2019 Comprehensive Annual Financial Report (CAFR)

the arena has hosted other NCAA Regional events. Greensboro is widely recognized as the “Tournament Town”. Operating expenses (excluding depreciation) totaled $32,980,178 as compared to $28,593,974 for the preceding year, an increase of 15.3%. The General Fund contributed $2,900,000 toward Coliseum activities this year, the same subsidy amount as last year, mainly for operations. The General Fund also contributed $192,531 for start-up expenses related to the Steven Tanger Center for the Performing Arts which is included in the Coliseum fund for reporting purposes. Revenues and expenses for a given year may fluctuate based on the nature of the associated event agreements. 5) Solid Waste Management Fund Charges for current services totaled $12,618,701 as compared to $10,669,680 for the preceding year, an increase of 18.3%. Operating expenses (excluding depreciation) totaled $13,499,214 as compared to $12,086,176 for the preceding year, an increase of 11.7% primarily due to an increase in contracted services due to increased revenue. The increase in charges for current services is due to increase in refuse, compost and construction disposal fees. The City entered into a contract with an Apex, North Carolina firm to convert methane gas at the White Street landfill into electricity and to sell it to Duke Energy. This gas is in surplus of the amount that the City currently gives to International Textile Group (ITG) in support of their manufacturing operation and local jobs. Over the 15-year term of the contract, it is estimated that the City will receive approximately $155,000 on average each year for a total estimate of $2.33 million, while continuing to provide ITG with its current supply of the landfill gas. In October 2006, the City completed construction of a solid waste transfer station as an alternative to the White Street Landfill, at an estimated cost of $9 million. The City issued $8.4 million in special obligation bonds in November 2005 associated with this new facility, supported with a pledge of local sales tax revenue. In December 2009, $5.7 million of the remaining 1997 bonds (originally issued at $16 million for landfill expansion and improvements) were refunded. All bonds relating to the original 1997 landfill bond issue were retired as of FY 2012. Debt outstanding associated with the transfer station is $785,000 as of June 30, 2019. Debt service coverage by the local sales tax revenue well exceeds the 2.00 times covenant requirement, currently at more than 27 times covered. 6) Greensboro Transit Advisory Commission Beginning in FY 2019, the financial statements of the newly formed GTAC where included in the Proprietary Fund Statements. The GTAC’s predecessor, Greensboro Transit Authority, was reported as a separately presented discrete component unit for FY 2018 and prior. Charges for current services totaled $2,045,903 as compared to $2,178,622 in the preceding year, a decrease of 6.1%. Operating expense (excluding depreciation) totaled $24,166,476 as compared to $25,147,509, a decrease of 3.9%. This operation is primarily funded with grants and property tax. 7) Parking Facilities Fund Charges for current services totaled $3,237,112 as compared to $2,838,356 in the preceding year, an increase of 14.0%. Beginning on January 1, 2019 monthly parking rates in downtown parking decks increased $20 per month, from $65 per month to $85 per month, which has effected the improved revenue. Operating expenses (excluding depreciation) totaled $2,128,306 as compared to $1,923,864 for the preceding year, an increase of 10.6% due to increased maintenance and repair to the Greene Street and Davie Street parking decks. At the end of October 2019, the City issued $29,685,000 in Limited Obligation Bonds for a downtown parking deck. A second downtown parking deck is planned for fiscal year 2020 and will also be financed with additional Limited Obligation Bonds. The debt service for both Limited Obligation Bonds will be repaid 2n