FY 17 Annual Report

Special Revenue Funds

2017

CITY OF SPENCER, IOWA

GROUP MEDICAL/LIFE INSURANCE

FUND #115

FUND INFORMATION

This fund accounts for the City's share of Group Health Insurance premiums. This fund is one of seven separate employee benefits funds created by the City to account for certain employee benefits. Legal authority for the fund is established by two sections of the Iowa Code. Iowa State Code chapter 386.61 provides authority for municipalities to establish a fund for the purpose of "accounting for pension and related employee benefit funds as provided by the City Finance Committee," while also providing the authority to levy a tax in the amount necessary to meet these obligations. Chapter 545.4 of the Administrative Code of Iowa provides the City Finance Committee's definition of eligible benefits and how they must be accounted for. The City is a member of the Iowa Governmental Health Care Plan (IGHCP), which is a pool 29 governmental agencies around the state. The group consists of 14 county, 12 city and 3 school districts. Due to the membership in the IGHCP, the City has seen smaller than average increases in healthcare premiums over the past few years. These small increases have helped contain our costs. The City levies property taxes to cover the health care premiums for General Fund employees. For FY16, the City levied $1.31919 / $1,000 of valuation to pay health care premiums. This is a decrease over the FY16 levy of $1.37713, a decrease of $0.05794 / $1,000 of valuation. The total dollars levied increased, however due to increased property valuations, the actual amount of the tax levy decreased. The fund balance increased $33,472.04 in FY17.

CURRENT BUDGET

YEAR TO DATE

% OF

FY 2016 ACTUAL

ACTUAL

BUDGET

REVENUES

TAXES

608,014.00 26,301.00 334,616.00 393,746.00

605,045.02 55,925.46 291,751.84 393,348.04

99.51

582,229.46

INTERGOVERNMENTAL

212.64

298,345.55 396,367.02 1,276,942.03 -

MISCELLANEOUS OTHER FINANCING

87.19 99.90

TOTAL REVENUES

1,362,677.00

1,346,070.36

98.78

EXPENDITURES EMPLOYEE BENEFITS CONTRACTUAL SVCS

1,333,176.00

1,290,139.18

96.77 87.02 67.96

1,205,228.64

18,000.00 10,000.00

15,663.00 6,796.14

15,405.00 7,085.20

COMMODITIES TRANSFERS

-

-

1,227,718.84

1,312,598.32

96.43

1,361,176.00

TOTAL EXPENDITURES

Fund Balance

INCREASE / (DECREASE)

BALANCE

BALANCE

REVENUES

EXPENDITURES

JULY 1, 2016

JUNE 30, 2017

33,472.04

313,683.31

1,346,070.36

1,312,598.32

347,155.35

SPECIAL REVENUE