524,061,262 8,420,799 2,493,034 275,948,575 - 810,923,670 0.010636971 10.64
2019 638,286,498 8,626,813 221,259 314,458,115 - 961,592,685 0.009459658 9.46
2020 728,136,576 9,592,530 4,293,710 342,427,509 - 1,084,450,325 0.006863105 6.86
2021 807,089,713 10,409,910 1,462,151 426,293,840 - 1,245,255,614 0.008121184 8.12
2022 1,115,638,936 10,613,436 1,509,525 46,894,793 - 1,174,656,690 0.006204404 6.20
2023 1,362,355,753$ 10,775,944$ 325,873$ 470,479,400$ -$ 1,843,936,970$ 0.005964973 5.96
Source: Bannock County Clerks Office
Note: Twenty percent of the property in the county is reassessed annually. The County assesses property at 100% of market value. Tax rates are per $1,000 of assessed value.
City of Chubbuck
Assessed Valuation and Tax Rate
Last Ten Fiscal Years
74
City of Chubbuck
Year Base Rates Bannock County Rates
County Road &
Bridge Rates Abatement Rates Portneuf Library Rates
Ambulance Service
Rates
School District 25
Rates Combined Levy Rates
2014 9.97 5.30 0.48 0.05 0.57 0.40 4.14 20.91
2015 9.93 5.28 0.85 0.04 0.58 0.40 4.42 21.50
2016 10.14 5.24 0.73 0.03 0.61 0.40 3.94 21.09
2017 10.19 5.37 0.67 0.03 0.58 0.40 3.88 21.12
2018 10.64 5.62 0.47 0.03 0.61 0.40 3.85 21.62
2019 9.46 4.85 0.53 0.03 0.52 0.35 3.33 19.06
2020 6.86 3.68 0.50 0.03 0.53 0.34 3.19 15.13
2021 8.12 4.18 0.45 0.03 0.50 0.32 2.93 16.52
2022 6.20 3.23 0.31 0.02 0.37 0.24 1.87 12.26
2023 5.96 3.01 0.30 0.02 0.36 0.24 1.37 11.27
Source: Bannock County Assessors Office
(1) Overlapping rates are those of local and county governments that apply to owners within the City of Chubbuck.
Overlapping Rates
City of Chubbuck
Property Tax Rates
Direct and Overlapping (1) Governments
Last Ten Fiscal Years
(per $1,000 of assessed value)
75
Taxpayer Type of Business
Assessed
Valuation Rank
Percentage of
Total Assessed
Valuation Assessed Valuation Rank
Percentage of Total
Assessed Valuation
IDAHO CENTRAL CREDIT UNION FINANCIAL INSTITUTE 54,740,000$ 1 37.17%17,960,243$ 1 20.00%
PINE RIDGE MALL JC LLC RETAIL 17,004,000 2 11.55%12,380,277 3 13.79%
SHJH LLC APARTMENTS 13,940,000 3 9.47% 5,303,976.00 8 5.91%
CHUBBUCK WHITAKER LLC 11,516,000 4 7.82% - - 0.00%
WAL MART REAL ESTATE RETAIL 10,538,000 5 7.16%9,709,957 5 10.82%
GRACE AT CHUBBUCK LLC ASSISTED LIVING 9,851,000 6 6.69% - - 0.00%
RATLIFF, GARY REAL ESTATE INVESTMENTS 8,250,000 7 5.60%0.00%
AGREE LIMITED PARTNERSHIP REAL ESTATE INVESTMENTS 8,153,000 8 5.54% - - 0.00%
CARMIKE CINEMAS INC.ENTERTAINMENT 7,013,000 9 4.76% 5,415,904 7 6.03%
HD DEVELOPMENT OF MARYLAND INC REAL ESTATE DEVELOPMENT 6,264,000 10 4.25% 7,105,536 6 7.91%
NEIBAUER CHUBBUCK HOLDINGS LLC - - 0.00% 12,550,000 2 13.98%
ALLSTATE INSURANCE COMPANY INSURANCE - - 0.00% 9,908,263 4 11.04%
SHOPKO REAL ESTATE LLC RETAIL - - 0.00%5,204,568 9 5.80%
EMERITOL RIDGE WIND LLC DATABASE - - 0.00%4,242,947 10 4.73%
Total Top Ten 147,269,000$ 100.00%89,781,671$ 100.00%
Source: Bannock County Assessors Office
City of Chubbuck
Principal Taxpayers
September 30, 2023
2023 2014
76
Governmental
Activities (1)
Fiscal
Year
General Fund Note
Payable
Sanitation
Notes Water Bond
Water Notes
DEQ
Sewer Note
DEQ
Total Primary
Government
Estimated
Population
Per
Capita
2014 - 1,130,594 1,610,000 234,833 16,436,562 19,411,989 14,125 1,374
2015 - 1,076,827 1,495,000 217,757 16,363,232 19,152,816 14,229 1,346
2016 - 998,848 1,380,000 200,381 15,297,931 17,877,160 14,517 1,231
2017 - 927,972 1,260,000 181,814 14,445,385 16,815,171 14,644 1,148
2018 - 847,636 1,135,000 2,746,190 13,592,841 18,321,667 14,869 1,232
2019 - 764,418 1,010,000 7,530,708 12,740,295 22,045,421 15,316 1,439
2020 - 678,292 880,000 8,077,582 11,679,735 21,315,609 15,715 1,356
2021 - 588,999 745,000 8,278,883 11,035,206 20,648,088 15,842 1,303
2022 - 496,606 605,000 8,257,422 9,974,645 19,333,673 16,032 1,206
2023 912,890 400,781 460,000 8,235,334 9,122,101 19,131,106 16,223 1179.26
Note: The estimated populations for years 2012 and 2014 were not available and so the most current estimate was used for these years.
Source: (1) U.S. Census
Business Type Activities
City of Chubbuck
Ratios of Outstanding Debt by Type
Last Ten Fiscal Years
(accrual basis of accounting)
77
Fiscal Year Gross Revenue (1)Operating Expense (2)
Net Revenue
Available for Debt
Service Principal Interest Total Coverage
Pledge of
Revenues
Coverage
Requirement (4)
2014 2,423,116 1,351,349 1,071,767 110,000 56,574 166,574 6.43 5.15
2015 2,680,920 1,532,822 1,148,098 115,000 52,863 167,863 6.84 5.47
2016 2,783,945 1,535,492 1,248,453 115,000 55,514 170,514 7.32 5.86
2017 2,728,684 1,472,240 1,256,444 120,000 45,443 165,443 7.59 6.08
2018 2,896,320 1,832,479 1,063,841 125,000 34,175 159,175 6.68 5.35
2019 2,983,977 1,744,722 1,239,255 125,000 32,182 157,182 7.88 6.31
2020 2,944,986 1,959,268 985,718 130,000 28,420 158,420 6.22 4.98
2021 3,167,282 1,951,885 1,215,397 135,000 24,507 159,507 7.62 6.10
2022 3,256,843 2,323,718 933,125 140,000 20,445 160,445 5.82 4.65
2023 3,540,200 2,248,996 1,291,204 145,000 16,232 161,232 8.01 6.41
(1) Total revenues ( including interest)
(2) Total operating expenses exclusive of asset deprecation, lease amortization, and subscription amortization.
(3) Includes principal and interest of revenue bonds only.
(4) Pledge of Revenues requires the City to provide net revenues equal to not less than 1.25 times the average annual debt service on the bond.
Debt Service Requirements (3)
City of Chubbuck
Revenue Bond Coverage
Water Fund
Last Ten Fiscal Years
78
Total Revenue 3,540,200$
Estimated number of active customers 4,819
Total water produced (gallons)988,140
Size Price Circuit Breaker
1" or less 29.11$ 20.38$
1.5 "83.80
2"129.71
3"269.79
4"442.17
6"893.43
8"1,399.22
10"2,137.59
Business 193,471
Car Wash 16,485
City Property 4,822
Church 13,648
County using city property 5,125
Duplex 12,480
Four Plex 31,202
Motel 12,159
Multiple Units 24,802
Unaccupied 5,618
Restaurant 17,284
School 1,918
Single Family 623,722
Three Plex 1,262
Trailer Park 24,142
988,140
Water Usage Summary
Monthly Base Fee (by meter size)
Volumetric charge: $1.40 per 1,000 gallons metered water. Volumetric charge for
circuit breaker: $.98 per 1,000 gallons metered water.
City of Chubbuck
Statistical Information
Water Fund
September 30, 2023
Schedule of Water Revenue and Production For Residential, Commercial, and Government
Accounts
Schedule of Water Rates
79
Customer Business Type Rank
Water
Usage
% of Total
Top Ten
Consumers
% of Total
Usage
Seven Synergy LLC Staffing Services 1 9,168 16.2%0.9%
Circle Inn Trailer Park Mobile Home Park 2 8,735 15.4%0.9%
Pocatello Motels LLC Motel 3 6,738 11.9%0.7%
Camelot Estate Mobile Home Park 4 6,265 11.1%0.6%
Pine Ridge Mall JC LLC Shopping Center 5 5,727 10.1%0.6%
Pine Ridge Idaho LLC Apartment Complex 6 4,701 8.3%0.5%
Pheasant Ridge HOA Inc.Residential Development 7 4,182 7.4%0.4%
Fast Stop (Common Cents)Gas Station/Convenience Store 8 4,065 7.2%0.4%
Travelodge Motel 9 3,939 7.0%0.4%
Pheasant Ridge HOA Inc.Residential Development 10 3,097 5.5%0.3%
Total Top Ten Consumers 56,617 100.0%
Total Usage 988,140 5.7%
CITY OF CHUBBUCK, IDAHO
Ten Largest Water System Customers
For The Fiscal Year Ended September 30, 2023
(per 1,000 gallon used)
80
Total Revenue 5,348,899$
Regular Circuit Breaker
Residential 52.90$ 37.03$
NWSI Residential 10.45 -
Monthly Base Fee
Commercial rate for businesses North of the Interstate is $7.53 per $1,000 gallons of water used.
Commercial rate for businesses South of the Interstate is $8.83 per $1,000 gallons of water used.
NWSI Commercial rate is winter water average usage divided by $6.85 and multiplied by $10.45.
Schedule of Sewer Rates
City of Chubbuck
Statistical Information
Sewer Fund
September 30, 2023
Schedule of Sewer Revenue For Residential, Commercial, and Government Accounts
81
SINGLE AUDIT SECTION
82
Federal Grantor/Pass-Through Grantor/Program Title
Assistance
Listing No.
Grant
Number
Federal
Expeditures Subrecipients
U.S. Department of Transportation
Highway Safety Cluster:
Passed through the Idaho Transportation Department
State and Community Highway Safety 20.600 SDD23EA 2,339 -
20.600 SPT23EA 2,043 -
20.600 SPT23EA 2,822 -
National Priority Safety Programs 20.616 SID22EC 927 -
20.616 SID23EA 2,655 -
20.616 SID23EB 441 -
20.616 SID23ED 1,463 -
20.616 SID23EC 2,471 -
Total Highway Safety Cluster 15,161 -
Total U.S. Department of Transportation 15,161 -
U.S. Department of the Treasury
American Relief Plan Act
Coronavirus State and Local Fiscal Recovery Funds
Passed through the Idaho State Controller's Office
Idaho Non-Entitlement Units of Local Government 21.027 20-1982-0-1-806 2,881,486 -
Passed through the Idaho Dept. of Environmental Quality
Drinking Water Facilities Planning 21.027 DWG-282-2023-33 17,955 -
Total U.S. Department of the Treasury 2,899,441 -
Total Expenditures of Federal Awards 2,914,602$ -$
CITY OF CHUBBUCK
SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS
For The Fiscal Year Ended September 30, 2023
83
See accompanying notes
NOTE 1. BASIS OF PRESENTATION
NOTE 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
NOTE 3. DE MINIMIS INDIRECT COST RATE
NOTE 4. SUBRECIPIENTS
NOTE 5. MATCHING REQUIREMENTS
The federal funding received by the City does not require the City to contribute matching funds to
support the federal funded programs.
CITY OF CHUBBUCK, IDAHO
NOTES TO THE SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS
The accompanying Schedule of Expenditures of Federal Awards (Schedule)includes the federal
award activity of the City of Chubbuck (City)under programs of the federal government for the year
ended September 30,2023.The information in this Schedule is prepared in accordance with the
requirements of Title 2 U.S.Code of Federal Regulations Part 200,Uniform Administrative
Requirements,Cost Principles,and Audit Requirements for Federal Awards (Uniform Guidance).
Because the Schedule presents only a selected portion of the operations of the City,it is not intended
to and does not present the financial position, changes in assets, or cash flows of the City.
Expenditures reported on the Schedule are reported on the modified accrual basis of accounting.
Such expenditures are recognized following the cost principles contained in the Uniform Guidance,
wherein certain types of expenditures are not allowable or are limited as to reimbursement.
The City has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform
Guidance.The City has elected to use the Simplified Allocation Method for certain grants,as approved
by the specific granting agencies.
The City does not pass federal awards received from federal funding to other governments or not-for-
profit agencies (subrecipients).
84
To the Honorable Mayor and Members of the City Council
City of Chubbuck, Idaho
Report on Internal Control Over Financial Reporting
INDEPENDENT AUDITORS 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
We have audited,in accordance with the auditing standards generally accepted in the United States of America
and the standards applicable to financial audits contained in Government Auditing Standardsd issued by the
Comptroller General of the United States,the financial statements of the governmental activities,the business-
type activities,each major fund,and the aggregate remaining fund information of City of Chubbuck,as of and for
the year ended September 30,2023,and the related notes to the financial statements,which collectively
comprise City of Chubbuck's basic financial statements, and have issued our report thereon dated May 3, 2024.
In planning and performing our audit,we considered City of Chubbuck’s internal control over financial reporting
as a basis for designing our auditing procedures for the purpose of expressing our opinions on the financial
statements,but not for the purpose of expressing an opinion on the effectiveness of City of Chubbuck’s internal
control over financial reporting.Accordingly,we do not express an opinion on the effectiveness of the City of
Chubbuck’s internal control over financial reporting.
A deficiency in internal control exists when the design or operation of a control does not allow management or
employees,in the normal course of performing their assigned functions,to prevent,or detect and correct,
misstatements on a timely basis.A material weakness is a deficiency,or a combination of deficiencies,in internal
control,such that there is a reasonable possibility that a material misstatement of the entity’s financial statements
will not be prevented,or detected and corrected on a timely basis.A significant deficiency is a deficiency,or a
combination of deficiencies,in internal control that is less severe than a material weakness,yet important enough
to merit attention by those charged with governance.
Our consideration of internal control was for the limited purpose described in the first paragraph of this section
and was not designed to identify all deficiencies in internal control that might be material weaknesses or,
significant deficiencies.Given these limitations,during our audit we did not identify any deficiencies in internal
control that we consider to be material weaknesses.However,material weaknesses may exist that have not been
identified.We did not identify any deficiencies in internal control over financial reporting,that we would consider
to be a significant deficiency in internal control over financial reporting.
Report on Compliance and Other Matters
Purpose of this Report
Pocatello, Idaho
May 3, 2024
The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the
results of that testing,and not to provide an opinion on the effectiveness of the entity’s internal control or on
compliance.This report is an integral part of an audit performed in accordance with Government Auditing
Standards in considering the entity’s internal control and compliance.Accordingly,this communication is not
suitable for any other purpose.
As part of obtaining reasonable assurance about whether City of Chubbuck's financial statements are free of
material misstatement,we performed tests of its compliance with certain provisions of laws,regulations,
contracts,and grant agreements,noncompliance with which could have a direct and material effect on the
determination of financial statement amounts.However,providing an opinion on compliance with those
provisions was not an objective of our audit,and accordingly,we do not express such an opinion.The results of
our tests disclosed no instances of noncompliance or other matters that are required to be reported under
Government Auditing Standards.
INDEPENDENT AUDITOR’S REPORT ON COMPLIANCE FOR EACH MAJOR PROGRAM AND ON
INTERNAL CONTROL OVER COMPLIANCE REQUIRED BY THE UNIFORM GUIDANCE
To the Honorable Mayor and Members of the City Council
City of Chubbuck, Idaho
Report on Compliance for Each Major Federal Program
Opinion on Each Major Federal Program
We have audited City of Chubbuck’s compliance with the types of compliance requirements identified as subject
to audit in the OMB Compliance Supplement that could have a direct and material effect on each of City of
Chubbuck’s major federal programs for the year ended September 30,2023.City of Chubbuck’s major federal
programs are identified in the summary of auditor’s results section of the accompanying schedule of findings and
questioned costs.
In our opinion,City of Chubbuck complied,in all material respects,with the types of compliance requirements
referred to above that could have a direct and material effect on each of its major federal programs for the year
ended September 30, 2023.
Basis for Opinion on Each Major Federal Program
We conducted our audit of compliance in accordance with auditing standards generally accepted in the United
States of America;the standards applicable to financial audits contained in Government Auditing Standards,
issued by the Comptroller General of the United States;and the audit requirements of Title 2 U.S.Code of
Federal Regulations Part 200,Uniform Administrative Requirements,Cost Principles,and Audit Requirements for
Federal Awards (Uniform Guidance).Our responsibilities under those standards and the Uniform Guidance are
further described in the Auditor’s Responsibilities for the Audit of Compliance section of our report.
We are required to be independent of City of Chubbuck and to meet our other ethical responsibilities,in
accordance with relevant ethical requirements relating to our audit.We believe that the audit evidence we have
obtained is sufficient and appropriate to provide a basis for our opinion on compliance for each major federal
program.Our audit does not provide a legal determination of City of Chubbuck’s compliance with the compliance
requirements referred to above.
Responsibilities of Management for Compliance
Management is responsible for compliance with the requirements referred to above and for the design,
implementation,and maintenance of effective internal control over compliance with the requirements of laws,
statutes,regulations,rules,and provisions of contracts or grant agreements applicable to City of Chubbuck’s
federal programs.
Auditor’s Responsibilities for the Audit of Compliance
Our objectives are to obtain reasonable assurance about whether material noncompliance with the compliance
requirements referred to above occurred,whether due to fraud or error,and express an opinion on City of
Chubbuck’s compliance based on our audit.Reasonable assurance is a high level of assurance but is not
absolute assurance and therefore is not a guarantee that an audit conducted in accordance with generally
accepted auditing standards,Government Auditing Standards,and the Uniform Guidance will always detect
material noncompliance when it exists.The risk of not detecting material noncompliance resulting from fraud is
higher than for that resulting from error,as fraud may involve collusion,forgery,intentional omissions,
misrepresentations,or the override of internal control.Noncompliance with the compliance requirements referred
to above is considered material if there is a substantial likelihood that,individually or in the aggregate,it would
influence the judgment made by a reasonable user of the report on compliance about City of Chubbuck’s
compliance with the requirements of each major federal program as a whole.
In performing an audit in accordance with generally accepted auditing standards,Government Auditing
Standards, and the Uniform Guidance, we:
Exercise professional judgment and maintain professional skepticism throughout the audit.
Identify and assess the risks of material noncompliance,whether due to fraud or error,and design and perform
audit procedures responsive to those risks.Such procedures include examining,on a test basis,evidence
regarding City of Chubbuck’s compliance with the compliance requirements referred to above and performing
such other procedures as we considered necessary in the circumstances.
Obtain an understanding of City of Chubbuck’s internal control over compliance relevant to the audit in order to
design audit procedures that are appropriate in the circumstances and to test and report on internal control over
compliance in accordance with the Uniform Guidance,but not for the purpose of expressing an opinion on the
effectiveness of City of Chubbuck’s internal control over compliance. Accordingly, no such opinion is expressed.
We are required to communicate with those charged with governance regarding,among other matters,the
planned scope and timing of the audit and any significant deficiencies and material weaknesses in internal control
over compliance that we identified during the audit.
Report on Internal Control Over Compliance
A deficiency in internal control over compliance exists when the design or operation of a control over compliance
does not allow management or employees,in the normal course of performing their assigned functions,to
prevent,or detect and correct,noncompliance with a type of compliance requirement of a federal program on a
timely basis.A material weakness in internal control over compliance is a deficiency,or combination of
deficiencies,in internal control over compliance,such that there is a reasonable possibility that material
noncompliance with a type of compliance requirement of a federal program will not be prevented,or detected and
corrected,on a timely basis.A significant deficiency in internal control over compliance is a deficiency,or a
combination of deficiencies,in internal control over compliance with a type of compliance requirement of a federal
program that is less severe than a material weakness in internal control over compliance,yet important enough to
merit attention by those charged with governance.
Our consideration of internal control over compliance was for the limited purpose described in the Auditor’s
Responsibilities for the Audit of Compliance section above and was not designed to identify all deficiencies in
internal control over compliance that might be material weaknesses or significant deficiencies in internal control
over compliance.Given these limitations,during our audit we did not identify any deficiencies in internal control
over compliance that we consider to be material weaknesses,as defined above.However,material weaknesses
or significant deficiencies in internal control over compliance may exist that were not identified.
Our audit was not designed for the purpose of expressing an opinion on the effectiveness of internal control over
compliance. Accordingly, no such opinion is expressed.
The purpose of this report on internal control over compliance is solely to describe the scope of our testing of
internal control over compliance and the results of that testing based on the requirements of the Uniform
Guidance. Accordingly, this report is not suitable for any other purpose.
Pocatello, Idaho
May 3, 2024
SUMMARY OF AUDIT RESULTS
1.
2.
3.
4.
5.
6.
7.
8.
9.
FINDINGS – FINANCIAL STATEMENT AUDIT
None
FINDINGS AND QUESTIONED COSTS – MAJOR FEDERAL AWARD PROGRAM AUDIT
None
FINDINGS – FINANCIAL STATEMENT AUDIT
None
FINDINGS AND QUESTIONED COSTS – MAJOR FEDERAL AWARD PROGRAM AUDIT
None
City of Chubbuck was considered a high-risk audited.
SUMMARY SCHEDULE OF PRIOR YEAR AUDIT FINDINGS
No instances of noncompliance material to the financial statements of City of Chubbuck were
disclosed during the audit.
No significant deficiencies or material weaknesses,in internal control over major federal award
programs, were noted which would be required to be reported during the audit.
The Auditor’s report on compliance for the major federal award programs for City of Chubbuck
expresses an unmodified opinion on all major federal programs.
Audit findings that are required to be reported in accordance with 2 CFR section 200.516(a)are
reported in this Schedule.
The program tested as a major program included U.S.Department of the Treasury,Assistance listing
#21.027
The threshold for distinguishing Types A and B programs was $750,000.
CITY OF CHUBBUCK, IDAHO
SCHEDULE OF FINDINGS AND QUESTIONED COSTS
FOR THE YEAR ENDED SEPTEMBER 30, 2023
The auditor’s report expresses an unmodified opinion on whether the financial statements of City of
Chubbuck were prepared in accordance with GAAP.
No reportable conditions disclosed during the audit of the financial statements are reported in the
Independent Auditor’s Report.
89