2020 Comprehensive Annual Financial Report

B. Business-Type Activities Business-type activities increased the City of Greensboro’s net position by $55 million, largely attributable to net income generated in the City’s water and sewer utility, primarily from rate increases and continued cost containment to budget, as well as coliseum’s private contributions to the Steven Tanger Center for the Performing Arts. The General Fund continued to support the Coliseum and solid waste operations; water, sewer, and parking fees were sufficient to cover operations. 1) Enterprise Funds There are six separate and distinct operations accounted for in the Enterprise Funds: the Water Resources Utility Operations, Stormwater Management Services, Coliseum Complex, Solid Waste Management, Greensboro Transit Advisory Commission and Parking Facilities (Other Non-Major Fund). Depreciation is computed on all depreciable plant and equipment and is reflected as an operating expense. Depreciation expense also includes amortization of software and licenses and other intangible assets, such as water rights. The following schedule reflects the change in net position before and after depreciation/amortization for each of the enterprises compared to the preceding year. Table B-1 Change in Net Position– Business-Type Activities (In thousands of dollars )

Change in Net Position

Change in Net Position

Before

After

Depreciation/Amortization*

Depreciation/Amortization*

Enterprise Activities Water Resources

2020

2019

2020

2019

$ 49,783 $ 48,269

$ 19,782 $ 19,189

Stormwater Management

1,950

2,867

(38)

880

Coliseum

31,945

23,908

26,109

20,673

Solid Waste Management Greensboro Transit Advisory Commission

637

1,605

237

1,171

10,611

5,287 1,145

6,943 1,193

1,855

Parking Facilities

1,763

576

Total

$ 96,689 $ 83,081

$ 54,226 $ 44,344

*Excludes the effect of Internal Service Fund chargebacks. Major activities and/or changes in the Enterprise Fund operations are presented in the following comments. 2) Water Resources Fund Charges for current services totaled $119,676,814 compared to $116,906,359 for the preceding year, an increase of 2.4%. Operating expenses (excluding depreciation) increased by 2.1% and totaled $71,048,740 as compared to $69,602,670 for the preceding year. On July 1, 2019, water and sewer rates for average residential customers increased by 4.0% for customers both inside 2l