HomeMy WebLinkAboutcocc_council_mtg_packet_20190219 CAPE CANAVERAL CITY COUNCIL MEETING
City Hall Council Chambers
100 Polk Avenue, Cape Canaveral, Florida 32920
AGENDA
February 19, 2019
6:00 P.M.
CALL TO ORDER:
PLEDGE OF ALLEGIANCE:
ROLL CALL:
PUBLIC PARTICIPATION:
Any member of the public may address any items that do not appear on the agenda and any agenda
item that is listed on the agenda for final official action by the City Council excluding public
hearing items which are heard at the public hearing portion of the meeting, ministerial items (e.g.
approval of agenda,minutes,informational items),and quasi-judicial or emergency items. Citizens
will limit their comments to three (3)minutes. The City Council will not take any action under the
"Public Participation" section of the agenda. The Council may schedule items not on the agenda
as regular items and act upon them in the future.
PRESENTATIONS/INTERVIEWS:
6:15 p.m. 6:25 p.m.
Accept the Annual Audited Financial Statements and Independent Auditor's Report for the Fiscal
Year ended September 30, 2018—Presentation by Zach Chalifour, James Moore& Co.
Interview Applicants for appointment to the Library Board. (Anthony Divito and Garnett Lane)
CONSENT AGENDA:
6:25 p.m. 6:30 p.m.
1. Approve Minutes for January 15, 2019 City Council Regular Meeting.
2. Resolution No. 2019-03; appointing an honorary Poet Laureate of the City of Cape
Canaveral; providing for the repeal of prior inconsistent resolutions, severability and an
effective date. (Timothy Bass)
3. Resolution No. 2019-04; appointing members to the Library Board of the City of Cape
Canaveral; providing for the repeal of prior inconsistent resolutions, severability and an
effective date. (Anthony Divito and Garrett Lane)
PUBLIC HEARINGS:
6:30 p.m. — 6:50 p.m.
4. a. Ordinance No. 01-2019; adopting a small scale Future Land Use Map Amendment
by changing the Future Land Use Map designation of certain real property located at 8811
Sea Shell Lane, and more particularly depicted and legally described on Exhibit "A"
attached hereto, from "C-1 Commercial Low Density" to "R-1 Residential Low Density";
City of Cape Canaveral,Florida
City Council Meeting
February 19, 2019
Page 2 of 2
providing for the repeal of prior inconsistent ordinances and resolutions, severability,
incorporation into the Comprehensive Plan and an effective date, second reading.
b. Approve the Unity of Title Agreement between Dennis Warren (Owner), and the
City of Cape Canaveral regarding three individual parcels located at 8811 Sea Shell Lane
and authorize Mayor to execute same.
c. Ordinance No. 02-2019; changing the Zoning Map designation of certain real
property generally located at 8811 Sea Shell Lane, and more particularly depicted and
legally described on Exhibit"A" attached hereto, from"C-1 Commercial Low Density"to
"R-1 Residential Low Density"; providing for the repeal of prior inconsistent ordinances
and resolutions, severability and an effective date, second reading.
5. Ordinance No. 05-2019; adopting the 2018 International Property Maintenance Code as
amended herein; providing for the repeal of prior inconsistent ordinances and resolutions;
incorporation into the Code; severability and an effective date, second reading.
6. Ordinance No. 06-2019;relating to the State Revolving Fund Program;pursuant to Section
2.12(5) of the City Charter authorizing one or more loan applications to be filed with the
State of Florida Department of Environmental Protection in a total amount not to exceed
six million five hundred thousand dollars for purposes of funding certain wastewater and
stormwater improvement projects; authorizing the loan agreement(s); establishing pledged
revenues; designating authorized representatives; providing assurances; providing for the
repeal of prior inconsistent ordinances and resolutions, severability and an effective date,
first reading.
7. Ordinance No. 07-2019;relating to the State Revolving Fund Program;pursuant to Section
2.12(5) of the City Charter amending Ordinance No. 01-2013 to increase the total
authorized loan amount by an additional eight hundred thousand dollars for purposes of
funding certain pending wastewater and stormwater improvement projects; providing for
the full force and effect of Ordinance No. 01-2013 as amended herewith, repeal of prior
inconsistent ordinances and resolutions, severability and an effective date, first reading.
REPORTS:
6:50 p.m. 7:00 p.m.
ADJOURNMENT: Pursuant to Section 286.0105, Florida Statutes, the City hereby advises the
public that: If a person decides to appeal any decision made by the City Council with respect to
any matter considered at this meeting, that person will need a record of the proceedings, and for
such purpose that person may need to ensure that a verbatim record of the proceedings is made,
which record includes the testimony and evidence upon which the appeal is to be based.This notice
does not constitute consent by the City for the introduction or admission into evidence of otherwise
inadmissible or irrelevant evidence, nor does it authorize challenges or appeals not otherwise
allowed by law. In accordance with the Americans with Disabilities Act: all interested parties may
attend this Public Meeting. The facility is accessible to the physically handicapped. Persons with
disabilities needing assistance to participate in the proceedings should contact the City Clerk's
office (868-1220 x207 or x206) 48 hours in advance of the meeting.
[City Seal]
City of Cape Canaveral
City Council Agenda Form
City Council Meeting Date: 02/19/2019
PRESENTATIONS/INTERVIEWS
Subject: Accept the Annual Audited Financial Statements and Independent Auditor's Report for
the Fiscal Year ended September 30,2018—Presentation by Zach Chalifour, James Moore&Co.
Department: Financial Services
Summary: The Accounting Firm of James Moore & Co. performed the Annual Audit of the
City's Financial Statements for the Fiscal Year ended September 30,2018. James Moore& Co.
determined the Financial Statements present fairly,in all material respects,the financial position
of the City of Cape Canaveral and are in conformity with Generally Accepted Accounting
Principles. The Audit was conducted in accordance with Generally Accepted Auditing
Standards and Government Auditing Standards. The findings and recommendations will be
presented by Audit Manager Zach Chalifour.
Financial Highlights:
• The assets of the City exceeded its liabilities at the close of the most recent year by
$48.8 million (net position). Of this amount, $5.7 million (unrestricted net position)
may be used to meet the City's ongoing obligations.
• The City's total net position increased by $1.28 million. This is the result of
construction projects completed during the year and the addition of capital assets,
funded primarily through capital contributions and grants.
• At the close of the fiscal year, the City's governmental funds reported combined
ending fund balances of$11.1 million, an increase of$432 thousand in comparison
with the prior year.
• At the close of the fiscal year, fund balance for the General Fund was $11,484,228.
Of this amount, $3,312 relates to inventory and prepaids, as well as long-term
advances, and is therefore nonspendable. The remaining fund balance includes:
restricted ($774,321), committed ($6,598,862), assigned ($1,034,776) and
unassigned ($3,072,957) balances. Within the committed fund balance category, the
largest piece is $6,225,959, committed for the construction of a Multi-Generational
Facility and Cultural Arts Preservation Enrichment (CAPE) Center. Unassigned
funds are available for on-going activities of the City's various General Fund services
and programs.
• The City's total long-term liabilities increased $649,752. This was due primarily to
receipt of additional State Revolving Fund money, offset by annual debt service
payments on the Capital Improvement Revenue Notes.
Auditor Financial Statement Findings:
2018-001 Capital Asset Reconciliations
Criteria: Generally accepted accounting principles require the City to track and report its capital
assets in the financial statements, as well as related transactional activity during the year in the
form of capital outlay expenditures, depreciation expenses, and disposals of capital assets.
Condition: While improvements were made related to the City's capital asset process and
controls during the year, various audit adjustments were required to adjust the City's capital
asset balances per the general ledger to reflect the City's capital asset activity during the year.
City Council Meeting
Date: 02/19/2019
Presentations/Interviews
Page 2 of 2
Cause: Various issues with the City's accounting system's capital asset module resulted in
discrepancies between the capital asset module and the general ledger.
Effect: Had the audit adjustments not been recorded, capital asset balances and the related
depreciation expense amounts would have been misstated.
Recommendation: We recommend the City take additional steps to continue improving the
efficiency and effectiveness of its capital asset accounting. In addition to the improvements, the
City is preparing to implement a new accounting system in the upcoming year; we recommend
any applicable updates and adjustments to the year-end closing process be timely identified and
designed as part of the transition to the new accounting system.
2018-002 Budgetary Compliance
During our testing of budget versus actual expenditures,we noted the City was out of budgetary
compliance in the School Crossing Guard and Special Law Enforcement funds as actual
expenditures exceeded the funds' budgets by approximately $600 and $1,100. This occurred
primarily as a result of corresponding adjustments to decreased revenues in their respective
funds. To ensure budgetary compliance,we recommend the City review the budget versus actual
amounts for all funds on an ongoing basis and amend the budget for all impacted funds as part
of significant transactions subsequent to the adoption of the initial budget.
Management's response to auditor finding are as follows:
2018-001 Capital Asset Reconciliations—The Financial Services Department concurs with the
finding. The Financial Services Department is preparing to transition to a new accounting
system with an improved capital asset module that is expected to alleviate many of the
challenges that have been faced in recent years. The anticipated completion date for this
implementation is expected to begin in October 2019. Administrative/Financial Services
Director John DeLeo will ensure this action is taken.
2018-002 Budgetary Compliance—The Financial Services Department concurs with the finding.
As part of the City's year-end budget review, the revenue and expenditure accounts will
independently be assessed and adjusted to meet budgetary compliance.Administrative/Financial
Services Director John DeLeo will ensure this action is taken.
Submitting Department Director: John DeLeo Date: 2/9/19
Attachment:
The City of Cape Canaveral's Comprehensive Annual Financial Report(CAFR) 2018.
Financial Impact: Staff time to prepare this Agenda Item and cost of the Audit.
Reviewed by Administrative/Financial
Services Director: John DeLeo Date: 2/9/19
The City Manager recommends that City Council take the following action:
Accept the Annual Audited Financial Statements and Independent Auditor's Report for the
Fiscal Year ended September 30, 2018.
Approved by City Manager: David L. Greene Date: 2/9/19
COMPREHENSIVE ANNUAL
FINANCIAL REPORT
CITY OF CAPE CANAVERAL, FLORIDA
FISCAL YEAR ENDED SEPTEMBER 30, 2018
Prepared By:
City of Cape Canaveral Finance Department
CITY OF CAPE CANAVERAL, FLORIDA
TABLE OF CONTENTS
SEPTEMBER 30, 2018
Page
Number(s)
INTRODUCTORY SECTION
List of Princip al Officials 3
Letter of Transmittal 7 - 14
Org anizational Chart 17
Certificate of Achievement for Excellence in Financial Rep orting 19
FINANCIAL SECTION
Indep endent Auditors’ Rep ort 25 – 26
gement’s Discussion and Analy sis 29 – 39
Mana
Basic Financial Statements
Government-wide Financial Statements:
Statement of Net Position 42
Statement of Activities 43
Fund Financial Statements:
Balance Sheet – Governmental Funds 44
Reconciliation of the Balance Sheet of the Governmental Funds to the
Statement of Net Position 45
Statement of Revenues, Expenditures, and Changes in Fund Balances –
Governmental Funds 46
Reconciliation of the Statement of Revenues, Expenditures, and Changes in
Fund Balances of Governmental Funds to the Statement of Activities 47
Statement of Revenues, Expenditures, and Changes in Fund Balance –
Budg et to Actual-General Fund 48
Statement of Revenues, Expenditures, and Changes in Fund Balance –
Budget to Actual-Cape Canaveral Community Redevelopment Agency
Fund 49
Statement of Net Position – Prop rietary Funds 50
Statement of Revenues, Expenses, and Changes in Fund Net Position –
prietar y Funds 51
Pro
Statement of Cash Flows – Prop rietary Funds 52
Notes to Financial Statements 54 - 71
g and Individual Fund Statements and Schedules
Combinin
Combining Balance Sheet – Nonmaj or Governmental Funds 75
Combining Statement of Revenues, Expenditures, and Changes in Fund Balances –
Nonmaj or Governmental Funds 76
Schedule of Revenues, Expenditures, and Changes in Fund Balances – Budget to
Actual 77 - 79
- i -
CITY OF CAPE CANAVERAL, FLORIDA
TABLE OF CONTENTS
SEPTEMBER 30, 2018
(Continued)
Page
Number(s)
STATISTICAL SECTION
Table 1 – Net Position by Component 84
Table 2 – Changes in Net Position 85 – 86
Table 3 – Fund Balances of Governmental Funds 87 – 88
Table 4 – Changes in Fund Balances of Governmental Funds 89 – 90
Table 5 – Tax Revenues by Source of Governmental Funds 91
Table 6 – Assessed Value and Actual Value of Taxable Property 92
Table 7 – Property Tax Rates – Direct and Overlapping Governments 93
Table 8 – Principal Property Taxpayers (Major Taxpayers) 94
Table 9 – Property Tax Levies and Collections 95
Table 10 – Ratios of Outstanding Debt by Type 96
Table 11 – Ratio of Net General Obligation Bonded Debt to Assessed Value and Net
Bonded Debt Per Capita 97
Table 12 – Direct and Overlapping Governmental Activities Debt 98
Table 13 – Pledged-Revenue Coverage – Wastewater System 99
Table 14 – Demographic Statistics 100
Table 15 – Principal Employers 101
Table 16 – Full-Time Equivalent City Government Employees by Function/ Program 102
Table 17 – Operating Indicators by Function/Program 103
Table 18 – Capital Asset Statistics by Function/Program 104
Table 19 – Water/ Wastewater Distribution and Consumption – Unaudited 105
Table 20 – Water and Wastewater Rates – Unaudited 106
Table 21 – Construction, Property Value and Bank deposits – Unaudited 107
Table 22 – Miscellaneous Statistics – Unaudited 108
SINGLE AUDIT AND OTHER REPORTS
Schedule of Expenditures of State Financial Assistance 112
Notes to Schedule of Expenditures of State Financial Assistance 113
Schedule of Findings and Questioned Costs 114
Independent Auditors’ Report on Compliance for Each Major State Project and
on Internal Control Over Complianc e In Accordance with the Uniform
Guidance and Chapter 10.550, Rules of the Auditor General 116 – 117
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 118 – 119
Independent Auditors’ Management Letter Required by Chapter 10.550, Rules of
the State of Florida Office of the Auditor General 120 – 121
Independent Accountants’ Examination Repor t 122
Summary Schedule of Prior Year Audit Findings / Management’s Response to
Current Year Findings 124
- ii -
Introductory Section
- 1 -
THIS PAGE INTENTIONALLY LEFT BLANK
- 2 -
City of Cape Canaveral, Florida
Comprehensive Annual Financial Report
Fiscal Year Ended September 30, 2018
(City Seal)
City Council
Honorable Robert Hoog, Mayor
Michael Brown, Mayor Pro Tem
Wes Morrison
Rocky Randels
Angela Raymond
City Manager
David Greene
City Attorney Administrative/Financial Services Director
Anthony Garganese John DeLeo
- 3 -
THIS PAGE INTENTIONALLY LEFT BLANK
- 4 -
Letter of Transmittal
- 5 -
THIS PAGE INTENTIONALLY LEFT BLANK.
- 6 -
(City Seal) City of Cape Canaveral
February 12,2019
Honorable Mayor and Members of City Council
City of Cape Canaveral
Cape Canaveral,Florida 32920
Dear Mayor and Members of City Council:
It is our pleasure to submit this Comprehensive Annual Financial Report (CAFR) for the City of Cape
Canaveral, Florida, for the Fiscal Year ended September 30, 2018. It fulfills the requirements set forth
pursuant to Florida Statutes Section 218.39 and Chapter 10.550 of the Rules of the Auditor General of the
State of Florida.
Responsibility for accuracy of the data and completeness/fairness of the presentation, including all
disclosures, rests with the City. The presentation of this data is fully supported by management's
establishment of a comprehensive internal control framework that is designed both to protect the
government's assets from loss, theft or misuse and to compile sufficient reliable information for the
preparation of the City's financial statements in conformity with generally accepted accounting principles
(GAAP). Because the cost of internal controls should not outweigh its benefits, the City's comprehensive
framework of internal controls has been designed to provide reasonable rather than absolute assurance
that the financial statements will be free from material misstatement. As management, we assert that, to
the best of our knowledge and belief, this Report is complete and reliable in all material respects and is
reported in a manner designed to present fairly the financial position and results of operations of the City
on a Government-wide and Fund basis. All disclosures necessary to enable the reader to gain an
understanding of the City's financial activities have been included.
Florida Statutes and the City Charter require that an annual financial audit be performed by independent
certified public accountants. The audit was performed by James Moore & Co., P.L., licensed certified
public accountants. The goal of the independent audit is to provide reasonable assurance that the financial
statements of the City for the Fiscal Year ended September 30, 2018 are free of material misstatement.
The independent audit involved examining, on a test basis, evidence supporting the amounts and
disclosures in the financial statements; assessing the accounting principles used and significant estimates
made by management; and evaluating the overall financial statement presentation. The independent
auditor concluded, based upon the audit, that there was a reasonable basis for rendering an unmodified
opinion that the City's financial statements for the Fiscal Year ended September 30, 2018 are fairly
presented in conformity with GAAP. The independent auditor's report is located at the front of the
financial section of this Report.
GAAP requires that management provide a narrative introduction, overview and analysis to accompany
the basic financial statements in the form of Management's Discussion and Analysis(MD&A). This letter
of transmittal is designed to complement the MD&A and should be read in conjunction with it. The City's
MD&A can be found immediately following the report of the independent auditors.
- 7 - THE
SPACE
BETWEEN
100 Polk Avenue —P.O. Box 326 • Cape Canaveral, FL 32920'
(321) 868-1220 • Fax (321) 868-1248
Visit us at www.cityofcapecanaveral.org • info@:cityofcapecanaveral.org • #TheSpaceBetween
The Honorable Mayor, et al
PROFILE OF THE GOVERNMENT
The City of Cape Canaveral was incorporated as a municipal corporation in May 1963. The City is
located on the Atlantic Ocean approximately midpoint between Miami and Jacksonville and is slightly
over 50 miles east of Orlando. This 1.9 square-mile beach and coastal community serves a population of
10,227 and is bounded on the west by the Banana River, on the north by Port Canaveral, on the east by
the Atlantic Ocean and on the south by the City of Cocoa Beach.
The City is governed by an elected mayor, mayor pro tem and three council members. The Council is
responsible, among other things, for passing ordinances, adopting the budget, approval of property tax
levies, appointing committees and hiring of the City Manager. The City Manager is responsible for
carrying out the policies and ordinances of the Council, overseeing the day-to-day operations of the City,
drafting the annual budget and appointing Directors of the various City departments.
The City provides a full range of services which include police, contracted with the Brevard County
Sheriff’s Office, and fire/EMS protection contracted with the Cape Canaveral Volunteer Fire Department,
Inc. The City provides recreational activities, cultural events, solid waste, wastewater, reclaimed water,
stormwater, community development and maintenance of streets and infrastructure.
The annual budget, adopted prior to October 1st, serves as the foundation fo r the City’s financial planning
and control. The budget is approved by fund. Amendments to funds and transf ers between departments
require Council approval. Budget to actual comparisons are provided in this Report for each
governmental fund for which an appropriated annual budget has been adopted.
ECONOMIC CONDITION AND OUTLOOK
The City’s economy is anchored by Port Canaveral, Canaveral Air Force Station, Patrick Air Force Base
and Kennedy Space Center, along with ancillary defense and aerospace contractors. The City's proximity
to Orlando, coupled with its riverfront parks and beaches, also help spur tourism activity. Income levels
are average. Cape Canaveral unemployment during Fiscal Year 2018 averaged 3.4% and is currently at
3%, (according to Homefacts.com). The national unemployment rate dropped to 3.7% in September 2018
(reference the Bureau of Labor Statistics). Due to accelerated hiring, Cape Canaveral, as well as Brevard
County, will continue to show improvement due to increased industry growth at the Kennedy Space
Center and Canaveral Air Force Station; increased aerospace and high technological manufacturing
companies such as Blue Origin, Space X, Embraer S.A. and Northrup Grumman’s expansion at the
Melbourne International Airport; expansion of Port Canaveral’s Crui se and Cargo Industry; and numerous
service-oriented companies countywide. Housing indicators have risen according to data provided by
Market Watch Space Coast Daily. The area's median single-family home price has risen by 3.3% over the
previous year and is expected to rise again in 2019. Overall, foreclosure rates within the county are down
considerably, and the City of Cape Canaveral with the aforementioned proximity to core businesses,
military installations and the second busiest cruise ship port in the world continues to fare better than
most municipalities. The above factors will likely lead to continued moderate increase in assessed
property valuation with increased re venues projected for utility taxes, franchise fees, state shared
revenues, building permits, impact fees and utility revenues.
MAJOR INITIATIVES
Capital Projects completed in 2018 by the Public Works Services (PWS) Department were much needed
improvements to both the City’s wastewater and stormwater systems. These Capital Projects were funded
through a number of sources, including the Enterprise Capital Fund (Stormwater and Wastewater), an
approved State Revolving Fund (SRF) loan from Florida Department of Environmental Protection
(FDEP) and grants from various agencies (e.g., FDEP).
- 8 -
The Honorable Mayor, et al
Transportation
PWS Staff continues to improve streetscape projects including Ridgewood Avenue and North Atlantic
Avenue. Upgrades to Ridgewood Avenue included the installation of additional vehicular/ pedestrian
signage and landscaping improvements. Upgrades to North Atlantic Avenue incl uded (1) installation of
additional vehicular/pedestrian signage, (2) installation of a rectangular rapid flashing beacon (RRFB)
pedestrian crossing sign at the intersection with Washington Avenue (3) installation of pervious
pavement (Flexi-pave) in erosion-prone areas and (4) installation of three bus shelters provided by Space
Coast Area Transit. Future improvements for North Atlantic Avenue include construction of a “pocket
park” and placement of other features (e.g., benches, wayfinding signage, etc.) along the route. Funds are
budgeted annually to continually improve these pedestrian-friendly streetscapes.
Florida Department of Transportation (FDOT) initiated a mast arm installation project along State Road
(SR) A1A. Traffic mast arms will be installed at the intersections with Holman Road, Center Street and
North Atlantic Avenue. Sidewalk and other pedestrian improvements will also be performed.
Wastewater System
The oxidation ditch improvements project was completed and included the complete redesign of the
oxidation ditch system at the Water Reclamati on Facility (WRF). The redesign provides a second
oxidation ditch process for use in emergencies and will allow for improved maintenance. The work
included replacement of all pumps and valves for a more efficient system and installation of a cover to
limit offsite spray. Funds for the project were from the City’s 2013 SRF loan.
The Lift Station No. 2 gravity sewer replacement project is nearing completion. This project includes the
replacement of all manholes and the sanitary sewer line from Holman Road to Center Street. The
manholes and sewer lines, which are located within 100 feet of the Banana River, were leaking due to old
age and allowing the infiltration of groundwater. The project is due for completion in January 2019.
Force Main No. 3 from Lift Station No. 3 (West Central Boulevard) to Thurm Boulevard was replaced.
This force main was the oldest in the City and experienced numerous breaks over the past five years. In
an effort to reduce replacement costs and future growth, a shorter route was designed.
Numerous improvements were performed on the gravity sewer line located ad jacent to the northern
portion of the Central Ditch. Several manholes, manhole lids and sewer pipe were placed in selected
northern areas of the line to eliminate the leakage of sewage directly into the Central Ditch.
Many smaller-scope improvement projects were also completed at the WRF and lift stations in 2018
including replacement and/or upgrade of the following:
Returned activated sludge (RAS) pumps and motors;
Water activated sludge (WAS) pumps and motors;
IRP pumps and motors;
Reclaimed water pumps;
Sludge holding blowers;
Lift station pumps;
Transfer basin pumps and motors;
Piermount mixers; and
Various valves.
The City is currently preparing (1) a Wastewater Facilities Plan to obtain an additional SRF loan and (2) a
Process Evaluation Report of the WRF to comply with a Consent Order with FDEP. The Consent Order
was required by FDEP to address exceedances of to tal nitrogen and total phosphorous in treated
wastewater that occurred from June 2017 throug h February 2018. The report will propose future
improvements to the WRF and sanitary sewer system.
- 9 -
The Honorable Mayor, et al
Stormwater System
The Banana River shoreline along the WRF was “armored” with rip rap and existing mangroves were
utilized to form a living shoreline. The security fence was also relocated away from the shoreline. This
project included improvements similar to those completed along the shorelines of Manatee Sanctuary
Park and Banana River Park.
Initial tasks are underway for improvements to the Canaveral City Park Exfiltration System. Future
improvements will allow for the discharge of excess reclaimed water to the system instead of to the
Banana River. This will provide the City with hundreds of stormwater credits in the Total Maximum
Daily Load (TMDL) Program administered by FDEP. Major construction of the exfiltration chambers
beneath the Park was previously completed; the remaining ancillary construction activities will be
completed in 2019.
Beemats were placed in the two stormwater ponds at the WRF and the stormwater pond at Manatee
Sanctuary Park. The beemats consist of native vegetation placed into mats that are allowed to float on the
surface water in the ponds. The beemats uptake nitrogen and phosphorous in stormwater thus reducing
nutrient concentrations discharged to the Banana River.
The City maintained an active stormwater system maintenance progr am in 2018. Activities included the
replacement of older style stormwater inlets (16) with new Type “C” inlets. These newer inlets require
less maintenance, are not damaged as easily by vehicular traffic, prohibit larger debris from entering the
stormwater system and provide improved stormwater flow. Street sweeping of all curbed streets also
continues on a monthly basis.
Major 2019 Wastewater Projects
Capital Projects to be initiated or completed in 2019 are numerous and much needed improvements to
both the City’s wastewater and stormwater systems. These Capital Projects will be funded through a
number of sources including the Enterprise Capital Fund (Stormwater and Wastewater), an additional
SRF loan from FDEP and potential grants from various agencies (e.g., FDEP). The major projects include
the following:
Intermediate pump station at the WRF will be rebuilt to allow for larger flows and eliminate
overflows.
Influent screen improvements will be performed to eliminate debris from entering the
wastewater treatment process.
Disc-type filters will be installed in-place of the existing sand filters, which will drastically
reduce maintenance costs.
Lift Station No. 3 located adjacent to the Central Ditch on West Central Boulevard will be
replaced to improve efficiency and reduce leakage.
Lift Station No. 5 located within the Treasure Island Condominium complex will be
replaced/relocated.
WRF supervisory control and data acquisition (SCADA) system will be updated to improve
communication from lift stations to the WRF and improve efficiency of the wastewater
treatment process.
Lift Station No. 7 and associated line work along Thurm Boulevard will be replaced from
Manatee Sanctuary Park to the WRF.
Numerous smaller-scope wastewater projects w ill be completed or initiated in 2019 including
replacement and/or upgrade of the following:
RAS pumps and motors;
WAS pumps and motors;
- 10 -
The Honorable Mayor, et al
IR pumps and motors;
Reclaimed water pumps;
Lift station pumps;
Transfer basin pumps and motors;
Sludge holding blowers;
Piermount mixers;
Various valves; and
WRF lighting.
Major 2019 Stormwater Projects
A number of smaller-scale projects are being investigated for construction of stormwater improvements
for properties located along the Banana River including:
Carver’s Cove;
Cape Shores;
Justamere Road; and
Hitching Post Road.
PWS Staff is currently negotiating easements with property owners to construct these stormwater
improvement projects. The Save Our Indian River Lagoon Program may provide funding assistance.
The City is investigating the possible purchase of land along Center Street for the construction of a wet
detention pond. This pond would treat a significant portion of stormwater from the Center Street Drainage
Basin prior to discharge to the Banana River. The property would also be used as a City park with
sidewalks, pedestrian benches, etc.
Routine maintenance of the City’s stormwater system will be continued in 2019. Activities will include
the replacement of older style stormwater inlets with new Type “C” inlets and street sweeping of all
curbed streets on a monthly basis. Nutrient-separating baffle boxes will also be cleaned of floating debris
and sediment after significant rainfall events.
PWS Staff will also continue to assist other depa rtments in the completion of City infrastructure
improvement projects.
City Hall Project. The facility was opened to the public immediately after the Certificate of Occupancy
was issued, on January 16, 2018. The new City Hall combines three core functions that were previously
separated: City Hall, the Community Development Department, formerly located at 110 Polk Ave. and
the City Council Chambers formerly located further down the street at the Public Library. The structure at
110 Polk Ave. was subsequently demolished as part of the overall New City Hall project. As of January
2019, minor punchlist items remain. In the near future, the old City Hall facility will undergo a
repurposing/renovation to become the City’s Cultural Arts Preservation Engagement (CAPE) Center.
Economic Opportunity Overlay District (EOOD). The EOOD is the City’s primary attractor for new
commercial interests. In fact, most of the new commercial development in the City occurs in the EOOD
including, a 151-room Springhill Suites hotel by Marriot, under construction and a 224-room dual-brand
Hampton Inn & Suites and a Home2 Suites, under construction. These projects alone represent $45
million in new investment in the City. An additi onal 150-room Holiday Inn has received site plan
approval, but is not yet under construction.
The EOOD addresses community goals raised in the Visioning Initiative. The district leverages
opportunities for economic development resulting from our proximity to Port Canaveral by attracting
- 11 -
The Honorable Mayor, et al
services desired by the citizens/visitors. It facilitates mixed-use & town center type development. The
EOOD includes increased design standards for architecturally significant buildings, a mechanism for
increased building heights, revised hotel requirements and increased landscaping requirements. The
EOOD includes properties adjacent to Port Canaveral and certain residential properties adjacent to the
Banana River. This makes waterfront destinations possible – another goal of the Visioning Initiative.
Multi-Generational Facility. Located at Canaveral City Park, the most centrally located park in the City,
the coming Multigenerational Center will be a catalyst for community health and engagement. Amenities
will include indoor basketball/volleyball, fitness area, youth/teen area, banquet/gathering area, and an
indoor walking path. The facility will be utilized by all demographics and serve as the host site for the
City’s Youth Center, summer camp program, PAL program, youth basketball program and only
public/private indoor fitness facility open to th e public. Cocoa-based architectural Firm RZK was
awarded the contract to design the facility in mid-2018. The Design Developmental documents have been
reviewed and final Construction Plans are due in the first quarter of 2019. The project will then be
publicly bid and start of construction is expected in the latter half of 2019. As part of the overall site
design, additional parking, pedways and landscaping will set the stage for future Skate Park and Splash
Pad amenities at the Park.
(Rendering of Multi-Generational Facility)
Community Development. To keep up with the changing need s of its customers, the Community
Development Department has begun the process of modernizing its online presence. New software will
increase accessibility and allow residents and business owners opportunities to stay up-to-date and
connected with the City, digitally. Specifically, the software will allow customers to submit City
applications (Business Tax Receipt, Building Permit, etc.) online, which will provide cost savings in time
and money to end users. Additionally, applicants will be able to review the status of submitted
applications and will have the ability to schedule inspections online. The proposed software has a
significantly more robust GIS/mapping capability than is currently available and users will have access to
much more parcel-based information.
The City recognizes the challenges of being a coastal community and is routinely taking action to be more
sustainable and ecologically friendly. The City is committed to delivering policies that are effective and
resilient, and in 2018 was selected to participate in a grant-funded project with the East Central Florida
Regional Planning Council (ECFRPC) to assess climate change and vulnerabilities within the community.
This endeavor will assist Community Development in creating policies and procedures that build on the
City’s existing sustainable initiatives and future capital improvement projects.
- 12 -
The Honorable Mayor, et al
Leisure Services Enhancements. The 12 Shuffleboard courts at the Nancy Hanson Recreation Complex
received a much needed resurfacing in January of 2018. This is an endeavor, which must take place every
5 to 8 years depending on wear in order to provide a proper playing surface. Tennis and Racquetball light
fixtures at the Nancy Hanson Recreation Complex were retrofitted to LED. The new lights are
significantly more cost effective to operate, offer instant on/off/on capabilities, are aerodynamic when
compared to the old light fixtures and fall directly in line with the City’s vison of sustainability.
Community Engagement.
2018 Community Survey
At the direction of City leadership, the Community Engagement Department initiated a nine-week online
Community survey in order to collect resident feedback and measure their perspective on City progress
and priorities. The 69-question survey covered a large scope of topics and allowed participants total
anonymity and freedom with their responses.
The takeaway from the 2018 Community Survey was that the majority of respondents are satisfied with
Community cleanliness, green space, level of ease or safety when biking on residential streets and
attractiveness of completed streetscapes. The majority also felt there has been positive progress over the
last decade with respect to the majority of the topics and services addressed in the survey.
City Website and ADA Accessibility
Respondents to the Cape Canaveral 2018 Community Survey ranked the City website as their most
preferred means of contact and one of the most frequently used sources for information gathering. The
City of Cape Canaveral website averages 28,000 hits a month, which could be greatly improved with
enhanced Search Engine Optimization (SEO) components. In order to be more transparent and build on
Community outreach via an increased web presence, it is important to ensure that the website is
professional, easy to navigate and allows all residents - including those with disabilities - to easily locate
pertinent information.
Because local governments are constantly being asked to do more with less, the Internet plays an
important role in allowing governments to better reach and serve its citizens. Unfortunately, disabled
individuals often face barriers when accessing websites, due to certain designs or features that are
incompatible with various assistive technologies. Recently, an increasing number of lawsuits have been
filed against municipalities concerning government websites and the Americans with Disabilities Act
(ADA). These lawsuits allege violations of the ADA and the Rehabilitation Act related to the
accessibility, or lack thereof, of government websites. The degree to which a local government must make
its website accessible is not well settled, and the Department of Justice has not officially ruled on the
matter. However, there are steps that governments can take to make websites and documents on websites
more accessible to those with disabilities.
As such, the City is establishing and implementing policies ensuring the City’s website will be made
accessible and provide timelines to achieve accessibility. Each policy will address current and future
planned website content and adhere to Web Content Accessibility Guidelines 2.0.
The City has entered into a five-year contract with Revize for a new, custom-designed website at a cost of
$34,450. The redesign will bring the City into compliance with WCAG 2.0 standards and will provide
greater accessibility for disabled individuals. Services under the contract also include website health
checks, unlimited storage, hosting, tech support, a dedicated account manager, software updates,
increased security (as local websites are increasingly targets of cyber threats) and a free website refresh
during year five. The website health checks are meant to correct broken links, grammatical errors, style
inconsistencies and most importantly, scan for ADA compliance. The new City website is scheduled to
launch mid-2019.
- 13 -
The Honorable Mayor, et al
LONG TERM FINANCIAL PLANNING
It is City policy to plan financially towards future Capital Projects. With this is mind, annually the City
adopts a Five Year Capital Improvement Plan to provide funding for acquisitio n of Capital Equipment,
Vehicles and Public Facilities/Infrastructure.
The City’s Wastewater/Stormwater enterprise fund has long term debt of $6,621,615. The City has
already secured two new State Revolving Fund Loans for Wastewater Treatment & Reuse
Facilities/Stormwater Management Facilities at a low 1.68% interest rate. The FY 18-19 Budget
encompasses $2,513,000 in Wastewater/Stormwater Projects to be funded by SRF Loans with semi-
annual payments of $169,154 in June/December and $86,604 in August/February.
AWARDS AND ACKNOWLEDGMENTS
The Government Finance Officers Association of the United States and Canada (GFOA) awarded a
Certificate of Achievement for Excellence in Financial Reporting to the City of Cape Canaveral for its
Comprehensive Annual Financial Report for the Fiscal Year ended September 30, 2017. This was the
nd
23 consecutive year that the City has achieved this prestigious awar d. In order to be awarded a
Certificate of Achievement, a government must publish an easily readable and efficiently organized
Comprehensive Annual Financial Report. This Report must satisfy both generally accepted accounting
principles and applicable legal requirements.
A Certificate of Achievement is valid for a period of one year. We believe the current Comprehensive
Annual Financial Report continues to meet the Certificate of Achievement Program requirements. It will
be submitted to the GFOA to determine eligibility for another Certificate.
The culmination of this document is attributable to numerous facets of this organization. Special
recognition is credited to the Financial Services St aff for their dedication to accurate and thorough
financial reporting and accountability. Our appreciation is extended to the City Council for its dedication
to proactive fiscal policies. Thanks are also extended to the City’s independent auditing firm of James
Moore & Co., P.L., for their assistance with compiling the City’s Comprehensive Annual Financial
Report.
Respectfully submitted,
- 14 -
Organizational Chart
- 15 -
THIS PAGE INTENTIONALLY LEFT BLANK.
- 16 -
City of Cape Canaveral Personnel Organizational Chart FY 2017/18
1 City Attorney's Office i--. City Manager Review Boards 1
L . David L.Greene I 1
Executive Assistant to City Manager
I
I
City Clerk's Administrative Human Community Economic Community Culture& Capital Projects Public Works
Office Financial Resources Development Development Engagement Leisure Services Services
Services — / / •
Culture& Capital Projects Public Works
City Clerk / Human Community Economic Community Director Services Director
o Administrative/ Resources/ Development Development Engagement Leisure Services
Director •. I
Financial Services Risk Director Director
Director
Director
Deputy City Management i Senior
Clerk(1) Director Secretary(1)
Clerical Assist. Data
H Sr.Secretary (1 PT) Coord./Reclaim t
Senior Field Service(1)
Infrastructure
Accountant(1) Maintenance
_ Maintenance Supervisor
School Crossing Building/Code Specialist (1) P
page 17 Guards(3 PT) Enforcement P
Accountant - - _- I1 1 I
(1) Library Services --- — IMSpecialists
Building Official Brevard County Recreation. (S)
L Coordinator(1)
Account.
Tech.(1) I I I IM Workers(2)
Rec.Leader
Procurement Sr.Secretary Code Building (4 PT)
Specialist(1) (2) Enforcement Inspector Collections/
Officer(2) Plans Examiner Reclaim Systems
(2 PT) Cultural Supervisor
Services ,
IUtilities_
Contracted Services Cultural Programs Mechanics(3)
Manager
Instrumentation Tech
_ 1 _ _ _ _ (1)
I Fire/Rescue Services I I Protective 1
Solid Waste
J Environ.Analyst. Supervisor
IDave Sargeant,Chief 11 Services 1 I Regulatory,Laboratory WW Plant
Collection Services
1 11 Linda Moros, I I Operations Operations
Waste Pro.Inc.
I
I Commander I L
l
Plant Operator
(5 FT&2 PT)
THIS PAGE INTENTIONALLY LEFT BLANK.
- 18 -
Government Finance Officers Association
Certificate of
Achievement
for Excellence
in Financial
Reporting
Presented to
City of Cape Canaveral
Florida
For its Comprehensive Annual
Financial Report
for the Fiscal Year Ended
September 30, 2017
Executive Director/CEO
- 19 -
THIS PAGE INTENTIONALLY LEFT BLANK.
- 20 -
Financial Section
- 21 -
THIS PAGE INTENTIONALLY LEFT BLANK.
- 22 -
Independent Auditors’ Report
- 23 -
THIS PAGE INTENTIONALLY LEFT BLANK.
- 24 -
James Moore
Certified Public Accountants and Consultants
INDEPENDENT AUDITORS' REPORT
To the Honorable Mayor, City Council,and City Manager,
City of Cape Canaveral,Florida:
Report on the Financial Statements
We have audited the accompanying financial statements of the governmental activities, the business-type
activities, each major fund, and the aggregate remaining fund information of City of Cape Canaveral,
Florida(the City), as of and for the year ended September 30, 2018, and the related notes to the financial
statements, which collectively comprise the City's basic financial statements as listed in the table of
contents.
Management's Responsibility for the Financial Statements
The City's 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.
Auditors'Responsibility
Our responsibility is to express opinions on these financial statements based on our audit. 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. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in
the financial statements. The procedures selected depend on the auditors' judgment, including the
assessment of the risks of material misstatement of the financial statements,whether due to fraud or error.
In making those risk assessments,the auditor considers internal control relevant to the entity's preparation
and fair presentation of the financial statements 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 entity's
internal control. Accordingly, we express no such opinion. An audit also includes evaluating the
appropriateness of accounting policies used and the reasonableness of significant accounting estimates
made by management, as well as evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for
our audit opinions.
Opinions
In our opinion, the financial statements referred to above present fairly, in all material respects, the
respective financial position of the governmental activities, the business-type activities, each major fund,
and the aggregate remaining fund information of the City, as of September 30, 2018, and the respective
changes in financial position and where applicable, cash flows and the respective budgetary comparisons
for the General and Cape Canaveral CRA funds for the year then ended in accordance with accounting
principles generally accepted in the United States of America.
- 25 -
121 Executive Circle 133 East Indiana Avenue 5931 NW 1st Place 2477 Tim Gamble Place,Suite 200
Daytona Beach,FL 32114-1180 DeLand,FL 32724-4329 Gainesville,FL 32607-2063 Tallahassee,FL 32308-4386
Telephone:386-257-4100 Telephone:386-738-3300 Telephone:352-378-1331 Telephone:850-386-6184
Website:www.jmco.com 1 Email:info@jmco.com Member of AGN International with offices in principal cities worldwide
Other Matters
Required Supplementary Information
Accounting principles generally accepted in the United States of America require that the management's
discussion and analysis and required supplementary information, as listed in the table of contents, 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
01 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.
Other Information
Our audit was conducted for the purpose of forming opinions on the financial statements that collectively
comprise the City's financial statements as a whole. The introductory section, combining and individual
nonmajor fund financial statements, and statistical section are presented for purposes of additional
analysis and are not a required part of the basic financial statements. The accompanying schedule of
expenditures of state financial assistance as required by Section 215.97, Florida States, Florida Single
Audit Act, is presented for purposes of additional analysis and is not a required part of the basic financial
statements.
The combining and individual nonmgjor fund financial statements and schedule of expenditures of state
financial assistance 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. The 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 usedpto 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 schedule of expenditures of state financial assistance are fairly
stated,in all material respects,in relation to the basic financial statements as a whole.
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.
Other Reporting Required by Government Auditing Standards
In accordance with Government Auditing Standards, we have also issued our report dated February 12,
2019, on our consideration of the City'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 the City's internal control over financial
reporting and compliance.
Daytona Beach,Florida
February 12,2019
-26-
Management's Discussion
and Analysis
- 27 -
THIS PAGE INTENTIONALLY LEFT BLANK.
- 28 -
City of Cape Canaveral,Florida
Management's Discussion and Analysis
As management of the City of Cape Canaveral, we provide readers of the City's financial statements this
overview and analysis of the City's financial activities for the fiscal year ended September 30, 2018.
Readers are encouraged to consider the information presented in conjunction with additional information
furnished in the letter of transmittal,which can be found on pages 7-14 of this report.
Financial Highlights
• The assets of the City exceeded its liabilities at the close of the most recent year by$48.8 million
(net position). Of this amount, $5.7 million(unrestricted net position)may be used to meet the
City's ongoing obligations.
• The City's total net position increased by$1.28 million.This is the result of construction projects
completed during the year and the addition of capital assets, funded primarily through capital
contributions and grants.
• At the close of the fiscal year, the City's governmental funds reported combined ending fund
balances of$11.1 million, an increase of$432 thousand in comparison with the prior year.
• At the close of the fiscal year, fund balance for the General Fund was $11,484,228. Of this
amount, $3,312 relates to inventory and prepaids as well as long term advances and is therefore
nonspendable. The remaining fund balance includes: restricted ($774,321), committed
($6,598,862), assigned ($1,034,776) and unassigned ($3,072,957) balances. Within the
committed fund balance category,the largest piece is$6,225,959 committed for the construction
of a Multigenerational Center and Cultural Arts Preservation Enrichment (CAPE) Center.
Unassigned funds are available to fund on-going activities of the City's various General Fund
services and programs.
• The City's total long-term liabilities increased $649,752. This was due primarily to receipt of
additional State Revolving Fund money,offset by annual debt service payments on the Capital
Improvement Revenue Notes.
Overview of the Financial Statements
This discussion and analysis are intended to serve as an introduction to the City's financial statements. The
City's basic financial statements comprise three components: 1)government-wide financial statements,2)
fund financial statements, and 3) notes to the financial statements. This report also contains other
supplementary information in addition to the basic financial statements themselves.
Government-wide financial statements. The government-wide financial statements are designed to
provide readers with a broad overview of the City's finances, in a manner similar to a private-sector
business.
The Statement of Net Position presents information on all of the City's assets and liabilities, with the
difference between the two reported as net position. Over time,increases or decreases in net position may
serve as a useful indicator of whether the financial position of the City is improving or deteriorating.
The Statement of Activities presents information showing how the City's net position changed during the
most recent fiscal year.All changes in net position are reported as soon as the underlying event giving rise
to the change occurs, regardless of the timing of related cash flows. Thus, revenues and expenses are
reported in this statement for some items that will only result in cash flows in future fiscal periods. (e.g.,
uncollected taxes and earned but unused vacation leave).
Both of the government-wide financial statements distinguish functions of the City that are principally
supported by taxes and intergovernmental revenues(governmental activities)from other functions that are
intended to recover all or a significant portion of their costs through user fees and charges (business-type
activities). The governmental activities of the City include general government,public safety,infrastructure
maintenance,sanitation,economic development,culture and recreation.The business-type activities of the
- 29 -
City of Cape Canaveral,Florida
Management's Discussion and Analysis
City include Wastewater and Stormwater operations. The government-wide financial statements can be
found on pages 42-43 of this report.
Fund financial statements. A fund is a grouping of related accounts used to maintain control over
resources that have been segregated for specific activities or objectives. The City,like other state and local
governments, uses fund accounting to ensure and demonstrate compliance with finance-related legal
requirements. All of the funds of the City can be divided into two categories: governmental funds and
proprietary funds.
Governmental funds. Governmental funds are used to account for essentially 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 near-term inflows and ou flows
of spendable resources, as well as on balances of spendable resources available at the end of the fiscal
year. Such information may be useful in evaluating a government's near-term financing requirements.
Because the focus of governmental funds is narrower than that of the government-wide financial statements,
it is useful to compare the information presented forgovernmental 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 City's near-term financing decisions. Both the governmental fund
balance sheet and the governmental fund statement of revenues,expenditures and changes in fund balances
provide a reconciliation to facilitate this comparison between governmental funds and governmental
activities.
The City maintains eight individual governmental funds. Information 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,Cape Canaveral Community Redevelopment Agency Fund,
Capital Construction Fund, all of which are considered major funds. Financial data from the other five
governmental funds are combined into a single, aggregated presentation. Individual fund data for each of
these non-major governmental funds is provided in the form of combining statements presented in the
supplementary information section of this report.
The City adopts an annual appropriated budget for its governmental funds. Budgetary comparison
statements for the major and non-major funds have been provided to demonstrate compliance with the
budget in this report.
The basic governmental fund financial statements can be found on pages 44—49 of this report.
Proprietary funds. The City maintains two proprietary("Enterprise")funds. Enterprise funds are used to
report the same functions presented as business-type activities in the government-wide financial statements.
The City uses enterprise funds to account for its Wastewater and Stormwater operations.
The statements for the proprietary funds provide the same type of information as the government-wide
financial statements, only in more detail. The proprietary fund financial statements provide separate
information for the Wastewater and Stormwater operations,which are considered major funds of the City.
The basic proprietary fund financial statements can be found on pages 50- 52 of this report.
Other information. In addition to the basic financial statements and accompanying notes,this report also
presents certain required supplementary information concerning the funding of Other Post-Employment
Benefits. Required supplementary information and the related footnotes can be found on page 76 of this
report.
The combining statements referred to earlier in connection with non-major governmental funds are
presented immediately following the required supplementary information. Combining and individual fund
statements can be found on pages 75 —79 of this report.
- 30-
City of Cape Canaveral,Florida
Management's Discussion and Analysis
Government-wide Financial Analysis
As stated earlier,net position may serve over time as a useful indicator of a government's financial position.
In the case of the City of Cape Canaveral, assets exceeded liabilities by $48.8 million at the close of the
2018 fiscal year.
By far the largest portion of the City's net position,$41.57 million(85.2%)reflects its investment in capital
assets (e.g., land,buildings, machinery and equipment); less any related 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 its capital assets is
reported net of related debt,it should be noted that the resources needed to repay this debt must be provided
from other sources,since the capital assets themselves cannot be used to liquidate these liabilities.
City of Cape Canaveral, Florida
Statement of Net Position
Governmental Activities Business-type Activities Total
2018 2017 2018 2017 2018 2017
Current and other assets $ 11,566,798 $ 11,538,160 $ 3,677,574 $ 3,763,625 $ 15,244,372 $ 15,301,785
Capital Assets(Net) 25,868,763 25,921,142 25,546,849 23,497,688 51,415,612 49,418,830
Total Assets 37,435,561 37,459,302 29,224,423 27,261,313 66,659,984 64,720,615
Current and other liabilitie 1,848,272 2,177,647 1,370,745 905,698 3,219,017 3,083,345
Long-term Liabilities 8,001,624 9,152,477 6,641,998 5,035,504 14,643,622 14,187,981
Total Liabilities 9,849,896 11,330,124 8,012,743 5,941,202 17,862,639 17,271,326
Net Position:
Net Investment in
Capital Assets 23,031,722 15,762,142 18,534,388 18,230,977 41,566,110 33,993,119
Restricted 1,240,280 715,241 311,774 523,141 1,552,054 1,238,382
Unrestricted 3,313,663 9,651,795 2,365,518 2,565,993 5,679,181 12,217,788
Total Net Position $ 27,585,665 $ 26,129,178 $ 21,211,680 $ 21,320,111 $ 48,797,345 $ 47,449,289
A portion of the City's net position, $1,552,054,or 3.2%of total net position,represents resources that are
subject to external restriction on how they may be used. The balance of unrestricted net position totaling
$5,679,181 may be used to meet the City's ongoing obligations to citizens and creditors and to provide
funding for various projects.
At September 30,2018,the City is able to report positive balances in all three categories of net assets,both
for the City as a whole and for its separate governmental and business-type activities. The same situation
held true for the prior fiscal year.
The City experienced an overall increase in net position for Governmental activities of$1,414,880. The
decrease for business-type activities was$132,824.
- 31 -
City of Cape Canaveral,Florida
Management's Discussion and Analysis
City of Cape Canaveral,Florida
Changes in Net Position
Go-vernmental Activities Business-type Activities Total
2018 2017 2018 2017 2018 2017
REVENUES
Program Revenues:
Charges forServices $ 1,846,007 $ 1,713,629 $ 4,761,450 $ 4,601,077 $ 6,607,457 $ 6,314,706
Operating Grants and Contributiom 320,181 332,189 - - 320,181 332,189
Capital Grants and Contributions 55,123 460,249 465,038 55,123 925,287
General Revenues:
Property Taxes 4,434,439 3,546,026 - 4,434,439 3,546,026
Utility and Franchise Taxes 2,498,499 2,461,812 2,498,499 2,461,812
Intergovernmental 1,682,505 1,482,570 1,682,505 1,482,570
Investment Income 164,414 76,501 17,079 18,568 181,493 95,069
Miscellaneous/Contributions 55,294 64,478 34,700 5,401 89,994 69,879
Total Revenues 11,056,462 10,137,454 4,813,229 5,090,084 15,869,691 15,227,538
EXPENSES
General Government 1,685,262 1,323,430 - - 1,685,262 1,323,430
Community Development 427,849 414648 427,849 414,648
Public Safety 4,813,735 4,758,227 4,813,735 4,758,227
Intrastructure Maintenance 2,530,280 2,879,334 2,530,280 2,879,334
Culture/Recreation 671,362 641,703 671,362 641,703
Community Redevelopment 2,508 102,732 2,508 102,732
Interest on long-term debt 211,511 101,772 211,511 101,772
Wastewater - - 3,560,126 3,149,054 3,560,126 3,149,054
Stormwater - - 685,002 526,404 685,002 526,404
Total Expenses 10,342,507 10,221,846 4,245,128 3,675,458 14,587,635 13,897,304
Excess(Deficiency)Before Transfers 713,955 (84,392) 568,101 1,414,626 1,282,056 1,330234
Transfers 700,925 828,930 (700,925) (828,930) - -
Change in Net Position 1,414,880 744,538 (132,824) 585,696 1,282,056 1,330,234
Net Position-Beginning as Restated 26,170,785 25,384,640 21,344,504 20,734,415 47,515,289 46,119,055
NetPosition-Ending $ 27,585,665 $ 26,129,178 $ 21,211,680 $ 21,320,111 $ 48,797,345 $ 47,449,289
Statement of Activities
Governmental activities:
The Changes in Net Position Table on page 31 reflects a governmental revenue (excluding transfers)
increase of $919,008, an increase of 9.07% from the previous fiscal year. This increase reflects both
program and general revenues. Governmental program revenues decreased$284,756, an 11.36% decrease
from 2017. This decrease is primarily the result of a decrease in Capital Grants and Contributions of
$417,134 offset by an increase of$132,378 in Charges for Services.
- 32-
City of Cape Canaveral,Florida
Management's Discussion and Analysis
Revenues by Source - Governmental Activities
Utility and Franchise (does not include transfers)
22.60% W Intergovernmental
revenues
15% ■ Operating grants
and contributions
4111111111 2.90%
LJ Capital grants and
9 Other contributions
5% JW 0.50%
■ Investment income
1.49%
W Miscellaneous
0.50%
Property tax _j Charges for services
40% 17%
The remaining change relates to general revenues and changes in governmental expenses. Significant
factors include the following:
• Property taxes increased $888,413 from 2017. Note that by the end of Calendar Year 2018 property
values increased by 3.3%.
• Intergovernmental income increased $199,935 over the revenue for 2017. This increase related to
revenues received from the county for the Community Redevelopment Agency increase in valuation
and various State revenue sharing entities.
• Transfers in decreased$128,005 or 15.44%.
• Expenses for governmental activities increased $120,661 over the prior year, showing a 1.18%
increase over 2017 amounts. The most significant increases were related to increases in General
Government of$361,832 and a $109,739 increase in Interest on Long-Term Debt. These increases
were offset by a decrease in Infrastructure Maintenance ($349,054) and decrease in Community
Redevelopment($100,224).
Expenses Pro ram Revenues - Governmental Activities
100%
80%
60%
0
40/o ■ C mmunity Redevelopment
20% ■ lture/Recreation
0%
■ rastructure Maintenance
C:3 ■ Public Safety
■ Community Development
■ General Government
- 33 -
City of Cape Canaveral,Florida
Management's Discussion and Analysis
Business-type activities
Business-type activities experienced a decrease in net position of$132,824,or.62%.
• The major source of revenue for business-type activities is charges for services,which increased
$160,373 (3.49%).The City's Stormwater rates increased in January 2017;thus fiscal 2018 was
the first full year of the increased rates. Wastewater and reclaimed water rates increased in
October 2017,with additional revenue partially offset by increases in the City's water provider
rates by 5%during 2017.
• Capital Grants and Contributions decreased $465 thousand. This relates to the close out of the
Enterprise Capital Fund. In prior years, projects completed within this fund for proprietary
operations would be donated to the respective Enterprise fund.
• Investment income decreased by $1,489 (8%). This decrease is the result lower rates of return
during 2018.
• Expenses for both Wastewater and Stormwater operations increased during 2018. The increase
for all Business-type activities was only $569,670 or 15.5%. Wastewater accounted for
approximately 72%of this increase.
Expenses & Program Revenues ■ Expenses
Business-type Activities
■ Program Revenues
5,000,000
4,000,000
3,000,000
2,000,000
1,000,000
Wastewater Stormwater
Revenues by Source
Business-type Activities Other, 1.1%
Chargesfor
Services, 98.9%
■ Charges for
Investment Services
Income, 0.4%
■ Investment
Miscellaneous Income
revenues, 0.7%
■ Miscellaneous
revenues
- 34-
City of Cape Canaveral,Florida
Management's Discussion and Analysis
Financial Analysis of the Government's Funds
As noted earlier,the City uses fund accounting to ensure and demonstrate compliance with finance-related
legal requirements.
Governmental funds. The focus of the City's reporting of governmental funds is to provide information
on near-term inflows, outflows, and balances of spendable resources. Such information is useful in
assessing the City's financing requirements. In particular, unassigned fund balance may serve as a useful
measure of the City's net resources available for spending at the end of the fiscal year.
The City is strategically using its resources more effectively through the recent Economic Development
restructuring which increased focus and provided leverage for the success of the City's future. As of the
end of the current fiscal year,the total fund balance of the City's governmental funds was $11,098,646, an
increase of$432,848 or 4.06%from the prior fiscal year.
The General Fund,the City's main governmental fund,experienced an overall decrease in fund balance of
$335,907 or 2.8%. The most significant reason for this increase can be contributed to the issuance of the
Capital Revenue Note, series 2017 for the Multigenerational Center and Cultural Arts Preservation
Enrichment(CAPE)Center and an increase in principal payments during 2018.
General Fund Current Expenditures by Function
50.0% ■ General Government
40.0% ■ CommunityDevelopment
30.0% ■ Public Safety
■ Transportation
20.0% ■ Physical Environment
10.0% ■ Infrastructure Maintenance
■ Culture/Recreation
0.0%
FY18 FY17 ■ Debt Service
The General Fund is the City's chief operating fund. At the end of the current fiscal year,total fund balance
was $11,484,228. Of this amount, $3,312 relates to inventory and prepaids as well as long term advances
and is therefore nonspendable. The remaining fund balance includes restricted ($774,321), committed
($6,598,862), assigned ($1,034,776) and unassigned ($3,072,957). Within the committed fund balance
category,the largest piece is$6,225,959 for the construction of a multigenerational center and Cultural Arts
Preservation Enrichment (CAPE) Center. The unassigned fund balance represents 28.12% of the total
general fund expenditures. The total fund balance represents 105.09% of the total general fund
expenditures. Unassigned funds are available to fund on-going activities of the City's various services and
programs.
The City maintains two additional major governmental funds. The Cape Canaveral CRA Fund reflects fund
balance of$51,524 at September 30, 2018. This is a significant improvement over the $322,941 negative
fund balance as of September 30, 2017. This negative fund balance was the result of the receipt of an
additional$420,785 advance to the Wastewater Fund for the portion of a wastewater capital project within
the CRA district,offset by repayment of approximately$60K during 2017. The Capital Construction Fund
has negative fund balance of$851,629 at September 30, 2018. This negative fund balance is the result of
- 35 -
City of Cape Canaveral,Florida
Management's Discussion and Analysis
these funds residing in the General Fund and not transferred to the Capital Construction Fund. This fund is
used for the acquisition of land and construction of major capital facilities for governmental funds.
Significant purchases during the current year are directly related to the construction of the New City Hall.
The major portion of these purchases were paid to Doug Wilson Enterprises in the amount of$2,514,620.
Nonmajor Special Revenue funds maintained fund balances at the end of the fiscal year o£
• Police Education Fund$21,883
• Fire Protection Fund$7,496
• School Crossing Guard ($532)
• Library Fund $384,017
• Special Law Enforcement Trust$1,659
All fund balances of the Non-major governmental funds are restricted by an outside parry as to use,except
the School Crossing Guard Fund,which is committed for public safety. At September 30,2018,the School
Crossing Guard Fund's fund balance is reflected as unassigned due to the negative fund balance.
Proprietary funds. The City's proprietary funds provide the same type of information found in the
government-wide financial statements,but in more detail.
Unrestricted net position of the Wastewater Utility Fund at the end of the year amounted to $1,174,660,
and the Stormwater Utility amounted to $1,190,858. The total decrease in net position for the Wastewater
Utility Fund was $211,632, and the increase for the Stormwater Utility was $78,808. Other factors
concerning the finances of these two funds have already been addressed in the discussion of the City's
business-type activities.
General Fund Budgetary Highlights
At the end of FYI 8, as result of amendments made during the year, the final amended budget decreased
$546,056 from the adopted budget. The most significant change was related to a decrease in general
government of$551,796,and a decrease of$119,084 for infrastructure maintenance.These decreases were
the result of unbudgeted liquidations used in the completion of the New City Hall.
General Fund Actual vs Budgets
Debt Service ■Origit al Budget
Culture/Recreation
■Final 3udget
Infrastructure Maintenance
Public Safety
CommunityDevelopment
General Government
$- $1,000,000 $2,000,000 $3,000,000 $4,000,000 $5,000,000 $6,000,000
- 36-
City of Cape Canaveral,Florida
Management's Discussion and Analysis
During the year,actual revenues on a budgetary basis were $10,322,456. Actual revenues exceed the final
budgetary estimate of$9,850,249 in several categories. The most significant were taxes ($216,697 over
budget)and Intergovernmental revenue,which exceeded final budget by$215,037.This was due to a slight
increase in the millage for 2018 and approved Federal Disaster Relief for Hurricane Matthew. The final
budget for general government expenditures was $349,066 more than actual. Likewise, final budget for
Infrastructure Maintenance was $109,496 more than actual expenditures. All other final budgeted
expenditures equaled budgeted amounts.
Capital Asset and Debt Administration
Capital assets.The City's investment in capital assets for its governmental and business-type activities as
of September 30, 2018, amounts to $51,415,612, net of accumulated depreciation. This investment in
capital assets includes land,buildings and system improvements,machinery and equipment,park facilities,
roads and construction work in progress. The City's investment in capital assets increased $1,996,782. A
decrease of$52,379 (.2%) in governmental activities and an increase of$2,049,161 (8.7%) for business-
type activities make up the total.
Significant capital asset events during the current fiscal year included the following:
• PWS Staff continued to improve streetscape projects including Ridgewood Avenue and North
Atlantic Avenue. Upgrades to Ridgewood Avenue included the installation of additional vehicular/
pedestrian signage and landscaping improvements. Upgrades to North Atlantic Avenue included (1)
installation of additional vehicular/pedestrian signage,(2)installation of a rectangular rapid flashing
beacon(RRFB)pedestrian crossing sign at the intersection with Washington Avenue (3)installation
of pervious pavement (Flexi-pave) in erosion-prone areas and (4) installation of three bus shelters
provided by Space Coast Area Transit. Future improvements for North Atlantic Avenue include
construction of a"pocket park" and placement of other features (e.g.,benches,wayfinding signage,
etc.) along the route. Funds are budgeted annually to continually improve these pedestrian-friendly
streetscape s.
• Florida Department of Transportation (FDOT) initiated a mast arm installation project along State
Road (SR) AIA. Traffic mast arms will be installed at the intersections with Holman Road, Center
Street and North Atlantic Avenue. Sidewalk and other pedestrian improvements will also be
performed.
• The oxidation ditch improvements project was completed and included the complete redesign of the
oxidation ditch system at the Water Reclamation Facility (WRF). The redesign provides a second
oxidation ditch process for use in emergencies and will allow for improved maintenance. The work
included replacement of all pumps and valves for a more efficient system and installation of a cover
to limit offsite spray.Funds for the project were from the City's 2013 SRF loan.
• The Lift Station No.2 gravity sewer replacement project is nearing completion.This project includes
the replacement of all manholes and the sanitary sewer line from Holman Road to Center Street.The
manholes and sewer lines,which are located within 100 feet of the Banana River,were leaking due
to old age and allowing the infiltration of groundwater. The project is due for completion in January
2019.
• Force Main No. 3 from Lift Station No. 3 (West Central Boulevard) to Thurm Boulevard was
replaced. This force main was the oldest in the City and experienced numerous breaks over the past
five years. In an effort to reduce replacement costs and future growth,a shorter route was designed.
• Numerous improvements were performed on the gravity sewer line located adjacent to the northern
portion of the Central Ditch. Several manholes,manhole lids and sewer pipe were placed in selected
northern areas of the line to eliminate the leakage of sewage directly into the Central Ditch.
• The City is currently preparing(1)a Wastewater Facilities Plan to obtain an additional SRF loan and
(2)a Process Evaluation Report of the WRF to comply with a Consent Order with FDEP.The Consent
- 37-
City of Cape Canaveral,Florida
Management's Discussion and Analysis
Order was required by FDEP to address exceedances of total nitrogen and total phosphorous in treated
wastewater that occurred from June 2017 through February 2018. The report will propose future
improvements to the WRF and sanitary sewer system.
• The Banana River shoreline along the WRF was"armored"with rip rap and existing mangroves were
utilized to form a living shoreline. The security fence was also relocated away from the shoreline.
This project included improvements similar to those completed along the shorelines of Manatee
Sanctuary Park and Banana River Park.
• Initial tasks are underway for improvements to the Canaveral City Park Exfiltration System. Future
improvements will allow for the discharge of excess reclaimed water to the system instead of to the
Banana River. This will provide the City with hundreds of stormwater credits in the Total Maximum
Daily Load(TMDL)Program administered by FDEP.Major construction of the exfiltration chambers
beneath the Park was previously completed; the remaining ancillary construction activities will be
completed in 2019.
• Beemats were placed in the two stormwater ponds at the WRF and the stormwater pond at Manatee
Sanctuary Park. The Beemats consist of native vegetation placed into mats that are allowed to float
on the surface water in the ponds. The Beemats uptake nitrogen and phosphorous in stormwater thus
reducing nutrient concentrations discharged to the Banana River.
• The City maintained an active stormwater system maintenance program in 2018.Activities included
the replacement of older style stormwater inlets (16) with new Type "C" inlets. These newer inlets
require less maintenance, are not damaged as easily by vehicular traffic,prohibit larger debris from
entering the stormwater system and provide improved stormwater flow. Street sweeping of all curbed
streets also continues on a monthly basis.
City of Cape Canaveral's Capital Assets (net
of depreciation)
Governmental Activities Business-type Activities Total
2018 2017 2018 2017 2018 2017
Land $ 7,248,237 $ 7,248,237 $ 351,084 $ 351,084 $ 7,599,321 $ 7,599,321
Buildings and Improvements 4,729,937 4,742,658 5,284,543 5,290,934 10,014,480 10,033,592
Machinery and Equipment 3,682,218 3,529,154 7,492,934 7,145,317 11,175,152 10,674,471
Infrastructure 11,326,650 10,610,909 27,207,253 26,572,496 38,533,903 37,183,405
Construction in Progress 5,430,702 5,678,330 4,395,208 1,924,423 9,825,910 7,602,753
32,417,744 31,809,288 44,731,022 41,284,254 77,148,766 73,093,542
Less:Accumulated Depreciatioi (6,548,981) (5,888,146) (19,184,173) (17,786,566) (25,733,154) (23,674,712)
Capital Assets,net $25,868,763 $25,921,142 $25,546,849 $ 23,497,688 $51,415,612 $49,418,830
Long-term debt. At the end of the current fiscal year, the City had a total long-term debt outstanding of
$16,075,463.
The business-type activities long-term debt is from a State Revolving Loan related to Wastewater System
improvements. Note that compensated absences and the liability for other post-employment benefits are
also long-term liabilities of the City.
The governmental activities long-term debt includes a$5.5 Capital Improvement Revenue Note issued to
finance a City Hall project in progress, and both completed Fire Station and Main Wastewater Treatment
Plant Building Refurbishment. It also includes a$6.2 million Capital Improvement Revenue Note for the
construction of a Multigenerational Center and various other capital projects throughout the City.
- 38 -
City of Cape Canaveral,Florida
Management's Discussion and Analysis
Additional information on the City of Cape Canaveral's long-term debt can be found on pages 66—68 of
this report.
City of Cape Canaveral's Outstanding Debt
General Obligation
Governmental Activities Business-type Activities Total
2018 2017 2018 2017 2018 2017
Revenue Note $ 9,063,000 $ 10,159,000 $ - $ - $ 9,063,000 $ 10,159,000
State revolving loans - - 7,012,463 5,266,711 7,012,463 5,266,711
$ 9,063,000 $ 10,159,000 $7,012,463 $5,266,711 $16,075,463 $ 15,425,711
Economic Factors and Next Year's Budgets and Rates
• The unemployment rate decreased from 3.5%in the prior year to 3%.
• The real estate market continues to trend upward. Property values for Calendar Year 2018 showed
an increase of 3.3%. The median home sales price rose to $193,167 up from $187,541 at the end of
2017.
• Due to accelerated hiring, Cape Canaveral, as well as Brevard County, will continue to show
improvement due to increased industry growth at the Kennedy Space Center and Canaveral Air Force
Station; increased Aerospace and High Technological Manufacturing Companies such as Blue
Origin, Space X, Embraer S.A. and Northrup Grumman's expansion at the Melbourne International
Airport; and numerous service-oriented companies countywide.
• In an effort to take advantage of the opportunities provided by the City's proximity to Port Canaveral,
Cape Canaveral Air Force Station,Kennedy Space Center,two International Airports, and Orlando,
the City continues to pursue economic development/redevelopment through its Community
Redevelopment Agency(CRA).
• The City has and will continue to increase its revenue stream. An increase to the wastewater and
reclaimed water rates in October 2017 and an increase to stormwater rates in January 2018 enhanced
revenue. The City's Ad valorem taxes for fiscal year 2019 decreased by .0902 mills compared to
2018 and still remained the fourth lowest in the County.
All of these factors were considered in preparing the City's budget for the 2019 fiscal year.
Requests for Information
This financial report is designed to provide a general overview of the City of Cape Canaveral's finances.
Questions concerning any of the information provided in this report or requests for additional financial
information should be addressed to the Office of the Administrative/Financial Services Director, 100 Polk
Avenue, Cape Canaveral,FL 32920.
- 39 -
THIS PAGE INTENTIONALLY LEFT BLANK
- 40 -
Basic Financial Statements
- 41 -
CITY OF CAPE CANAVERAL,FLORIDA
STATEMENT OF NET POSITION
SEPTEMBER 30,2018
Primary Government
Governmental Business-Type
Activities Activities Total
Assets
Equity in pooled cash and investments $ 9,630,613 $ 1,826,812 $ 11,457,425
Receivables,net 418,048 992,929 1,410,977
Due from other governments 591,915 208,537 800,452
Interfund balances (316,137) 316,137 -
Inventories and prepaid items 3,932 6,295 10,227
Restricted assets:
Equity in pooled cash and investments 1,238,427 326,864 1,565,291
Capital assets:
Total capital assets,not being depreciated 12,678,939 4,746,292 17,425,231
Total capital assets,being depreciated,net 13,189,824 20,800,557 33,990,381
Total Assets $ 37,435,561 $ 29,224,423 $ 66,659,984
Liabilities
Accounts payable and accrued liabilities $ 383,482 $ 883,277 $ 1,266,759
Unearned revenue and deposits 66,241 - 66,241
Payable from restricted assets:
Accrued interest payable 30,622 15,090 45,712
Zoning escrow 18,429 - 18,429
Noncurrent liabilities:
Due within one year:
Long-term debt 1,119,000 390,846 1,509,846
Compensated absences payable 230,498 81,532 312,030
Due in more than one year:
Long-tern debt 7,944,000 6,621,615 14,565,615
Compensated absences payable 57,624 20,383 78,007
Total Liabilities $ 9,849,896 $ 8,012,743 $ 17,862,639
Net Position
Net investment in capital assets $ 23,031,722 $ 18,534,388 $ 41,566,110
Restricted for:
Community redevelopment 50,904 - 50,904
Debt service 774,321 - 774,321
Public safety 31,038 - 31,038
Culture/recreation 384,017 - 384,017
Capital expansion - 311,774 311,774
Unrestricted 3,313,663 2,365,518 5,679,181
Total Net Position $ 27,585,665 $ 21,211,680 $ 48,797,345
The accompanying notes to financial statements
are an integral part of this statement.
-42-
CITY OF CAPE CANAVERAL,FLORIDA
STATEMENT OF ACTIVITIES
FOR THE YEAR ENDED SEPTEMBER 30,2018
Net(Expense)Revenue and
Program Revenues Changes in Net Position
Primary Government
Operating Capital
Charges for Grants and Grants and Governmental Business-type
Expenses Services Contributions Contributions Activities Activities Total
Functions/Programs
Governmental activities
General government $ 1,685,262 $ 5,981 $ $ $ (1,679,281) $ $ (1,679,281)
Community developmem 427,849 - (427,849) (427,849)
Public safety 4,813,735 676,100 (4,137,635) (4,137,635)
Infrastructure maintenance 2,530,280 1,087,639 320,181 5,123 (1,117,337) (1,117,337)
Culture/recreation 671,362 76,287 - 50,000 (545,075) (545,075)
Community redevelopment 2,508 - - (2,508) (2,508)
Interest on long-term debt 211,511 - - - (211,511) (211,511)
Total governmental activities 10,342,507 1,846,007 320,181 55,123 (8,121,196) (8,121,196)
Business-type activities
Wastewater 3,560,126 4,014,216 - - 454,090 454,090
Stormwater 685,002 747,234 62,232 62,232
Total business-type activities 4,245,128 4,761,450 - - 516,322 516,322
Total primary government $ 14,587,635 $ 6,607,457 $ 320,181 $ 55,123 (8,121,196) 516,322 (7,604,874)
General revenues
Property taxes 4,434,439 - 4,434,439
Utility and franchise taxes 2,498,499 2,498,499
Intergovernmental revenues,unrestricted 1,682,505 - 1,682,505
Investment income 164,414 17,079 181,493
Miscellaneous revenues 55,294 34,700 89,994
Transfers 700,925 (700,925) -
Total general revenues and transfers 9,536,076 (649,146) 8,886,930
Change in net position 1,414,880 (132,824) 1,282,056
Net position,beginning of year,as restated 26,170,785 21,344,504 47,515,289
Net position,end of year $ 27,585,665 $ 21,211,680 $48,797,345
The accompanying notes to financial statements
are an integral part of this statement.
-43-
CITY OF CAPE CANAVERAL,FLORIDA
BALANCESHEET
GOVERNMENTAL FUNDS
SEPTEMBER 30,2018
Cape Canaveral Capital Nonmajor Total
General CRA Construction Governmental Governmental
Fund Fund Fund Funds Funds
Assets
Equity in pooled cash and investments $ 10,076,195 $ 377,654 $ - $ 415,191 $ 10,869,040
Receivables 418,048 - - - 418,048
Due from other governments 591,815 - - 100 591,915
Due from other funds 623,774 - - - 623,774
Inventories and prepaid items 3,312 620 - - 3,932
Total assets $ 11,713,144 $ 378,274 $ - $ 415,291 $ 12,506,709
Liabilities
Accounts payable and accrued liabilities $ 144,246 $ 1,115 $ 237,353 $ 768 $ 383,482
Zoning escrow 18,429 - - - 18,429
Unearned revenue and deposits 66,241 - - - 66,241
Due to other funds - 9,498 614,276 - 623,774
Advances from other funds - 316,137 - - 316,137
Total liabilities 228,916 326,750 851,629 768 1,408,063
Fund Balances
Nonspendable:
Inventories and prepaid items 3,312 620 - - 3,932
Restricted for:
Debt service 774,321 - - - 774,321
Community redevelopment - 50,904 - - 50,904
Public safety - - - 31,038 31,038
Culture/recreation - - - 384,017 384,017
Committed to:
Capital equipment renewal and replacement 227,457 - - - 227,457
New facilities 6,225,959 - - - 6,225,959
Recreation expansion 114,377 - - - 114,377
Police expansion 31,069 - - - 31,069
Assigned to:
Subsequent year's budget 1,034,776 - - - 1,034,776
Unassigned 3,072,957 - (851,629) (532) 2,220,796
Total fund balances 11,484,228 51,524 (851,629) 414,523 11,098,646
Total liabilities and fund balances - 12,506,709
The accompanying notes to financial statements
are an integral part of this statement.
-44-
CITY OF CAPE CANAVERAL,FLORIDA
RECONCILIATION OF THE BALANCE SHEET OF THE
GOVERNMENTAL FUNDS TO THE STATEMENT OF NET POSITION
SEPTEMBER 30,2018
Fund Balances-Total Governmental Funds $ 11,098,646
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.
Governmental capital assets 32,417,744
Accumulated depreciation (6,548,981)
25,868,763
Long-term liabilities are not due and payable in the current
period, and therefore, are not reported in the funds.All liabilities,
both current and non-current, are reported in the statement
of net position. Long term liabilities at year end consist of-
Long-term
£Long-term debt (9,063,000)
Compensated absences payable (288,122)
Accrued interest payable (30,622)
(9,381,744)
Net Position of Governmental Activities $ 27,585,665
The accompanying notes to financial statements
are an integral part of this statement.
- 45 -
CITY OF CAPE CANAVERAL,FLORIDA
STATEMENT OF REVENUES,EXPENDITURES,AND CHANGES IN
FUND BALANCES-GOVERNMENTAL FUNDS
FOR THE YEAR ENDED SEPTEMBER 30,2018
Cape Canaveral Capital Nonmajor Total
General CRA Construction Governmental Governmental
Fund Fund Fund Funds Funds
Revenues
Taxes:
Property $ 4,364,351 $ $ $ 70,088 $ 4,434,439
Local option motor fuel 320,181 - 320,181
Utility and franchise 2,433,499 2,433,499
Intergovernmental 1,247,991 655,589 1,903,580
Licenses and permits 401,431 - 401,431
Charges for services 1,238,322 - - 1,238,322
Fines and forfeitures 4,985 - 2,005 6,990
Impact fees 1,840 - 320 2,160
Investment earnings 158,410 - 6,004 164,414
Miscellaneous 151,446 - - 151,446
Total revenues 10,322,456 655,589 78,417 11,056,462
Expenditures
Current:
General Government 1,457,158 1,457,158
Community Development 414,414 - 414,414
Public Safety 4,656,633 2,683 4,659,316
Infrastructure Maintenance 2,085,620 - 2,085,620
Culture and Recreation 531,287 - 23,348 554,635
Community Redevelopment - 2,508 - 2,508
Capital Outlay 487,752 61,142 277,313 29,988 856,195
Debt Service:
Principal 1,096,000 - - - 1,096,000
Interest 198,693 - - - 198,693
Total expenditures 10,927,557 63,650 277,313 56,019 11,324,539
Excess(deficiency)of revenues
over expenditures (605,101) 591,939 (277,313) 22,398 (268,077)
Other financing sources
Transfers in 1,393,008 472,224 651,590 - 2,516,822
Transfers out (1,123,814) (689,698) - (2,385) (1,815,897)
Total other financing sources(uses) 269,194 (217,474) 651,590 (2,385) 700,925
Net change in fund balances (335,907) 374,465 374,277 20,013 432,848
Fund balances,beginning of year 11,820,135 (322,941) (1,225,906) 394,510 10,665,798
Fund balances,end of year $ 11,484,228 $ 51,524 $ (851,629) $ 414,523 $ 11,098,646
The accompanying notes to financial statements
are an integral part of this statement.
-46-
CITY OF CAPE CANAVERAL,FLORIDA
RECONCILIATION OF THE STATEMENT OF REVENUES,EXPENDITURES,
AND CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS
TO THE STATEMENT OF ACTIVITIES
FOR THE YEAR ENDED SEPTEMBER 30,2018
Net Change in Fund Balances- Total Governmental Funds $ 432,848
Amounts reported for governmental activities in the statement
of activities are different because:
Governmental funds report capital outlays as expenditures.
However,in the statement of activities,the cost of these assets
is depreciated over their estimated useful lives
Expenditures for capital assets 856,195
Loss on disposal of capital assets (39,227)
Less: Current year depreciation (869,347)
(52,379)
Note and loan proceeds are reported as financing sources in the
governmental funds.However,the issuance of debt is reported as
long-term debt payable in the statement of net position. Repayment
of note and loan principal is an expenditure in the governmental
funds,but the repayment of debt reduces the long-term liabilities in
the statement of net position and consist of the following:
Principal repayment of general long-term debt 1,096,000
Some expenses reported in the statement of activities do not require
the use of current financial resources and,therefore,are not
reported as expenditures in governmental funds.
Compensated absences payable (48,771)
Accrued interest on long-term debt (12,818)
(61,589)
Change in Net Position of Governmental Activities $ 1,414,880
The accompanying notes to financial statements
are an integral part of this statement.
- 47-
CITY OF CAPE CANAVERAL,FLORIDA
STATEMENT OF REVENUES,EXPENDITURES,AND
CHANGES IN FUND BALANCES-BUDGET TO ACTUAL
GENERAL FUND
FOR THE YEAR ENDED SEPTEMBER 30,2018
Budgeted Amounts Variance
Positive
Original Final Actual (Negative)
Revenues
Taxes:
Property $ 4,274,545 $ 4,364,351 $ 4,364,351 $
Local option motor fuel 340,919 298,840 320,181 21,341
Utility and franchise 2,521,998 2,238,143 2,433,499 195,356
Intergovernmental 1,243,147 1,032,954 1,247,991 215,037
Licenses and permits 291,360 400,873 401,431 558
Charges for services 1,259,725 1,235,801 1,238,322 2,521
Fines and forfeitures 17,800 4,985 4,985 -
Impact fees 1,400 1,840 1,840
Investment earnings 66,260 158,410 158,410 -
Miscellaneous 109,380 114,052 151,446 37,394
Total revenues 10,126,534 9,850,249 10,322,456 472,207
Expenditures
Current:
General Government:
Legislative 43,413 39,356 39,356
Administrative 453,579 429,472 429,472
Legal 210,125 250,713 250,713 -
Non-departmental 1,650,903 1,086,683 737,617 349,066
Total General Government 2,358,020 1,806,224 1,457,158 349,066
Community Development:
Planning and Zoning 201,989 197,040 197,040 -
Community Engagement Services - 88,181 88,181
Economic Development 143,370 135,803 135,803
Total Community Development 345,359 421,024 421,024
Public Safety:
Fire 2,056,338 2,058,098 2,058,098
Police 2,674,926 2,721,527 2,721,527
Total Public Safety 4,731,264 4,779,625 4,779,625
Infrastructure Maintenance:
Building 404,842 382,216 382,216 -
Refuse 1,119,748 1,077,615 1,003,284 74,331
Transportation 1,101,506 1,047,181 1,012,016 35,165
Total Infrastructure Maintenance 2,626,096 2,507,012 2,397,516 109,496
Culture and Recreation:
Parks and Recreation 634,511 577,541 577,541 -
Debt service:
Principal 1,096,000 1,096,000 1,096,000
Interest 140,925 198,693 198,693 -
Total expenditures 11,932,175 11,386,119 10,927,557 458,562
Excess(deficiency)of revenues
over expenditures (1,805,641) (1,535,870) (605,101) 930,769
Other financing sources
Transfers in 1,392,513 1,393,008 1,393,008 -
Transfers out (400,000) (1,123,814) (1,123,814)
Total other financing sources 992,513 269,194 269,194 -
Net change in fund balances (813,128) (1,266,676) (335,907) 930,769
Fund balances,beginning of year 11,820,135 11,820,135 11,820,135 -
Fund balances,end of year $ 11,007,007 $ 10,553,459 $ 11,484,228 $ 930,769
The accompanying notes to financial statements
are an integral part of this statement.
-48-
CITY OF CAPE CANAVERAL,FLORIDA
STATEMENT OF REVENUES,EXPENDITURES,AND
CHANGES IN FUND BALANCES-BUDGET TO ACTUAL
CAPE CANAVERAL COMMUNITY REDEVELOPMENT AGENCY FUND
FOR THE YEAR ENDED SEPTEMBER 30,2018
Budgeted Amounts Variance
Positive
Original Final Actual (Negative)
Revenues
Taxes:
Intergovernmental $ 758,731 $ 655,589 $ 655,589 $ -
Total revenues 758,731 655,589 655,589 -
Expenditures
Current:
Community Redevelopment 17,204 252,920 2,508 250,412
Capital outlay 400,000 61,142 61,142 -
Total expenditures 417,204 314,062 63,650 250,412
Excess(deficiency)of revenues
over expenditures 341,527 341,527 591,939 250,412
Other financing sources
Transfers in 400,000 400,000 472,224 72,224
Transfers out (741,527) (741,527) (689,698) 51,829
Total other financing sources (341,527) (341,527) (217,474) 124,053
Net change in fund balances - - 374,465 374,465
Fund balances,beginning of year (322,941) (322,941) (322,941) -
Fund balances,end of year $ (322,941) $ (322,941) $ 51,524 $ 374,465
The accompanying notes to financial statements
are an integral part of this statement.
-49-
CITY OF CAPE CANAVERAL,FLORIDA
STATEMENT OF NET POSITION
PROPRIETARY FUNDS
SEPTEMBER 30,2018
Business-type Activities-Enterprise Funds
Wastewater Fund Stormwater Fund Total
Assets
Current assets:
Equity in pooled cash and investments $ 1,174,325 $ 652,487 $ 1,826,812
Receivables,net 848,726 144,203 992,929
Due from other governments 208,537 - 208,537
Due from other funds - 438,445 438,445
Advance to other funds 316,137 - 316,137
Inventories and prepaid items 6,295 - 6,295
Restricted assets:
Equity in pooled cash and investments 326,864 - 326,864
Total current assets 2,880,884 1,235,135 4,116,019
Capital assets:
Total capital assets,not being depreciated 4,686,497 59,795 4,746,292
Total capital assets,being depreciated,net of
accumulated depreciation 16,770,895 4,029,662 20,800,557
Capital assets,net 21,457,392 4,089,457 25,546,849
Total Assets $ 24,338,276 $ 5,324,592 $ 29,662,868
Liabilities
Current liabilities:
Accounts payable and accrued liabilities $ 866,917 $ 16,360 $ 883,277
Due to other funds 438,445 - 438,445
Current portion of compensated absences 59,198 22,334 81,532
Current portion of long-term debt 289,434 101,412 390,846
Liabilities payable from current restricted assets:
Accrued interest payable 15,090 - 15,090
Total current liabilities 1,669,084 140,106 1,809,190
Noncurrent liabilities:
Long-term portion of compensated absences 14,800 5,583 20,383
Long-term debt payable after one year 5,606,574 1,015,041 6,621,615
Total noncurrent liabilities 5,621,374 1,020,624 6,641,998
Total Liabilities $ 7,290,458 $ 1,160,730 $ 8,451,188
Net Position
Net investment in capital assets $ 15,561,384 $ 2,973,004 $ 18,534,388
Restricted for:
Capital expansion 311,774 - 311,774
Unrestricted 1,174,660 1,190,858 2,365,518
Total Net Position
The accompanying notes to financial statements
are an integral part of this statement.
-50-
CITY OF CAPE CANAVERAL,FLORIDA
STATEMENT OF REVENUES,EXPENSES,AND CHANGES IN FUND NET POSITION
PROPRIETARY FUNDS
FOR THE YEAR ENDED SEPTEMBER 30,2018
Business-type Activities-Enterprise Funds
Wastewater Fund Stormwater Fund Total
Operating revenues
Charges for sales and services:
Wastewater charges $ 4,014,216 $ - $ 4,014,216
Stormwater charges - 747,234 747,234
Miscellaneous - 34,700 34,700
Total operating revenues 4,014,216 781,934 4,796,150
Operating expenses
Operating and maintenance:
Personal services 1,279,157 210,241 1,489,398
Contractual services 200,759 69,454 270,213
Repairs and maintenance 481,564 159,687 641,251
Materials and supplies 284,550 5,048 289,598
Other operating and maintenance - - -
Depreciation 1,213,202 240,572 1,453,774
Total operating expenses 3,459,232 685,002 4,144,234
Operating income 554,984 96,932 651,916
Nonoperating revenues(expenses)
Investment earnings 15,637 1,442 17,079
Interest expense (100,894) - (100,894)
Total nonoperating revenues(expenses) (85,257) 1,442 (83,815)
Income before contributions and transfers 469,727 98,374 568,101
Transfers out (681,359) (19,566) (700,925)
Change in net position (211,632) 78,808 (132,824)
Total net position,beginning of year,as restated 17,259,450 4,085,054 21,344,504
Total net position,end of year $ 17,047,818 $ 4,163,862 $ 21,211,680
The accompanying notes to financial statements
are an integral part of this statement.
-51 -
CITY OF CAPE CANAVERAL,FLORIDA
STATEMENT OF CASH FLOWS
PROPRIETARY FUNDS
FOR THE YEAR ENDED SEPTEMBER 30,2018
Business-type Activities-Enterprise Funds
Wastewater Fund Stormwater Fund Total
Cash flows from operating activities
Cash received from customers $ 4,012,332 $ 763,704 $ 4,776,036
Cash paid to suppliers (623,188) (242,006) (865,194)
Cash paid to employees (1,270,343) (207,775) (1,478,118)
Net cash provided by operating activities 2,118,801 313,923 2,432,724
Cash flows from noncapital fmancing activities
Interfund loans (36,738) 89,062 52,324
Transfers out (681,359) (19,566) (700,925)
Net cash provided by(used)in noncapital financing activities (718,097) 69,496 (648,601)
Cash flows from capital and related fmancing activities
Principal payments on capital debt (236,564) (89,062) (325,626)
Proceeds from issuance of capital debt 2,071,376 - 2,071,376
Interest paid (100,894) - (100,894)
Acquisition and construction of capital assets (3,186,585) (316,350) (3,502,935)
Net cash provided by(used in)capital and related
financing activities (1,452,667) (405,412) (1,858,079)
Cash flows from investing activities
Interest received 15,637 1,442 17,079
Net change in cash and cash equivalents (36,326) (20,551) (56,877)
Cash and cash equivalents,beginning of year 1,537,515 673,038 2,210,553
Cash and cash equivalents,end of year $ 1,501,189 $ 652,487 $ 2,153,676
Reconciliation of operating income to net
cash provided by operating activities
Operating income $ 554,984 $ 96,932 $ 651,916
Adjustment to reconcile operating income to
net cash provided by operating activities:
Depreciation 1,213,202 240,572 1,453,774
Decrease(increase)in certain assets:
Accounts receivable (59,212) (18,230) (77,442)
Due from other governments 57,328 - 57,328
Prepaid expenses (3,036) - (3,036)
Increase(decrease)in certain liabilities:
Compensated absences payable 8,814 2,466 11,280
Accounts payable and accrued liabilities 331,631 (7,817) 323,814
Accrued interest payable 15,090 - 15,090
Net cash provided by operating activities $ 2,118,801 $ 313,923 $ 2,432,724
Cash and cash equivalents classsified as:
Unrestricted $ 1,174,325 $ 652,487 $ 1,826,812
Restricted 326,864 - 326,864
Total cash and cash equivalents $ 1,501,189 $ 652,487 $ 2,153,676
The accompanying notes to financial statements
are an integral part of this statement.
-52-
Notes to Financial Statements
- 53 -
CITY OF CAPE CANAVERAL,FLORIDA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30,2018
(1) Summary of Significant Accounting Policies:
The City of Cape Canaveral,Florida, (the City)was created pursuant to Chapter 73-129, Laws of Florida,
in 1963. The legislative branch of the City is composed of an elected Mayor and four Council Members.
The City Council is governed by the City Charter and by state and local laws and regulations. The City
Council is responsible for the establishment and adoption of policy. The execution of such policy is the
responsibility of the Council-appointed City Manager.
The financial statements of the City of Cape Canaveral,Florida,have been prepared in conformance with
accounting principles generally accepted in the United States of America as applicable to governmental
units. The Governmental Accounting Standards Board (GASB) is the accepted body for promulgating
governmental accounting and financial reporting principles. The following is a summary of the more
significant policies.
(a) Reporting entity—The accompanying financial statements present the financial position,
results of operations and cash flows of the applicable fund types controlled by or dependent on the
City. In evaluating the City as a reporting entity, management has addressed all potential
component units for which the entity may or may not be financially accountable and, as such, be
included within the City's financial statements.
(b) Blended component unit A blended component unit, although legally separate, is, in
substance, part of the City's operations. The following entities are blended with the primary
government and reported as indicated and do not issue separate financial statements:
The Cape Canaveral Free Public Library fund is responsible for exterior maintenance and risk
management of the City-owned library. The members of the advisory board are appointed by the
City Council and are tasked to act on the City's behalf. Funding for these specific purposes are
derived by voter-approved ad valorem taxes and the legal liability remains with the City Council.
Library operations are funded through the Brevard County Free Public Library District (the
District), a separate taxing authority, and is therefore not included under the reporting entity
definition of the City's financial statements.
The Cape Canaveral Community Redevelopment Agency (the Cape Canaveral CRA) was created
by Ordinance No. 23-2013 to account for the receipt and expenditure of property tax revenues from
the tax increment financing district to support City redevelopment in the designated community
redevelopment area. Although legally separate, the City Council declared itself to be the Cape
Canaveral CRA. Since the City is financially accountable for the activities of the Cape Canaveral
CRA, its governing board is the same, and its relationship to the City is significant, its financial
activities are reported on a blended basis as if it were part of the primary government as a major
special revenue fund.
(c) Government-wide and fund financial statements—The government-wide financial
statements, comprised of the statement of position and the statement of activities, report aggregated
information for the overall government for all of the activities of the primary government. For the
most part, the effect of interfund activity has been removed from these statements. Governmental
activities, which normally are supported by taxes, intergovernmental revenues, and other non-
exchange revenues are reported separately from business-type activities, which rely, to a significant
extent,on fees charged to external parties for goods or services for support.
- 54-
CITY OF CAPE CANAVERAL,FLORIDA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30,2018
(1) Summary of Significant Accounting Policies: (Continued)
The statement of activities demonstrates the degree to which the direct expenses of a given function
or activity is offset by program revenues. Direct expenses are those that are clearly identifiable with
a specific function or activity.Program revenues include (1) charges to customers or applicants who
purchase,use, or directly benefit from goods, services, or privileges provided by a given function or
activity, and (2) grants and contributions that are restricted to meeting the operational or capital
requirements of a particular function or activity. Taxes and other non-exchange revenues not
properly included among program revenues are reported as general revenues.
Separate financial statements are provided for governmental funds and proprietary funds. Major
individual governmental funds and major individual enterprise funds are reported in separate
columns in the fund financial statements.
(d) Measurement focus, basis of accounting, and financial statement presentation—The
government-wide financial statements are reported using the economic resources measurement
focus and the accrual basis of accounting,as are the proprietary fund financial statements. Revenues
are recorded when earned and expenses are recorded when a liability is incurred, regardless of the
timing of related cash flows. Property taxes are recognized as revenues in the year for which they
are levied. Grants and similar items are recognized as revenue as soon as all eligibility requirements
imposed by the provider have been met.
Governmental fund financial statements are reported using the current financial resources
measurement focus and the modified accrual basis of accounting. Revenues are recognized as soon
as they are both measurable and available. Revenues are considered to be available when they are
collectible within the current period or soon enough thereafter to pay liabilities of the current period.
For this purpose, the government considers revenues to be available if they are collected within 60
days of the end of the current fiscal period except for grant revenues which are considered earned
when expenditures are incurred. Expenditures generally are recorded when a liability is incurred, as
under accrual accounting. However, debt service expenditures, as well as expenditures related to
compensated absences and claims and judgments,are recorded only when payment is due.
Property taxes, franchise taxes, intergovernmental revenues, licenses and permits, charges for
services, and interest associated with the current fiscal period are all considered to be susceptible to
accrual and so have been recognized as revenues of the current fiscal period.All other revenue items
are considered to be measurable and available only when the government receives cash.
The City reports the following major governmental funds:
General Fund—The General Fund is the principal fund of the City which accounts for all
financial transactions not accounted for in other funds.
Cape Canaveral Community Redevelopment Agency Fund—The Cape Canaveral CRA
Fund accounts for the receipt and expenditure of property tax revenues from the tax increment
financing district to support City redevelopment in the Cape Canaveral community
redevelopment area.
- 55 -
CITY OF CAPE CANAVERAL,FLORIDA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30,2018
(1) Summary of Significant Accounting Policies: (Continued)
Capital Construction Fund—The Capital Construction Fund accounts for resources
accumulated and payments made for the acquisition of land and construction of major capital
facilities related to governmental funds.
The City reports the following major proprietary funds:
Wastewater Fund—The Wastewater Fund accounts for the activities of the City's wastewater
system. The City operates the sewage treatment plant, sewage pumping stations, collection,
and reclaimed water systems, which are financially similar to private business enterprises,
where the costs, including depreciation, of providing services to the general public on an
ongoing basis are financed through user charges.
Stormwater Fund—The Stormwater Fund is used to account for the activities of the City's
stormwater management, conservation, protection, control, use and enhancement of
stormwater,the costs of which are recovered by user charges.
Additionally,the City reports the following fund types:
Special Revenue Funds—These funds account for the proceeds of specific revenue sources
(other than capital projects) which are legally restricted or committed to finance particular
functions or activities of the City.
Capital Projects Funds—These funds account for resources accumulated and payments made
for the acquisition of land and construction of major capital facilities related to governmental
funds.
Amounts reported in the funds as interfund receivables and payables have been eliminated in the
governmental and business-type activities columns, except for the net residual amounts due between
governmental and business-type activities, which are presented as internal balances due to and due
from these different types of activities within the primary government. Interfund transactions for
services provided and used are not eliminated in the process of consolidation.
Proprietary funds distinguish operating revenues and expenses from nonoperating items. Operating
revenues and expenses generally result from providing services and producing and delivering goods
in connection with a proprietary fund's principal ongoing activities.For the City,operating revenues
come from fees for wastewater and stormwater services,which are the principal ongoing operations
of the City's Wastewater and Stormwater Fund. Operating expenses include the cost of sales and
services, administrative expenses, and depreciation on capital assets. All revenues and expenses not
meeting this definition are reported as nonoperating revenues and expenses.
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.
- 56-
CITY OF CAPE CANAVERAL,FLORIDA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30,2018
(1) Summary of Significant Accounting Policies: (Continued)
(e) Budgets and budgetary accounting—Annual budgets for all governmental and proprietary
funds were adopted in compliance with Florida law. The basis on which the budgets are prepared is
consistent with generally accepted accounting principles. Budgetary integration is established in the
accounting records for management control purposes at the object of expenditure level; however the
City Charter establishes the level at which expenditures may not legally exceed the total City-wide
appropriations. The City follows these procedures in establishing the budgetary data reflected in the
financial statements:
(i) On or before June 30', the City Manager submits a preliminary budget to the City
Council for the ensuing fiscal year.
(ii) Budget workshop sessions are scheduled by the City Manager as needed.
(iii) Prior to October 1,the budgets are legally enacted through passage of an ordinance.
(iv) The City Council reviews the monthly financial reports.
(v) The City Manager has the authority to approve budget transfers between line items,
expenditure classifications, and departments. The City Council must approve all inter-
departmental budget amendments and/or transfers that increase the total appropriations.
Budgetary control is exercised at the departmental level.
(vi) Every appropriation lapses at the close of the fiscal year.
(f) Cash and cash equivalents ash and cash equivalents include amounts in demand deposits
as well as investments that are readily convertible to known amounts of cash. Investments with
original maturities of three months or less are considered to be cash equivalents. In addition,
investments in money market funds are sufficiently liquid to permit withdrawal of cash at any time
without prior notice or penalty,thus equity in these funds is also deemed to be a cash equivalent.
(g) Receivables—Accounts receivable balances are stated at the amount management expects to
collect from outstanding balances. The City contracts with the City of Cocoa, Florida, for utility
billing services. Therefore, included in the accounts receivables balances, are amounts which have
been billed on behalf of the City, but not yet collected; amounts which have been collected by the
City of Cocoa, but not yet remitted to the City; and amounts earned by the City, but have not been
billed to the customers as of September 30,2018.
(h) Inventories and prepaid items—The cost of inventory is accounted for on the consumption
method wherein inventories are charged as expenditures when used rather than when purchased. All
inventories are valued at cost, which approximates market, by using the first-in, first-out valuation
method.
Certain payments to vendors reflect costs applicable to future accounting periods and are recorded
as prepaid items in both government-wide and fund financial statements. The cost of prepaid items
is recorded as expenditures/expenses when consumed rather than when purchased.
(i) Restricted assets--Certain amounts are classified as restricted assets because their use is
limited by applicable debt covenants or laws/regulations imposed by other governmental agencies.
The restricted assets are used to report resources set aside to 1)provide a reserve for debt service, 2)
provide for capital expansion, and 3) acquire capital assets.
- 57-
CITY OF CAPE CANAVERAL,FLORIDA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30,2018
(1) Summary of Significant Accounting Policies: (Continued)
0) Capital assets--Capital assets, which include property, plant, equipment and infrastructure
assets, are reported in the applicable governmental or business-type activities columns in the
government-wide financial statements. Property, plant, and equipment with initial, individual costs
that equal or exceed $1,000 and estimated useful lives of over one year are recorded as capital
assets. Capital assets are recorded at historical cost or estimated historical cost, if purchased or
constructed. Contributed assets are recorded at acquisition value as of the date received.
Depreciation is reported for the primary government using the straight-line method calculated on a
service-life basis to amortize the cost of the asset over their estimated economic useful lives, which
are as follows:
Assets Years
Buildings and improvements 30- 50
Improvements other than buildings 3 - 20
Machinery and equipment 3 - 20
Infrastructure 30- 50
(k) Zoning escrow—This liability is comprised of amounts received from private business to be
used on their behalf for special projects. If the funds are not used, they are to be returned to the
private business. Amounts used are not reported as revenues or expenditures in the accompanying
financial statements.
(1) Compensated absences—The City records the earned portion of accumulated, unused
compensated absences at year-end based on each employee's unused hours and rate of pay,
including the City's share of payroll taxes. All compensated absences are accrued when incurred in
the government-wide and proprietary fund financial statements as accrued liabilities. A liability for
these amounts is reported in governmental funds only if they have matured, for example, as a result
of employee resignations or retirements.
(m) Unearned revenue and deposits—Tax receipts are recognized as revenue in the period to
which they relate. Monies for the streetscape project are recognized as revenue as the City incurs
allowable costs associated with this project.
(n) Long-term obligationsIn the government-wide financial statements, and proprietary fund
financial statements, long-term debt and other long-term obligations are reported as liabilities in the
applicable governmental activities,business-type activities,or proprietary fund type statement of net
position.
(o) Fund balance—Fund balance of governmental funds is reported in various categories based
on the nature of any limitations requiring the use of resources for specific purposes. The following
classifications describe the relative strength of the spending constraints:
Nonspendable fund balance - amounts that are not in spendable form (such as prepaid
expenses and advances due from other funds)or are required to be maintained intact.
Restricted fund balance- amounts constrained to specific purposes by their providers (such as
grantors, bondholders, and higher levels of government), through constitutional provisions or
by enabling legislation.
- 58-
CITY OF CAPE CANAVERAL,FLORIDA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30,2018
(1) Summary of Significant Accounting Policies: (Continued)
Committed fund balance - amounts constrained to specific purposes by the City itself, via a
City Council ordinance. To be reported as committed, amounts cannot be used for any other
purpose unless the City changes the constraint via ordinance.
Assigned fund balance - amounts the City intends to use for a specific purpose, but do not
meet the criteria to be classified as committed. The City Council has by resolution, authorized
the City Manager to assign fund balance.
Unassigned fund balance - amounts that are available for any purpose. Positive amounts are
reported only in the general fund.
Disbursements of fund balance reserves will first be made from restricted amounts when both
restricted and unrestricted fund balance is available. Additionally, the City will first use committed
fund balance, followed by assigned fund balance, and then unassigned fund balance when
expenditures are incurred for purposes which amounts in any of the unrestricted fund balance
classifications could be used.
The City has adopted an ordinance whereby the minimum unassigned fund balance in the General
Fund must be at least 20% of the current fiscal year original budgeted expenditures. The City was in
compliance with this policy at September 30,2018.
(p) Use of estimatesManagement uses estimates and assumptions in preparing financial
statements in accordance with generally accepted accounting principles. Those estimates and
assumptions affect the reported amounts of assets and liabilities, the disclosure of contingent assets
and liabilities, and the reported revenue and expenses. Actual results could vary from the estimates
assumed in preparing the financial statements.
(q) Implementation of new accounting standards— At September 30, 2018 and for the year
then ended, the City has implemented Governmental Accounting Standards Board (GASB)
Statement No. 75, Accounting and Financial Reporting for Postemployment Benefits Other Than
Pensions (OPER). See Notes(11) and(16) for the effects of GASB 75.
(2) Reconciliation of Government-Wide and Fund Financial Statements:
(a) Reconciliation of the balance sheet of the governmental funds to the statement of net
position Following the governmental fund balance sheet is a reconciliation between fund balance
- total governmental funds and net position — governmental activities as reported in the
government-wide statement of net position. A detailed explanation of these differences is provided
in the above referenced financial statement.
(b) Reconciliation of the statement of revenues, expenditures, and changes in fund balances
of governmental funds to the statement of activitiesFollowing the governmental fund
statement of revenues,expenditures, and changes in fund balances,there is a reconciliation between
net changes in fund balances — total governmental funds and changes in net position of
governmental activities as reported in the government-wide statement of activities. A detailed
explanation of these differences is provided in the above referenced financial statement.
- 59-
CITY OF CAPE CANAVERAL,FLORIDA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30,2018
(3) Property Tax Calendar:
Under Florida law, the assessment of all properties and the collection of all county, municipal and
school district property taxes are consolidated in the offices of the County Property Appraiser and
County Tax Collector. The laws of the state regulating tax assessment are also designed to assure a
consistent property valuation method statewide. State Statutes permit municipalities to levy property
taxes at a rate of up to 10 mills.
The millage rate assessed by the City on the tax roll certified on November 1, 2017 was 4.0190
mills(3.9555 for general government and 0.0635 for the library fund).
The property tax calendar is as follows:
Valuation Date January 1
Property Appraiser prepares the assessment roll with values as of January 1, July 1
submits this preliminary roll for approval by the State and notifies each taxing
authority of their respective valuations.
City Council adopts a budget and ad valorem tax millage rate for the coming September
fiscal year.
Property Appraiser certifies the assessment roll and all real and tangible November 1
personal property taxes are due and payable (Levy date).
A Notice of Taxes is mailed to each property owner on the assessment roll. November 1
Taxes may be paid November through March, with the following applicable
discounts:
Month Paid Discount Percent November 1,2017
November 4 through
December 3 March 31,2018
January 2
February 1
March 0
All unpaid taxes on real and tangible personal property become delinquent. April 1
A list of unpaid tangible personal property taxes and a list of unpaid real April and May
property taxes are advertised.
Tax certificates are sold on all real estate parcels with unpaid real property May 31
taxes (Lien date).
A court order is obtained authorizing the seizure and sale of personal property August 29
if the taxpayer fails to pay the delinquent personal property taxes.
- 60-
CITY OF CAPE CANAVERAL,FLORIDA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30,2018
(4) Deposits and Investments:
Deposits: All bank balance deposit amounts are covered by federal depository insurance or
collateral with the State of Florida under the Florida Security for Public Deposits Act.
The Florida Security for Public Deposits Act establishes guidelines for qualification and
participation by banks and savings associations, procedures for the administration of the collateral
requirements, and characteristics of eligible collateral. Under the Act, City deposits in qualified
public depositories are fully insured. The qualified public depository must pledge 50% of the
average daily balance for each month of all public deposits in excess of any applicable depository
insurance. Additional collateral, up to a maximum of 125% may be required if deemed necessary
under the conditions set forth in the Act. Obligations pledged to secure deposits must be delivered to
the State Treasurer, or with the approval of the State Treasurer, to a bank, savings association, or
trust company provided a power of attorney is delivered to the Treasurer.
Investments: The City's investment policies are governed by state statutes and City Ordinances. As
of September 30, 2018, the City follows guidelines of authorized investments under Section
218.415(17), Florida Statutes. Investments authorized under this provision of the state statutes are
limited to: the Florida Local Government Surplus Funds Trust Fund (SBA), or any
intergovernmental investment pool authorized pursuant to the Florida Interlocal Cooperation Act;
Securities and Exchange Commission registered money market funds with the highest credit quality
rating from a nationally recognized rating agency; interest bearing time deposits or savings
accounts in state-certified qualified public depositories; direct obligations of the U.S. Treasury, and
securities of, or other interests in, any open-end or closed-end management-type investment
company or investment trust registered under the Investment Company Act of 1940.
The City measures and records its investments, assets whose use is limited, and restricted assets
using fair value measurement guidelines established by GASB Statement No. 72. These guidelines
recognize a three-tiered fair value hierarchy,as follows:
• Level 1: Quoted prices for identical investments in active markets;
• Level 2: Observable inputs other than quoted market prices; and,
• Level 3: Unobservable inputs.
At September 30, 2018, the City had the following deposits and investments included in equity in
pooled cash and investments:
Carrying Value
at September 30, Credit
Investment Type 2018 Maturity Rating
Cash in banks $ 2,306,490 N/A N/A
Florida Division of Treasury—Special Purpose 10,716,226 2.97 years A+f
Investment Account
Total Government-wide deposits and $ 13,022,716
investments
The Florida Division of Treasury—Special Purpose Investment Account was measured at fair value
using significant unobservable inputs (Level 3 on the fair value hierarchy) and valued by the
Florida Treasury Investment Pool whereby the City owns a share of the pool, not the underlying
securities.
- 61 -
CITY OF CAPE CANAVERAL,FLORIDA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30,2018
(4) Deposits and Investments: (Continued)
Interest Rate Risk: Interest rate risk is the risk that changes in interest rates will adversely affect the
fair value of investments. In accordance with the provisions of the state statutes governing allowable
investments, the City manages its exposure to declines in fair values by limiting the maturity of
specific investments to provide sufficient liquidity to pay obligations as they come due.
Credit Risk: Credit rate risk is the risk of losses due to the failure of the security issue or backer.
This is mitigated by investing in the assets allowed under City Ordinance and by diversifying the
portfolio so that potential losses on individual securities will be minimized.
Custodial Credit Risk: For an investment, this is the risk that, in the event of the failure of the
counterparty,the City will not be able to recover the value of its investments or collateral securities
that are in the possession of an outside party.
The City has investments in the State of Florida Division of Treasury's Special Purpose Investment
Account (SPIA), of which the City owns a share of the Pool, not the underlying securities. At June
30, 2018, the fair value factor for the SPIA was 0.9796. Additional valuation information is
available in the State of Florida's Comprehensive Annual Financial Report, which can be obtained
through their website,www.myflon*dacfo.com.
Concentrations of Credit Risk: The City's policy does not limit the amount that can be invested in
any one issuer. As of September 30, 2018, all investments of the City are held in the pooled
investment accounts administered by the State of Florida.
(5) Receivables:
Receivables in the wastewater and stormwater funds represent customer receivables but have been
included in Due from Other Governments in the statement of net position as another municipality is
responsible for the billing and collection of the receivables and ultimate payments to the City. At
September 30,2018,the City's receivables consist of the following:
Allowance for
Gross Doubtful Receivables,
Receivables Accounts net
Governmental Activities:
General Fund $ 420,365 $ (2,317) $ 418,048
Total Governmental Activities 420,365 (2,317) 418,048
Business-Type Activities:
Wastewater 855,895 (7,169) 848,726
Stormwater 145,263 (1,060) 144,203
Total Business-Type Activities 1,001,158 (8,229) 992,929
Totals $ 1,421,523 $ (10,546) $ 1,410,977
In addition to accounts receivable, the City also recorded $800,452 in due from other governments at
September 30, 2018. $77,809 of these amounts relates to Federal and State reimbursements related to
Hurricane Irma, which impacted the City in fiscal year 2017. These amounts reflect management's best
estimate of recoveries based on costs incurred and approved project worksheets, and are subject to change
pending adjustments made by the respective Federal and/or State agencies.
- 62-
CITY OF CAPE CANAVERAL,FLORIDA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30,2018
(6) Interfund Loans and Transfers:
The outstanding balances between funds result mainly from the time lag between the dates reimbursable
expenditures occur, when transactions are recorded in the accounting system, and when payments
between funds are made. At September 30, 2018, individual fund interfund receivables and payables for
the primary government arising from short-term borrowings for cash flow purposes are comprised of the
following:
Due From Due To
Other Other
Funds Funds
General Fund:
Cape Canaveral CRA Fund $ 9,498 $ -
Capital Construction Fund 614,276 -
Cape Canaveral CRA Fund:
General Fund - 9,498
Capital Construction Fund:
General Fund - 614,276
Wastewater Fund:
Stormwater Fund - 438,445
Stormwater Fund:
Wastewater Fund 438,445 -
Total—All Funds $ 1,062,219 $ 1,062,219
At September 30, 2018, long-term individual fund advances to and from other funds for the primary
government were for the purposes of providing advance funding for projects in the Cape Canaveral CRA
Fund and comprised of the following:
Advance Advance
To From
Cape Canaveral CRA Fund:
Wastewater Fund $ - $ 316,137
Wastewater Fund:
Cape Canaveral CRA Fund 316,137 -
Total—All Funds $ 316,137 $ 316,137
- 63 -
CITY OF CAPE CANAVERAL,FLORIDA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30,2018
(6) Interfund Loans and Transfers: (Continued)
For the year ended September 30,2018,the composition of interfund transfers is as follows:
Transfer Transfer
From To
Governmental Activities:
General Fund:
School Crossing Guard Fund $ 2,385 $ -
Cape Canaveral CRA Fund 689,698 472,224
Capital Construction Fund - 651,590
Wastewater Fund 681,359 -
Stormwater Fund 19,566 -
Cape Canaveral CRA Fund:
General Fund 472,224 689,698
Capital Construction Fund:
General Fund 651,590 -
Nonmajor Governmental Funds:
School Crossing Guard Fund:
General Fund - 2,385
Total Governmental Activities 2,516,822 1,815,897
Business-Type Activities:
Wastewater Fund:
General Fund - 681,359
Stormwater Fund:
General Fund - 19,566
Total Business-Type Activities - 700,925
Total—All Funds $2,516,822 $2,516,822
Transfers are used to (1) move revenues from the fund with collection authorization to the debt service
fund as debt service principal and interest payments become due, (2) move restricted amounts from
borrowings to the debt service funds to establish and maintain mandatory reserve and sinking fund
accounts, (3)move revenues from proprietary fund operations to the general fund for payments in lieu of
taxes, and (4) move unrestricted revenues to finance various programs that the City must account for in
other funds in accordance with budgetary authorizations, including amounts provided as matching funds
for various grant programs.
- 64-
CITY OF CAPE CANAVERAL,FLORIDA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30,2018
(7) Capital Assets:
For the fiscal year ended September 30,2018,capital asset activity was as follows:
Beginning Ending
Balance Increases Decreases Balance
Governmental activities:
Capital assets,not being depreciated:
Land $ 7,248,237 $ - $ - $ 7,248,237
Construction in progress 5,678,330 277,312 (524,940) 5,430,702
Total capital assets,not being
depreciated 12,926,567 277,312 (524,940) 12,678,939
Capital assets,being depreciated:
Buildings and improvements 4,742,658 128,462 (141,183) 4,729,937
Machinery and equipment 3,529,154 240,419 (87,355) 3,682,218
Infrastructure 10,610,909 734,942 (19,201) 11,326,650
Total capital assets,being depreciated 18,882,721 1,103,823 (247,739) 19,738,805
Accumulated depreciation for:
Buildings and improvements (1,384,608) (137,963) 123,578 (1,398,993)
Machinery and equipment (1,937,343) (212,545) 66,671 (2,083,217)
Infrastructure (2,566,195) (518,839) 18,263 (3,066,771)
Total accumulated depreciation (5,888,146) (869,347) 208,512 (6,548,981)
Total capital assets being depreciated,
net of accumulated depreciation 12,994,575 234,476 (39,227) 13,189,824
Governmental activities capital assets,
net $ 25,921,142 $ 511,788 $ (564,167) $ 25,868,763
Business-type activities:
Capital assets,not being depreciated:
Land $ 351,084 $ - $ - $ 351,084
Construction in progress 1,924,423 2,511,284 (40,499) 4,395,208
Total capital assets,not being
depreciated 2,275,507 2,511,284 (40,499) 4,746,292
Capital assets,being depreciated:
Buildings and improvements 5,290,934 - (6,391) 5,284,543
Machinery and equipment 7,145,317 405,266 (57,649) 7,492,934
Infrastructure 26,572,496 634,757 - 27,207,253
Total capital assets,being
depreciated 39,008,747 1,040,023 (64,040) 39,984,730
Accumulated depreciation for—
Buildings and improvements (2,391,204) (128,736) 3,589 (2,516,351)
Machinery and equipment (1,126,231) (387,582) 52,578 (1,461,235)
Infrastructure (14,269,131) (937,456) - (15,206,587)
Total accumulated depreciation (17,786,566) (1,453,774) 56,167 (19,184,173)
Total capital assets being depreciated,
net of accumulated depreciation 21,222,181 (413,751) (7,873) 20,800,557
Business-type activities capital assets,
net $ 23,497,688 $ 2,097,533 $ (48,372) $ 25,546,849
- 65 -
CITY OF CAPE CANAVERAL,FLORIDA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30,2018
(7) Capital Assets: (Continued)
Depreciation expense was charged to functions/programs as follows:
Governmental activities:
General government $ 140,106
Community development 13,435
Public safety 154,419
Transportation 444,660
Culture and recreation 116,727
Total depreciation expense-governmental activities $ 869,347
Business-type activities:
Wastewater $ 1,213,202
Stormwater 240,572
Total depreciation expense-business-type activities $ 1,453,774
(8) Long-term Debt:
A.Revenue Bonds and Notes
Governmental Activities:
Capital Improvement Revenue Note,Series 2014
The $5,500,000 Capital Improvement Revenue Note, Series 2014 was issued in February 2014 to finance
various general government capital improvements and acquisitions including but not limited to a City
Hall project, Fire Station, Main Wastewater Treatment Plant Building Refurbishment, and other capital
improvements and to pay the cost of issuance related to the financing. The Series 2014 Note is secured by
an irrevocable first lien pledge and dedication of the pledged revenues which would consist of(1)public
service tax, (2) the City's local government half-cent sales tax, (3) the guaranteed entitlement portion of
the state revenue sharing funds, and (4) franchise fees; such revenues totaled $3,290,634 for the year
ended September 30, 2018. These annually pledged revenues collectively support the annual debt
repayment of$605,941 which comprises of$532,000 in principal and $73,941 in interest. The pledge of
the pledged revenues would be continuing and cumulative until all amounts under the Series 2014 Note
shall have been paid. The City directly collects the public service taxes, whereas the sales tax, state
revenue sharing funds, and franchise fees are collected through third parties and subsequently remitted to
the City. The note,which bears interest at 1.99%,is payable semi-annually on February 1 and August 1 of
each year until final maturity on February 1, 2024. Total principal remaining to be paid on the note is
$3,427,000.
- 66-
CITY OF CAPE CANAVERAL,FLORIDA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30,2018
(8) Lone-term Debt: (Continued)
Capital Improvement Revenue Note,Series 2017
The $6,200,000 Capital Improvement Revenue Note, Series 2017 was issued in July 2017 to finance
various general government capital improvements and acquisitions including but not limited to the multi-
generational center and other capital improvements and to pay the cost of issuance related to the
financing. The Series 2017 Note is secured by an irrevocable first lien pledge and dedication of the
pledged revenues which would consist of(1) the communications services tax, (2) the public service tax,
(3) the guaranteed entitlement portion of the state revenue sharing funds, (4) the local government half-
cent sales tax, (5) franchise fees, and(6)amounts on deposit in the Debt Service Fund,totaled $3,290,634
for the year ended September 30, 2018. These annually pledged revenues collectively support the annual
debt repayment of $689,203 which comprises of $564,000 in principal and $125,203 in interest. The
pledge of the pledged revenues would be continuing and cumulative until all amounts under the Series
2017 Note shall have been paid. The City directly collects the public service taxes, whereas the sales tax,
state revenue sharing funds, and franchise fees are collected through third parties and subsequently
remitted to the City. The note,which bears interest at 2.05%, is payable semi-annually on February I and
August 1 of each year until final maturity on February 1, 2027. Total principal remaining to be paid on
the note is$5,636,000.
Business-Type Activities:
State Revolving Loan
The City has applied for and received various loans under Florida's State Revolving Fund (SRF) loan
program. These loans,granted by the State,fund various wastewater and stormwater projects.
The City's SRF loans outstanding at September 30,2018 is summarized as follows:
1.68% State Revolving Fund promissory note payable in the amount of$5,164,812;
with semiannual loan payments of $169,154 beginning June 15, 2018 through
2031; secured by the net wastewater and stormwater utility revenue of the City. $ 4,318,492
1.47% State Revolving Fund promissory note payable in the amount of$2,769,700;
with semiannual loan payments of $80,287 beginning August 15, 2018 through
2037; secured by the net wastewater and stormwater utility revenue of the City. 2,693,969
7,012,461
Less: current maturities 390,846
Total business-type activities long-term debt $ 6,621,615
- 67-
CITY OF CAPE CANAVERAL,FLORIDA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30,2018
(8) Long-term Debt: (Continued)
Annual debt service requirements to maturity for the City's revenue bonds and notes are as follows:
Year Ending Governmental Activities Business-Type Activities
September 30, Principal Interest Principal Interest Total
2019 $ 1,119,000 $ 172,429 $ 390,846 $ 107,614 $ 1,789,889
2020 1,142,000 149,582 397,182 101,278 1,790,042
2021 1,165,000 126,271 403,621 94,839 1,789,731
2022 1,190,000 102,475 410,166 88,294 1,790,935
2023 1,213,000 78,194 416,817 81,643 1,789,654
2024-2028 3,234,000 115,358 2,187,694 304,607 5,841,659
2029-2033 - - 2,042,605 121,539 2,164,144
2034-2037 - - 628,899 9,995 638,894
Totals $ 9,063,000 $ 744,309 $ 7,012,461 $ 909,809 $ 17,594,948
B. Change in Long-term Liabilities
Long-term liability activity for the year ended September 30, 2018,was as follows:
Beginning Ending Due Within
Balance Increases Decreases Balance One Year
Governmental Activities
Capital improvement notes $ 10,159,000 $ - $ (1,096,000) $ 9,063,000 $ 1,119,000
Compensated absences payable 239,351 189,247 (140,476) 288,122 230,498
Total Governmental Activities $ 10,398,351 $ 189,247 $ (1,236,476) $ 9,351,122 $ 1,349,498
Business-Type Activities
State revolving loans $ 5,266,711 $ 1,936,745 $ (190,995) $ 7,012,461 $ 390,846
Compensated absences payable 90,635 74,186 (62,906) 101,915 81,532
Total Business-Type Activities $ 5,357,346 $ 2,010,931 $ (253,901) $ 7,114,376 $ 472,378
Compensated absences are typically paid from the General Fund, Wastewater Fund, and the Stormwater
Fund. With respect to governmental activities, compensated absences are primarily liquidated from the
General Fund. The liability for compensated absences in the business-type activities is liquidated in the
fund in which the liability was incurred.
There are no debt issues outstanding which have or will have any arbitrage rebate payable as of the report
date.
(9) Legal Matters:
The City is engaged in routine litigation incidental to the conduct of its business and municipal affairs. In
the opinion of its Counsel,no other legal proceedings are pending against them,not covered by insurance,
which would inhibit the City's ability to perform its operations or materially affect its financial condition.
- 68-
CITY OF CAPE CANAVERAL,FLORIDA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30,2018
(10) Employees' Retirement Plan:
Established with Resolution No. 2006-13 of the City Council,which is responsible for amending the plan
provisions and contribution requirements, the City contributes to a defined contribution plan which is
administered by the Florida League of Cities, P. O. Box 1757, Tallahassee, FL 32302, and features
participant-directed investments. The City established the plan for all regular full time and regular part
time employees with one year of employment and 1,000 hours of service each year. All qualifying
employees at least 18 years of age participate in the plan on the date of employment. Retirement benefits
are available after 5 years of service. Established with Resolution No. 2006-51 of the City Council,
employer contributions to the plan are 7% of the employee gross wages and the City allows for a
matching contribution of up to 3% of employee's basic compensation. Forfeitures of$10,936 were used
to reduce the City's current period contribution requirement.
For the year ended September 30, 2018, employer and matching contributions to the defined contribution
plan were $142,947 and $48,734, respectively. As of September 30, 2018, the Plan had 41 participating
employees.
(11) Other Post-Employment Benefits(OPEB):
Retirees and their dependents are permitted to remain covered under the City's respective health care
plans as long as they pay a full premium applicable to the coverage elected. This conforms to the
minimum required of Florida governmental employers per Chapter 112.08 of Florida Statutes.
In 2018, the City engaged an actuary to calculate the outstanding liability for certain post-employment
healthcare benefits provided by the City. Based on the City's policies whereby the retirement age is equal
to age 65 at which point employees become eligible for Medicare, the OPEB liability was actuarially
determined to be zero. There have been no changes to the City's policies or state statutes since that time
which management believes would impact this determination as of September 30, 2018. As such, no
OPEB liability has been recorded.
(12) Commitments and Contingencies:
Amounts received or receivable from grantor agencies are subject to audit and adjustment by grantor
agencies, principally the federal and state governments. Any disallowed claims, including amounts
already collected, may constitute a liability of the applicable fund(s). The amount, if any, of expenditures
from current or prior years which may be disallowed by the grantor cannot be determined at this time
although the City expects such amounts,if any,to be immaterial.
(13) Risk Management:
The City is exposed to various risks of loss related to torts; theft of, damage to, and destruction of assets;
errors and omissions; injuries to employees; and natural disasters, all of which are, in the opinion of
management, satisfactorily insured by general liability insurance. Commercial insurance policies are also
obtained for all other risks of loss, including workers' compensation and employee health and accident
insurance. Settled claims resulting from these risks have not exceeded commercial insurance coverage in
any of the past three years.
(14) Fund Deficits:
The School Crossing Guard Fund deficit of$532 represents the cumulative costs associated with capital
improvements and excess of expenditures over revenues. This deficit is to be funded by future fines and
forfeitures. The Capital Construction Fund deficit of$851,629 represents the cumulative costs associated
with capital improvements and excess of expenditures over revenues. This deficit is to be funded by
future general fund and grant funding.
- 69-
CITY OF CAPE CANAVERAL,FLORIDA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30,2018
(15) Tax Abatements:
The City entered into an agreement with a local corporation to abate certain ad valorem taxes in exchange
for economic incentives. Article VII, Section 3 of the Florida Constitution and Section 16.1995, Florida
Statutes, and the electorate of the City, have granted City Council the authority to grant property tax
exemptions for new business and expansions of existing businesses. The City Council approved
Ordinance 05-2016, granting the corporation an ad valorem tax exemption for a term of ten years. No
taxes were abated during the year ended September 30,2018.
(16) Restatement of Net Position:
Government Accounting Standards Board (GASB) Statement No. 75, Accounting and Financial
Reporting for Postemployment Benefits Other Than Pensions; was issued June 2015 and was
implemented for the City, beginning with its year ending September 30, 2018. The primary objective of
this Statement is to improve accounting and financial reporting by state and local governments for
postemployment benefits other than pensions. This Statement replaces the requirements of GASB
Statement No. 45, Accounting for Postemployment Benefits Other Than Pensions, as well as the
requirements of GASB Statement No. 57, OPEB Measurements by Agent Employers and Agent Multiple-
Employer Plan, for OPEB, as they relate to OPEB liabilities being recorded in the statements of net
position.
As indicated in Note (11), the actuarial assessment of the City's OPEB liability under GASB No. 75
resulted in the determination of a $0 liability as of both September 30, 2018 and 2017. As a result, the
City has stated beginning net position to reflect these amounts. The impact of the restatement on the
governmental activities and business-type activities beginning net position at September 30, 2018, are as
follows:
(a) Governmental Activities:
Net position—September 30,2017, as originally reported $ 26,129,178
Removal of beginning net OPEB obligation 41,607
Net position—September 30,2017, as restated $ 26,170,785
(b) Business-type Activities:
Wastewater Stormwater Business-type
Fund Fund Activities
Net position—September 30,2017,originally reported $ 17,236,868 $ 4,083,243 $ 21,320,111
Removal of beginning OPEB liability 22,582 1,811 24,393
Net position—September 30,2017, as restated $ 17,259,450 $ 4,085,054 $ 21,344,504
- 70 -
CITY OF CAPE CANAVERAL,FLORIDA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30,2018
(17) Recent Accounting Pronouncements:
The Governmental Accounting Standards Board ("GASB") has issued several pronouncements that have
effective dates that may impact future financial statements. Listed below are pronouncements with
required implementation dates effective for subsequent fiscal years that have not yet been implemented.
Management has not currently determined what,if any, impact implementation of the following will have
on the City's financial statements:
(a) GASB issued Statement No. 83, Certain Asset Retirement Obligations, in November 2016.
GASB 83 addresses accounting and financial reporting for certain asset retirement obligations
(AROs), which are legally enforceable liabilities associated with the retirement of a tangible
capital asset. The provisions in GASB 83 are effective for periods beginning after June 15,
2018.
(b) GASB issued Statement No. 84, Fiduciary Activities, in January 2017. GASB 84 improves
guidance regarding the identification and reporting of fiduciary activities. The provisions in
GASB 84 are effective for periods beginning after December 15,2018.
(c) GASB issued Statement No. 87, Leases, in June 2017. GASB 87 increases the usefulness of
governments' financial statements by requiring recognition of certain lease assets and
liabilities for leases that previously were classified as operating leases and recognized as
inflows of resources or outflows of resources based on the payment provisions of the contract.
It establishes a single model for lease accounting based on the foundational principle that
leases are financings of the right to use an underlying asset. The provisions in GASB 87 are
effective for periods beginning after December 15,2019.
(d) GASB issued Statement No. 88, Certain Disclosures Related to Debt, including Direct
Borrowings and Direct Placements, in April 2018. GASB 88 requires that additional essential
information related to debt be disclosed in notes to financial statements,including unused lines
of credit; assets pledged as collateral for the debt; and terms specified in debt agreements
related to significant events of default with finance-related consequences, significant
termination events with finance-related consequences, and significant subjective acceleration
clauses. The provisions in GASB 88 are effective for periods beginning after June 15,2018.
(e) GASB issued Statement No. 90, Majority Equity Interests-an amendment of GASB Statements
No. 14 and No. 61, in August 2018. GASB 90 improves the consistency and comparability of
reporting a government's majority equity interest in a legally separate organization and
improves the relevance of financial statement information for certain component units. The
provisions in GASB 90 are effective for periods beginning after December 15,2018.
- 71 -
Combining and Individual
Fund Statements and Schedules
- 72 -
THIS PAGE INTENTIONALLY LEFT BLANK.
- 73 -
Special Revenue Funds
Special Revenue Funds are used to account for specific taxes or other earmarked revenue sources that are
legally restricted to expenditure for particular purposes.
Police Education
This Fund accounts for training costs for police. Revenues are provided from court fees collected from
Cape Canaveral proceedings.
Fire Protection
This Fund accounts for fire protection costs. Revenues are provided from impact fees assessed on new
residential and commercial construction over two stories high.
School Crossing Guard
This Fund accounts for the cost of a school crossing guard. Revenues are derived from a$10 surcharge on
parking citations issued within the City.
Library
This Fund accounts for revenues levied within the property tax millage for maintenance of the public
library.
Special Law Enforcement Trust
This Fund accounts for the receipt and disbursement of confiscated contraband property proceeds from
certain criminal cases pursuant to Florida Statutes.
- 74-
CITY OF CAPE CANAVERAL,FLORIDA
COMBINING BALANCE SHEET
NONMAJOR GOVERNMENTAL FUNDS
SEPTEMBER 30,2018
Special Revenue Funds
Police Fire School Special Law
Education Protection Crossing Guard Library Enforcement Trust Total
Assets
Equity in pooled cash and investments $ 21,841 $ 7,496 $ - $ 384,195 $ 1,659 $ 415,191
Due from other governments 42 - 50 8 - 100
Total assets $ 21,883 $ 7,496 $ 50 $ 384,203 $ 1,659 $ 415,291
Liabilities
Accounts payable and accrued liabilities $ - $ - $ 582 $ 186 $ - $ 768
Fund Balances
Restricted for:
Public safety 21,883 7,496 - - 1,659 31,038
Culture/recreation - - - 384,017 - 384,017
Unassigned - - (532) - - (532)
Total fund balances 21,883 7,496 (532) 384,017 1,659 414,523
Total liabilities and fund balances $ 21,883 $ 7,496 $ 50 $ 384,203 $ 1,659 $ 415,291
-75 -
CITY OF CAPE CANAVERAL,FLORIDA
COMBINING STATEMENT OF REVENUES,EXPENDITURES,AND
CHANGES IN FUND BALANCES
NONMAJOR GOVERNMENTAL FUNDS
FOR THE YEAR ENDED SEPTEMBER 30,2018
Special Revenue Funds
Police Fire School Special Law
Education Protection Crossing Guard Library Enforcement Trust Total
Revenues
Property taxes $ - $ - $ - $ 70,088 $ - $ 70,088
Fines and forfeitures 995 - 1,010 - - 2,005
Impact fees - - - 320 - 320
Investment earnings(losses) 212 132 - 5,616 44 6,004
Total revenues 1,207 132 1,010 76,024 44 78,417
Expenditures
Current:
Public Safety - - - - 2,683 2,683
Culture and Recreation - - - 23,348 - 23,348
Capital outlay - - - 29,988 - 29,988
Total expenditures - - - 53,336 2,683 56,019
Excess (deficiency)of revenues
over expenditures 1,207 132 1,010 22,688 (2,639) 22,398
Other financing sources(uses)
Transfers out - - (2,385) - - (2,385)
Net change in fund balances 1,207 132 (1,375) 22,688 (2,639) 20,013
Fund balances,beginning of year 20,676 7,364 843 361,329 4,298 394,510
Fund balances, end of year $ 21,883 $ 7,496 $ (532) $ 384,017 $ 1,659 $ 414,523
-76-
CITY OF CAPE CANAVERAL,FLORIDA
SCHEDULE OF REVENUES,EXPENDITURES,AND
CHANGES IN FUND BALANCES-BUDGET TO ACTUAL
NONMAJOR GOVERNMENTAL FUNDS
SEPTEMBER 30,2018
Special Revenue Funds
Police Education Fire Protection
Variance Variance
Budgeted Amounts Positive Budgeted Amounts Positive
Original Final Actual (Negative) Original Final Actual (Negative)
Revenues
Property taxes $ - $ - $ - $ - $ - $ - $ - $ -
Fines and forfeitures 864 995 995 - - - - -
Impact fees - - - - - - - -
Investment earnings(losses) 180 212 212 - 132 98 132 34
Total revenues 1,044 1,207 1,207 - 132 98 132 34
Expenditures
Current:
Public Safety:
Fire - - - - 132 98 - 98
Police 1,044 1,207 - 1,207 - - - -
Culture and Recreation:
Library - - - - - - - -
Capital outlay - - - - - - - -
Total expenditures 1,044 1,207 - 1,207 132 98 - 98
Excess(deficiency)of revenues
over(under)expenditures - - 1,207 1,207 - - 132 132
Other fmancing sources(uses)
Transfers out - - - - - - - -
Net change in fund balances - - 1,207 1,207 - - 132 132
Fund balances,beginning of year 20,676 20,676 20,676 - 7,364 7,364 7,364 -
Fund balances,end of year $ 20,676 $ 20,676 $ 21,883 $ 1,207 $ 7,364 $ 7,364 $ 7,496 $ 132
-77-
CITY OF CAPE CANAVERAL,FLORIDA
SCHEDULE OF REVENUES,EXPENDITURES,AND
CHANGES IN FUND BALANCES-BUDGET TO ACTUAL(Continued)
NONMAJOR GOVERNMENTAL FUNDS
SEPTEMBER 30,2018
Special Revenue Funds
School Crossing Guard Library
Variance Variance
Budgeted Amounts Positive Budgeted Amounts Positive
Original Final Actual (Negative) Original Final Actual (Negative)
Revenues
Property taxes $ - $ - $ - $ - $ 68,622 $ 70,088 $ 70,088 $ -
Fines and forfeitures 1,500 923 1,010 87 - - - -
Impact fees - - - - - 320 320 -
Investment earnings(losses) 61 - - - 4,835 5,616 5,616 -
Total revenues 1,561 923 1,010 87 73,457 76,024 76,024 -
Expenditures
Current:
Public Safety:
Fire - - - - - - - -
Police - (638) - (638) - - - -
Culture and Recreation:
Library - - - - 43,457 46,036 23,348 22,688
Capital outlay - - - - 30,000 29,988 29,988 -
Total expenditures - (638) - (638) 73,457 76,024 53,336 22,688
Excess(deficiency)of revenues
over(under)expenditures 1,561 1,561 1,010 725 - - 22,688 22,688
Other fmancing sources(uses)
Transfers out (2,385) (2,385) (2,385) - - - - -
Net change in fund balances (824) (824) (1,375) 725 - - 22,688 22,688
Fund balances,beginning of year 843 843 843 - 361,329 361,329 361,329 -
Fund balances,end of year $ 19 $ 19 $ (532) $ 725 $ 361,329 $ 361,329 $ 384,017 $ 22,688
-78-
CITY OF CAPE CANAVERAL,FLORIDA
SCHEDULE OF REVENUES,EXPENDITURES,AND
CHANGES IN FUND BALANCES-BUDGET TO ACTUAL(Continued)
NONMAJOR GOVERNMENTAL FUNDS
SEPTEMBER 30,2018
Special Revenue Funds
Special Law Enforcement Trust
Variance
Budgeted Amounts Positive
Original Final Actual (Negative)
Revenues
Property taxes $ - $ - $ - $ -
Fines and forfeitures - - - -
Impact fees - - - -
Investment earnings(losses) $ 72 $ (44) $ 44 $ 88
Total revenues 1,072 (44) 44 88
Expenditures
Current:
Public Safety:
Fire - - - -
Police 2,682 1,566 2,683 (1,117)
Culture and Recreation:
Library - - - -
Capital outlay - - - -
Total expenditures 2,682 1,566 2,683 (1,117)
Excess(deficiency)of revenues
over(under)expenditures (1,610) (1,610) (2,639) 1,205
Other financing sources(uses)
Transfers out - - - -
Net change in fund balances (1,610) (1,610) (2,639) 1,205
Fund balances,beginning of year 4,298 4,298 4,298 -
Fund balances,end of year $ 2,688 $ 2,688 $ 1,659 8 1,205
-79-
Statistical Section
- 80 -
THIS PAGE INTENTIONALLY LEFT BLANK.
- 81 -
Statistical Section
This part of the City of Cape Canaveral, Florida’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 City’s overall financial health.
Contents Page
Financial Trends 84
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 91
These schedules contain information to help the reader assess the factors affecting the
City’s ability to generate its property and sales taxes.
Debt Capacity 96
These schedules present information to help the reader assess the affordability of the
City’s current levels of outstanding debt and the City’s ability to issue additional debt in
the future.
Demographic and Economic Information 100
These schedules offer demographic and econom ic indicators to help the reader
understand the environment within which the City’s financial activities take place.
Operating Information 101
These schedules contain information about the City’s operations and resources to help the
reader understand how the City’s financial information relates to the services the City
provides and the activities it performs.
Sources: Unless otherwise noted, the informa tion in these schedules is derived from the
Comprehensive Annual Financial Report for the relevant fiscal year.
- 82 -
THIS PAGE INTENTIONALLY LEFT BLANK.
- 83 -
City of Cape Canaveral,Florida Table 1
Net Position by Component
Last Ten Fiscal Years
(accrual basis of accounting)
Fiscal Year Fiscal Year
2018 2017 2016 2015 2014 2013 2012 2011 2010 2009
Governmental activities:
Net Investment in Capital Assets $ 23,031,722 $ 15,762,142 $ 17,995,928 $ 13,333,909 $ 12,919,882 $ 15,842,742 $ 16,153,413 $ 16,192,759 $ 14,305,431 $ 13,761,994
Restricted 1,240,280 715,241 1,538,482 1,691,174 1,296,710 1,162,204 1,001,741 1,243,408 3,902,039 1,658,390
Unrestricted 3,313,663 9,651,795 5,850,230 7,844,092 8,219,219 5,835,996 5,800,091 5,802,065 3,841,426 6,201,532
Total governmental activities net position 27,585,665 26,129,178 25,384,640 22,869,175 22,435,811 22,840,942 22,955,245 23,238,232 22,048,896 21,621,916
Business-type activities:
Net Investment in Capital Assets 18,534,388 18,230,977 17,252,487 15,697,879 14,389,471 12,986,307 12,774,301 11,792,700 11,835,287 11,907,091
Restricted 311,774 523,141 327,160 175,579 423,939 396,648 428,741 453,489 485,322 500,875
Unrestricted 2,365,518 2,565,993 3,154,768 2,395,488 2,840,010 3,237,865 2,951,894 3,335,775 2,806,180 2,656,369
Total business-type activities net position 21,211,680 21,320,111 20,734,415 18,268,946 17,653,420 16,620,820 16,154,936 15,581,964 15,126,789 15,064,335
Primary government:
Net Investment in Capital Assets 41,566,110 33,993,119 35,248,415 29,031,788 27,309,353 28,829,049 28,927,714 27,985,459 26,140,718 25,669,085
Restricted 1,552,054 1,238,382 1,865,642 1,866,753 1,720,649 1,333,852 1,430,482 1,696,897 4,387,361 2,159,265
Unrestricted 5,679,181 12,217,788 9,004,998 10,239,580 11,059,229 9,298,861 8,751,985 9,137,840 6,647,606 8,857,901
Total primary government net position $ 48,797,345 $ 47,449,289 $ 46,119,055 $ 41,138,121 $ 40,089,231 $ 39,461,762 $ 39,110,181 $ 38,820,196 $ 37,175,685 $ 36,686,251
-84-
City of Cape Canaveral,Florida Table 2
Changes in Net Position
Last Ten Fiscal Years(accrual basis of accounting)
Fiscal Year Fiscal Year
2018 2017 2016 2015 2014 2013 2012 2011 2010 2009
Expenses:
Governmental activities
General government $ 2,113,111 $ 1,738,078 $ 1,729,277 $ 1,506,243 $ 1,196,010 $ 1,176,016 $ 1,113,604 $ 691,932 $ 674,753 $ 734,535
Public safety 4,813,735 4,758,227 4,806,887 4,533,243 4,988,955 4,786,742 4,669,217 4,616,255 4,672,287 4,847,105
Transportation 968,272 982,291 976,126 989,959 1,068,023 1,039,001 1,027,016 1,051,014
Physical environment 1,059,367 1,039,747 971,376 969,778 879,353 856,790 900,255 884,689
Infrastructure Maintenance* 2,530,280 2,879,334
Culture/recreation 671,362 641,703 640,356 570,491 721,749 568,356 585,452 467,498 388,430 434,924
Community Redevelopment* 2,508 102,732
Unallocated depreciation - - - - - - - -
Interest on long-teen debt 211,511 101,772 94,236 104,385 47,124 - - - - -
Total governmental activities expenses 10,342,507 10,221,846 9,298,395 8,736,400 8,901,340 8,490,851 8,315,649 7,671,476 7,662,741 7,952,267
Business-type activities:
Wastewater utility 3,560,126 3,149,054 2,916,035 2,873,515 2,867,552 2,946,743 3,015,636 2,934,729 2,911,651 3,013,820
Stormwater utility 685,002 526,404 537,809 526,065 463,618 427,634 336,503 279,213 231,376 200,710
Total business-type activities expenses 4,245,128 3,675,458 3,453,844 3,399,580 3,331,170 3,374,377 3,352,139 3,213,942 3,143,027 3,214,530
Total primary-government expenses $ 14,587,635 $ 13,897,304 $ 12,752,239 $ 12,135,980 $ 12,232,510 $ 11,865,228 $ 11,667,788 $ 10,885,418 $ 10,805,768 $ 11,166,797
Program revenue
Governmental activities:
Charges for Services:
General government $ 5,981 $ 17,192 $ 49,413 $ 20,552 $ 22,890 $ 17,376 $ 3,757 $ 105 $ 931 $ 186
Public safety 676,100 569,568 471,722 614,254 509,007 528,502 368,253 324,504 287,521 278,510
Physical environment 1,087,639 1,059,788 1,058,515 1,050,377 983,463 978,586 914,873 890,489 880,494 897,117
Culture/recreation 76,287 67,081 87,210 79,947 85,832 88,413 100,305 75,880 73,725 56,219
Operating Grants and Contributions
General government - - - - - - - 28,803
Public safety - - - - - - 26,359 37,656
Transportation 320,181 332,189 333,666 303,353 283,621 319,888 - - - -
Culture/recreation - - - 986 8,922 8,060 - -
Capital Grants and Contributions
General government - - - 2,804 211 - - -
Public safety - - - 7,635 376 - - -
Transportation 5,123 455,249 818,647 13,886 293,678 92,420 2,800 490,255 - -
Culture/recreation 50,000 5,000 - - - 695 463 - - 6,500
Total governmental activities program revenues 2,221,311 2,506,067 2,819,173 2,082,369 2,178,491 2,037,305 1,399,960 1,789,293 1,269,030 1,304,991
Business-type activities:
Charges for services:
Wastewater utility 4,014,216 3,964,016 4,099,508 3,732,961 3,569,928 3,363,595 3,601,830 3,376,100 3,191,340 3,028,493
Stormwater utility 747,234 637,061 582,331 580,543 579,494 577,141 400,035 344,596 345,961 347,171
Operating grants and contributions
Sewer utility - - - - - - - - 6,032
Stormwater utility - - - - - - - - -
Capital grants and contributions
Sewer utility - - - - - - - - 24,662
Stormwater utility 465,038 - - - - - - 200 267,189
Total business-Type activities program revenues 4,761,450 5,066,115 4,681,839 4,313,504 4,149,422 3,940,736 4,001,865 3,720,696 3,537,501 3,673,547
Total primary government program revenues $ 6,982,761 $ 7,572,182 $ 7,501,012 $ 6,395,873 $ 6,327,913 $ 5,978,041 $ 5,401,825 $ 5,509,989 $ 4,806,531 $ 4,978,538
-85-
City of Cape Canaveral,Florida
Changes in Net Position
Last Eight Fiscal Years
(accrual basis of accounting)
Fiscal Year Fiscal Year
2018 2017 2016 2015 2014 2013 2012 2011 2010 2009
Net(expense)revenue
Governmental activities $ (8,121,196) $ (7,715,779) $ (6,479,222) $ (6,654,031) $ (6,722,849) $ (6,453,546) $ (6,915,689) $ (5,882,183) $ (6,393,711) $ (6,647,276)
Business-type activities 516,322 1,390,657 1,227,995 913,924 818,252 566,359 649,726 506,754 394,474 459,017
Total primary government net(expense)revenue $ (7,604,874) $ (6,325,122) $ (5,251,227) $ (5,740,107) $ (5,904,597) $ (5,887,187) $ (6,265,963) $ (5,375,429) $ (5,999,237) $ (6,188,259)
General revenues and other changes in net assets
Governmental activities:
Property taxes $ 4,434,439 $ 3,546,026 $ 3,349,568 $ 3,280,632 $ 3,244,566 $ 3,225,873 $ 3,246,835 $ 3,701,683 $ 3,301,598 $ 3,988,772
Local option motor fuel taxes - - - - 319,888 343,960 270,065 286,961 275,700
Utility and franchise taxes 2,498,499 2,461,812 2,454,174 2,385,223 2,302,715 2,064,043 1,990,307 2,072,864 2,055,467 2,038,270
Unrestricted intergovernmental revenues 1,682,505 1,482,570 2,736,562 940,785 794,366 733,430 696,767 662,774 691,234 698,031
Investment income 164,414 76,501 77,593 80,687 65,002 118,418 177,045 189,713 243,926 202,793
Gain on disposition of capital assets - - - - - - - - -
Contributions and donations 25,072 - - - - - - 179,694 4,665
Miscellaneous revenues 55,294 39,406 34,642 70,668 121,673 72,479 52,788 49,420 25,019 28,504
Transfers 700,925 828,930 342,148 329,400 (210,604) 125,000 125,000 125,000 134,471 125,000
Total governmental activities 9,536,076 8,460,317 8,994,687 7,087,395 6,317,718 6,659,131 6,632,702 7,071,519 6,918,370 7,361,735
Business-type activities:
Investment income 17,079 18,568 16,769 26,314 16,903 24,525 47,254 54,761 70,127 40,326
Unrestricted intergovernmental revenues - 1,558,083 - - - - - - 40,917
Miscellaneous revenues 34,700 5,401 4,770 4,688 - - 992 18,660 - -
Transfers (700,925) (828,930) (342,148) (329,400) 210,604 (125,000) (125,000) (125,000) (134,471) (125,000)
Total business-type activities (649,146) (804,961) 1,237,474 (298,398) 227,507 (100,475) (76,754) (51,579) (64,344) (43,757)
Total primary government $ 8,886,930 $ 7,655,356 $ 10,232,161 $ 6,788,997 $ 6,545,225 $ 6,558,656 $ 6,555,948 $ 7,019,940 $ 6,854,026 $ 7,317,978
Change in net position:
Government activities $ 1,414,880 $ 744,538 $ 2,515,465 $ 433,364 $ (405,131) $ (114,303) $ (282,987) $ 1,189,336 $ 524,659 $ 714,459
Business-type activities (132,824) 585,696 2,465,469 615,526 1,045,759 465,884 572,972 455,175 330,130 415,260
Total primary government change in net position 5 1,282,056 $ 1,330,234 $ 4,980,934 $ 1,048,890 $ 640,628 $ 351,581 $ 289,985 $ 1,644,511 $ 854,789 $ 1,129,719
Note:The city began reporting financial information on the accrual basis of accounting when it implemented GASB Statement No.34 in fiscal year 2004.
*Break down to reflect auditors records in order to show Infrastructure Maintenance and Community Redevelopment totals separated.
-86-
City of Cape Canaveral,Florida
Fund Balances of Governmental Funds
Last Ten Fiscal Years
(modified accrual basis of accounting)
Fiscal Year
2018 2017 2016 2015
General Fund
Reserved -
Unreserved - - -
Nonspendable 3,312 115,308 96,734 105,275
Restricted 774,321 321,574 447,214 542,083
Committed 6,598,862 7,153,028 2,479,667 4,393,882
Assigned 1,034,776 947,650 - -
Unassigned(deficit) 3,072,957 3,282,575 3,981,139 3,585,562
Total general fund $ 11,484,228 $ 11,820,135 $ 7,004,754 $ 8,626,802
All other Governmental Funds:
Reserved $ - $ - $ -
Unreserved,reported in:
Special revenue funds - - -
Capital projects fund - - -
Nonspendable 620 - - -
Restricted 465,959 393,667 1,091,268 1,149,091
Committed 843 2,257 3,113
Assigned - - 1,998
Unassigned(deficit) (852,161) (1,548,847) (466,535) -
Total all other governmental funds $ (385,582) $ (1,154,337) $ 626,990 $ 1,154,202
Note: Implementation of GASB 54 in 2011 has changed fund balance designations.
-87-
Table 3
Fiscal Year
2014 2013 2012 2011 2010 2009
$ - $ - $ - $ - $ 1,319,729 $ 49,172
- - - 5,051,617 6,306,358
124,668 12,394 11,192 376,436
430,314 249,194 227,475 47,645
5,024,941 2,264,838 - -
485,543 428,837 2,901,197 2,731,899
3,026,331 3,285,868 3,035,218 2,831,584
$ 9,091,797 $ 6,241,131 $ 6,175,082 $ 5,987,564 $ 6,371,346 $ 6,355,530
$ - $ - $ - $ - $ 229,488 $ 21,362
- - 517,503 855,695
- - - - 780,229 781,333
- - - 6,247
866,396 913,010 774,266 1,189,516
- - 4,119 7,762
(189,731) - - -
$ 676,665 $ 913,010 $ 778,385 $ 1,203,525 $ 1,527,220 $ 1,658,390
-88-
City of Cape Canaveral,Florida
Changes in Fund Balances of Governmental Funds
Last Ten Fiscal Years
(modified accrual basis of accounting)
Fiscal Year
2018 2017 2016 2015
Revenues:
Property Taxes $ 4,364,351 $ 3,482,123 $ 3,349,568 $ 3,280,632
Local option fuel taxes 320,181 332,189 333,666 303,353
Utility and franchise taxes 2,433,499 2,384,812 2,385,437 2,327,660
Intergovernmental 1,247,991 1,160,756 2,911,743 1,107,604
Licenses and permits 401,431 301,520 218,773 324,649
Charges for services 1,238,322 1,195,654 1,184,568 1,187,150
Fines and forfeitures 4,985 12,662 29,690 80,412
Impact fees 1,840 22,537 556,989 16,046
Investment earnings 158,410 71,536 77,593 80,687
Contributions and donations - -
Miscellaneous 151,446 105,477 86,301 129,237
Total revenues 10,322,456 9,069,266 11,134,328 8,837,430
Expenditures:
Current:
General government 1,457,158 1,201,347 1,718,241 1,497,117
Community Development* 414,414 399,564
Public safety 4,656,633 4,582,436 4,547,434 4,270,231
Transportation - 714,108 734,258
Physical environment - - 1,059,367 1,039,747
Infrastructure Maintenance* 2,085,620 2,100,942
Culture/recreation 531,287 508,887 529,267 468,430
Capital outlay 487,752 152,581 8,933,674 3,678,426
Debt service:
Principal 1,096,000 521,000 511,000 509,000
Interest 198,693 83,968 94,236 104,385
Total expenditures 10,927,557 9,550,725 18,107,327 12,301,594
Excess of revenues over(under)
expenditures (605,101) (481,459) (6,972,999) (3,464,164)
Other financing sources(uses):
Proceeds from sale of assets 0 675 4,110 12,567
Capital lease - - - -
Transfers In 1,393,008 889,672 6,979,075 4,467,764
Transfers Out (1,123,814) (1,793,507) (2,159,446) (1,003,625)
Issuance of long term debt - 6,200,000 - -
Total other financing sources(uses) 269,194 5,296,840 4,823,739 3,476,706
Net change in fund balances $ (335,907) $ 4,815,381 $ (2,149,260) $ 12,542
*New break down to reflect auditors records in order to show Infrastructure Maintenance and Community Redevelopment totals separat
-89-
Table 4
Fiscal Year
2014 2013 2012 2011 2010 2009
$ 3,244,566 $ 3,225,873 $ 3,246,835 $ 3,701,683 $ 3,301,598 $ 3,988,772
283,621 319,888 343,960 270,065 286,961 275,700
2,242,170 2,005,288 1,926,356 2,001,431 2,055,467 2,038,270
1,237,160 968,271 840,488 1,207,232 717,593 876,990
214,674 240,605 187,851 174,371 184,938 169,165
1,178,777 1,177,491 1,052,443 1,004,528 987,925 988,282
84,173 68,477 32,810 43,743 69,808 74,585
65,002 118,418 177,045 189,714 243,926 202,793
- 2,286 11,722 67,578 178,321 4,665
174,520 107,101 88,152 65,364 26,387 28,504
8,724,663 8,233,698 7,907,662 8,725,709 8,052,924 8,647,726
1,137,376 1,158,745 1,075,806 661,104 662,651 712,862
4,686,563 4,536,967 4,443,899 4,457,143 4,494,953 4,579,807
708,679 650,836 731,492 881,311 869,194 885,181
971,376 958,346 886,445 855,189 827,054 872,318
629,639 505,509 505,436 394,860 381,838 365,351
5,089,128 386,968 741,895 2,318,682 959,909 319,875
47,124 - - - - -
13,269,885 8,197,371 8,384,973 9,568,289 8,195,599 7,735,394
(4,545,222) 36,327 (477,311) (842,580) (142,675) 912,332
99,119 39,347 114,689 10,103 - 3,100
5,435,060 353,120 125,000 125,000 125,000 125,000
(3,874,636) (228,120) - - - -
5,500,000
7,159,543 164,347 239,689 135,103 125,000 128,100
$ 2,614,321 $ 200,674 $ (237,622) $ (707,477) $ (17,675) $ 1,040,432
ec
-90-
City of Cape Canaveral,Florida Table 5
Tax Revenues by Source of Governmental Funds
Last Ten Fiscal Years
Fiscal Year Ending Local Option Gas Utility and
September 30 Property Taxes Taxes Franchise Taxes Total
2018 $ 4,364,351 $ 320,181 $ 2,433,499 $ 7,118,031
2017 $ 3,482,123 $ 332,189 $ 2,384,812 $ 6,199,124
2016 $ 3,349,568 $ 333,666 $ 2,385,437 $ 6,068,671
2015 $ 3,280,632 $ 303,353 $ 2,327,660 $ 5,911,645
2014 $ 3,244,566 $ 283,621 $ 2,242,170 $ 5,770,357
2013 $ 3,225,873 $ 319,888 $ 2,005,288 $ 5,551,049
2012 $ 3,246,835 $ 343,960 $ 1,926,356 $ 5,517,151
2011 $ 3,701,683 $ 270,065 $ 2,001,431 $ 5,973,179
2010 $ 3,301,598 $ 286,961 $ 2,055,467 $ 5,644,026
2009 $ 3,988,772 $ 275,700 $ 2,038,270 $ 6,302,742
Tax Revenues by Source - Governmental Funds
FY 2017-2018
Utility and
Franchise Taxes,
$2,433,499
Property Taxes,
$4,364,351
Local Option Gas
Taxes, $320,181
Note: This schedule represents General Fund Revenues and Special Revenue Funds
-91 -
City of Cape Canaveral,Florida Table 6
Assessed Value and Actual Value of Taxable Property-Unaudited
Last Ten Fiscal Years
Fiscal Assessed Value
Year as a Percentage
Ending Total Taxable Assessed Total Direct Tax of Actual Value
Sept.30 Real Property Personal Property Estimated Actual Value Exemptions Real Property Value Rate
2018 $ 1,471,785,620 45,960,609 1,517,746,229 155,035,175 1,139,320,084 4.0190 75.1%
2017 1,319,311,200 43,765,742 1,363,076,942 148,346,260 1,039,685,602 3.5235 76.3%
2016 1,210,304,710 37,596,222 1,247,900,932 139,827,608 976,475,444 3.5432 78.2%
2015 1,089,004,140 37,779,795 1,126,783,935 136,211,297 911,269,988 3.7246 80.9%
2014 997,910,830 32,828,416 1,030,739,246 134,809,299 854,722,277 3.9102 82.9%
2013 941,481,580 29,345,431 970,827,011 133,952,078 819,560,573 4.0739 84.4%
2012 946,202,570 28,849,632 975,052,202 135,604,108 822,683,104 4.0739 84.4%
2011 1,086,815,240 37,635,713 1,088,915,973 144,063,544 944,852,429 4.0739 86.8%
2010 1,297,016,050 44,355,005 1,341,371,055 256,232,810 1,114,328,062 3.0671 83.1%
2009 1,621,339,380 44,924,563 1,666,263,943 316,819,560 1,343,479,136 3.0671 80.6%
Actual vs Assessed Value of Taxable Property
1,800
1,600
1,400
1,200
c
1,000
° 800
600
400
200
0
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
■Actual Value ■Assessed Value
Source: Brevard County Property Appraiser(Form DR-403V)
-92-
City of Cape Canaveral,Florida Table 7
Property Tax Rates -Direct and Overlapping Governments-Unaudited
Last Ten Fiscal Years
Mills(per$1,000 of assessed valuation)
Cape Canaveral(1) Brevard Brevard School Total Direct&
Overlapping
Fiscal Year Library Police Fire Beautification Total County&Other DistrictRates
2018 0.0635 3.9555*** 4.0190 5.3069 6.5680 15.8939
2017 0.0635 3.4600*** 3.5235 5.5753 6.9160 16.0148
2016 0.0635 3.4797*** 3.5432 5.8035 7.2750 16.6217
2015 0.0666 3.6580*** 3.7246 5.4589 7.3390 16.5225
2014 0.0709 1.9187 1.4390 0.4816 3.9102 5.6254 7.6060 17.1416
2013 0.0739 2.0000 1.5000 0.5000 4.0739 6.2857 8.0960 18.4556
2012 0.0739 2.0000 1.5000 0.5000 4.0739 6.2857 8.1120 18.4716
2011 0.0739 2.0000 1.5000 0.5000 4.0739 5.6752 7.6530 17.4021
2010 0.0453 1.4166 1.2715 0.3337 3.0671 4.9714 7.6870 15.7255
2009 0.0453 1.4166 1.2715 0.3337 3.0671 5.1265 7.6610 15.8546
Tax Rates for Cape Canaveral Residents
9.0000
8.0000
7.0000 - -
6.0000 - - -
5.0000 -
4.0000 - - -
3.0000 -
2.0000
1.0000
0.0000
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
MCape Canaveral ■Brevard County y Brevard Schools
***2015 is the 1st year of a General Millage for Cape Canaveral
Source:
(1) Millage Rate includes General Fund and Library Fund
(2) Brevard County Property Appraiser DR403BM&DR-403CC
-93-
City of Cape Canaveral,Florida Table 8
Principal Property Taxpayers(Major Taxpayers)-Unaudited
Current Year and Ten Years Ago
Year Ended Year Ended
September 30,2018 September 30,2009
Percent of Percent of
Total City Total City
Tax Taxable Tax Taxable
Taxpayer Product/Service Assessed Rank Value Assessed Rank Value
OLCC Florida,LLC(Holiday Inn Vacation) Time Share Dvlpmnt $152,286.80 1 3.42% $ 133,327 1 13.93%
Florida Power&Light Company Utility $53,636.73 2 1.20%
Sunbelt-OCF LLC(Homewood Suites) Hotel $46,839.01 3
Cocoa Beach Motel Two,Inc.(Radisson) Hotel $38,876.63 4 0.87% 36,192 2 3.78%
Cape Canaveral Joint Venture(8550 Astronaut) N/A $23,495.67 5 0.53% 22,390 4 2.34%
Palms East of Cape Canaveral,LLC Rental Property $20,173.05 6 0.45% 15,642 7 1.63%
Portview Inn&Suites, LLC(Country Inn) Hotel $18,709.52 7 0.42% 19,629 5 2.05%
Cape Canaveral Hotel CAB (Residence Inn) Hotel $17,404.20 8 0.00%
Oceanside Treasure,LLC Condominium $16,810.88 9 0.34%
IAP World Services,Inc. Security Contractor $15,030.90 10 0.00% 13,189 8 1.38%
Puerto Del Rio,LLC. Condominium 22,390 3 2.34%
AJT,Ltd. N/A 12,575 9 1.31%
AIA Acquisition Group,LTD.,LLC N/A 16,869 6 1.76%
Total Taxes Assessed $ 403,263 7.23% $ 292,203 30.52%
TAXES ASSESSED TO PRINCIPAL TAXPAYERS
FY 2017-2018
Cape Canaveral Hotel CAB.. Oceanside Treasure,LLC
4% \ IAP World Services,Inc.
\\ 4% / 4%
Portview Inn&Suites, LLC
5%
OLCC Florida,LLC
Palms East of Cape Canaveral,LLC 38%
5% /
Cape Canaveral Joint Venture J
6%
Cocoa Beach Motel Two,Inc.
10%
Sunbelt-OCF LLC Florida Power&Light Company
11% 13%
Source: Brevard County Tax Collector
- 94 -
City of Cape Canaveral,Florida Table 9
Property Tax Levies and Collections-Unaudited
Last Ten Fiscal Years
Current Year Collections Total Collections to Date
Percentage of Delinquent Tax Total Amount Percentage of
Fiscal Year Amount Levied Amount Collected Levy Collections(1) Collected Levy
2018 $ 4,518,710 $ 4,448,749 98.45% $ 34,723 $ 4,483,472 99%
2017 3,583,769 3,582,073 99.95% 42,618 3,624,691 101%
2016 3,286,001 3,285,438 99.98% 64,129 3,349,567 102%
2015 3,393,383 3,280,632 96.68% 50,621 3,331,253 98%
2014 3,344,618 3,244,566 97.01% 65,851 3,310,417 99%
2013 3,338,808 3,175,256 95.10% 116,468 3,291,724 99%
2012 3,350,872 3,184,597 95.04% 89,352 3,273,949 98%
2011 3,848,393 3,701,217 96.18% 100,626 3,801,843 99%
2010 3,417,270 3,244,660 94.95% 53,324 3,297,984 97%
2009 4,120,587 3,903,224 94.72% 64,899 3,968,123 96%
$5,000 Property Tax Levies
$4,500
$4,000
$3,500
$3,000
Q 1
o $2,500
x
~ $2,000
$1,500
$1,000
i
$500
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
Source: Brevard County Property Appraiser and Tax Collector
(Includes delinquent taxes,penalties and tax certificates.)
-95-
City of Cape Canaveral,Florida Table 10
Ratios of Outstanding Debt by Type-Unaudited
Last Ten Fiscal Years
Business-
Type
Governmental Activities Activities
Revenue Note State Percentage Per
Payable Capital Revolving Total Personal of Personal Capita Fiscal Year Leases Loans Total Income(a) Income (b)
2018 $ 9,063,000 $ - $ 6,621,615 $ 15,684,615 434,402,052 3.61% 1,534
2017 10,159,000 - 4,992,984 15,151,984 445,002,064 3.40% 1,483
2016 4,480,000 - 4,107,608 8,587,608 399,564,620 2.15% 832
2015 4,991,000 - 22,457,860 7,096,069 340,791,737 2.08% 706
2014 5,500,000 - 1,423,228 6,302,051 346,961,640 1.82% 629
2013 - - 1,417,551 1,417,551 351,582,346 0.40% 142
2012 - - 1,684,340 1,684,340 350,070,168 0.48% 170
2011 - - 2,268,987 2,268,987 319,379,658 0.71% 218
2010 - 0 2,836,184 2,836,184 313,890,720 0 270
2009 - - 3,386,452 3,386,452 260,994,641 1.30% 323
Source:(1)Economic Development Commission of Florida's Space Coast.
(2)Univeristy of Florida,Bureau of Economic&Business Research
Note: Details regarding the City's outstanding debt are located in the Notes to Financial Statements.
-96-
City of Cape Canaveral,Florida Table 11
Ratio of Net General Obligation Bonded Debt to Assessed Value and
Net Bonded Debt Per Capita-Unaudited
Last Ten Fiscal Years
Ratio of Net Net Bonded
Net Bonded Bonded Debt to Debt Per
Fiscal Year Population(a) Assessed Value (b) Debt Assessed Value Capita
2018 10,227 1,138,556,594 - 0.00% 0.00
2017 10,218 1,039,685,602 - 0.00% 0.00
2016 10,322 976,221,712 - 0.00% 0.00
2015 10,049 911,269,988 - 0.00% 0.00
2014 10,022 854,722,277 - 0.00% 0.00
2013 9,987 819,560,573 - 0.00% 0.00
2012 9,926 822,683,104 - 0.00% 0.00
2011 10,426 944,852,429 - 0.00% 0.00
2010 10,491 1,114,169,772 - 0.00% 0.00
2009 10,499 1,342,062,936 - 0.00% 0.00
Source: (1)University of Florida,Bureau of Economic&Business Research
(2)Brevard County Property Appraiser(DR-420)
- 97 -
City of Cape Canaveral,Florida Table 12
Direct and Overlapping Governmental Activities Debt
September 30,2018
City's Estimated Share
Debt Applicable Percentage of Direct and
Governmental Unit Outstanding(1) (2) Overlapping Debt
Brevard County $ 68,705,826 1.74% $ 1,192,634
City of Cape Canaveral Direct Debt(Governmental Activities)
Revenue Note 9,063,000
Total Direct and Overlapping Debt $ 10,255,634
Source:
(1) Brevard County Comprehensive Annual Financial Report. Table 12
(2)University of Florida,Bureau of Economic&Business Research
(3)https://www.census.gov/quickfacts/capecanaveralcityflorida
(4)http://worldpopulationreview.com/us-counties/fl/brevard-county-population/
-98-
City of Cape Canaveral,Florida Table 13
Pledged Revenue Coverage -Wastewater System - Unaudited
Last Ten Fiscal Years
Direct Operating
Expenses
Debt Coverage Debt Service Debt Service (Excluding Operating
Fiscal Revenues Requirements Coverage Depreciation) Coverage
Year (a) (b) (c) (d) (e)
2018 $ 4,014,216 $ 251,981 15.93 $ 2,246,030 7.02
2017 3,964,016 - n/a 2,031,279 n/a
2016 4,099,508 144,927 28.29 1,903,323 15.15
2015 3,732,961 649,383 5.75 1,952,830 2.74
2014 3,569,928 649,383 5.50 1,946,033 2.50
2013 3,363,595 649,383 5.18 2,040,297 2.04
2012 3,602,765 649,383 5.55 2,101,172 2.31
2011 3,376,100 641,383 5.26 2,022,564 2.11
2010 3,191,341 644,579 4.95 2,240,191 1.48
2009 2,988,288 644,727 4.63 2,322,703 1.03
Coverage Ratio
20.00
15.00
10.00
5.00
•
0.00 ! i
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
Notes: (1)Total debt coverage revenues and connection fees
(2)Total operating expenses net of depreciation
(3)Debt Service Coverage based on Operating Revenues
(4)Required coverage is 1.25 for Bonds (1.15 and 1.20 for state loans)
- 99 -
City of Cape Canaveral,Florida Table 14
Demographic Statistics-Unaudited
Last Ten Fiscal Years
Unemployment Per Capita Personal Median Household School
Fiscal Population Median Age Rate Income Income Enrollment
Year (a) (a) (a) (a) (a) (b)
2018 10,227 54.3 3.0% $ 42,476 $ 47,610 394
2017 10,218 54.1 4.8% 43,112 50,032 385
2016 10,322 53.7 5.5% 38,710 44,768 427
2015 10,019 53.6 6.0% 33,913 41,222 369
2014 10,022 52.5 6.4% 34,620 45,577 369
2013 9,987 48.3 7.9% 35,204 43,881 368
2012 9,926 48.3 9.9% 35,268 46,060 375
2011 10,426 50.0 11.1% 30,633 40,468 362
2010 10,491 49.2 11.4% 29,920 40,009 367
2009 10,499 48.4 10.0% 24,859 46,279 365
Population Per Capita Income
10,600
10,500
48,000
10,400 44,000
10,300 40,000
10,200
10,100
36,000
10,000 32,000
9,900 28,000
9,800
24,000
9,700
9,600 20,000
N>
Source:
Source: (1)Economic Development Comission of Florida's Space Coast
(2)Cape View Elementary
- 100-
City of Cape Canaveral,Florida Table 15
Principal Employers -Unaudited
Current Year and Ten Years Ago
2018 2009
Percentage of Percentage of
Number of Total County Number of Total County
Employer Employees Rank Employment Employees Rank Employment
School Board of Brevard County 9,470 1 3.61% 8,535 1 3.41%
Health First Medical Group LLC 8,785 2 3.35% 6,000 4 2.40%
Harris Corporation 6,889 3 2.63% 6,391 2 2.55%
Northrop Grumman Corporation 2,950 4 1.13% 2,000 9 0.80%
Brevard County 2,849 5 1.09% 2,500 7 1.31%
Department of Defense 2,765 6 1.05% 4,174 5 1.67%
NASA 1,982 7 0.76%
New Rockwell Collins Inc. 1,978 8 0.75%
Steward Medical Group 1,935 9 0.74% 2,400 8 0.96%
Eastern Florida State College 1,850 10 0.71%
The Boeing Company 1,962 10 0.78%
Space Gateway Support 3,000 6 2.68%
United Space Alliance 6,300 3 2.52%
Total 41,453 15.82% 43,262 19.08%
Source: Economic Development Commission of Florida's Space Coast.
Note: Figures are for Brevard County. No City figures are available.
- 101 -
City of Cape Canaveral,Florida Table 16
Full-Time Equivalent City Government Employees by Function/Program-Unaudited
Last Ten Fiscal Years
2018 2017 2016 2015 2014 2013 2012 2011 2010 2009
Function/program
General Government:
Executive/Administration 5.00 5.00 5.00 5.00 5.00 5.00 4.00 4.00 4.00 4.00
Finance 5.00 5.00 4.00 4.00 4.00 3.50 3.00 3.00 3.00 3.00
Building Department 5.80 5.80 5.50 6.00 6.00 5.00 5.00 5.50 4.50 5.50
Recreation 7.06 7.06 6.40 7.00 8.00 7.00 7.00 5.50 5.50 6.00
Infrastructure Maintenance Dept. 7.00 7.00 7.00 7.00 7.00 6.00 6.00 7.00 8.00 8.00
Economic Development 1.00 1.00 1.00 - - - - - - -
Community Engagement 1.00 1.00 - - - - - - - -
Public Safety:
Crossing Guards 1.00 1.00 1.00 1.50 1.50 1.50 1.50 1.50 1.50 1.50
Code Enforcement 2.00 2.00 2.00 2.00 2.00 2.00 1.00 1.50 1.50 1.50
Public Works:
Waste Water Treatment Plant 13.19 12.19 17.00 15.00 17.00 18.00 18.00 19.50 19.50 19.50
Stormwater 1.00 1.00 1.00 1.00 2.00 1.00 1.00 1.00 1.00 1.00
Totals 49.05 48.05 49.90 48.50 52.50 49.00 46.50 48.50 48.50 50.00
Source: City of Cape Canaveral,Florida's Budget
Method: 1.0 for full-time employees and 0.50 for part-time employees
Note: Police&Fire Departments are contracted out and Personnel not included in City totals
- 102-
City of Cape Canaveral,Florida Table 17
Operating Indicators by Function-Unaudited
Last Ten Fiscal Years
2018 2017 2016 2015 2014 2013 2012 2011 2010 2009
Function
General government
Building permits issued 2,008 1,422 1,184 1,177 935 1,080 836 749 796 736
Building inspections conducted 3,918 2,609 1,848 1,995 1,773 1,773 1,342 1,218 1,444 1,663
Police
Physical arrests 1,109 1,167 996 943 625 511 832 1,003 990 1,054
Parking violations(includes warnings) 304 108 102 189 317 142 287 357 623 860
Traffic violations(includes warnings) 3,682 1,271 2,558 561 798 852 864 1,706 2,995 1,748
Fire
Emergency responses 2,825 1,966 2,730 1,845 1,581 1,676 1,567 1,549 1,349 1,253
Fires extinguished 60 23 47 31 61 25 70 79 75 78
Inspections 2,128 1,887 1,613 1,436 1,543 1,658 1,505 1,448 830 630
Public works
Streets resurfacing(feet) - - - - - - - 3,925 - -
Potholes repaired 20 28 14 12 12 30 12 24 10 8
Water/Sewer
Accounts 2,898 2,893 2,752 2,837 2,723 2,718 2,705 8,491 8,452 8,481
Water main breaks 2 2 2 6 6 - - 1 2 6
Averagemonthlyuseage 31,496 35,997 11,487 11,632 10,899 10,993 27,395 32,120 29,286 29,333
Wastewater
Average daily wastewater treatment 1,300,000 1,300,000 1,300,000 1,100,000 1,096,000 1,096,000 1,096,000 1,070,700 1,200,000 1,200,000
Source: City of Cape Canaveral and City of Cocoa,Florida
Note: In accordance with Inter-Municipal Agreement,billing for Water&Other Services provided to City of Cape
Canaveral by City of Cocoa Water Department. Wastewater is City of Cape Canaveral's revenue;Water is City of
Cocoa's revenue.
-103-
City of Cape Canaveral,Florida Table 18
Capital Asset Statistics by Function-Unaudited
Last Ten Fiscal Years
2018 2017 2016 2015 2014 2013 2012 2011 2010 2009
Function
Police
Stations 1 1 1 1 1 1 1 1 1 1
Substations - - - - - - - - - -
Patrol units(sworn) 24.5 23.5 23 23.5 22 28 28 28 29 31
Fire
Stations 1 1 1 1 1 1 1 1 1 1
Public works
Streets(lane miles) 21.8 21.8 21.8 22 16 16 16 16 16 16
Streetlights 679 677 645 645 645 645 622 622 556 556
Recreation and Culture
Parks 8 8 8 8 8 8 8 8 8 8
Parks-acres 26.99 26.99 26.99 26.99 26.99 26.99 26.99 26.99 26.99 26.99
Playgrounds 4 4 4 4 4 4 4 4 4 4
Tennis courts 5 5 5 5 5 5 5 5 5 5
Baseball/softball diamonds 2 2 2 2 2 2 2 2 2 2
Soccer/football fields 1 1 1 1 1 1 1 1 1 1
City centers 1 1 1 1 1 1 1 1 1 1
Racquetball courts 4 4 4 4 4 4 4 4 4 4
Water
Water mains(miles) 48.2 48.2 48.2 48 48 48 48 48 48 48
Fire hydrants 254 254 254 214 214 214 214 214 214 214
Storage capacity(thousands of gallons) None None None None None None None None None None
Wastewater
Sanitary sewers(miles) 16.8 16.8 16.8 16.8 16.6 16.6 16.6 16.6 16.6 16.6
Treatment capacity(thousands of gallons) 1,800,000 1,800,000 1,800,000 1,800,000 1,800,000 1,800,000 1,800,000 1,800,000 1,800,000 1,800,000
Source: City of Cape Canaveral and City of Cocoa,Florida
Note: In accordance with Inter-Municipal Agreement,Water&Other Services to the City of Cape Canaveral are billed by the
City of Cocoa's Water Department. Water Storage Tanks are not located in City of Cape Canaveral.
-104-
City of Cape Canaveral,Florida Table 19
Water/Wastewater Distribution and Consumption -Unaudited
Fiscal Year 2018
Water&Wastewater Distribution & Consumption
Number of Accounts 2,898
Total Meters Billed 2,898
Residential Meters (3/4") 2,191
Non-residential Meters 700
Average Monthly Useage (thousands of gallons) 31,496
Average Consumption per meter(thousands of gallons) 10.87
Average Monthly Wastewater Collection(thousands of dollars) $216,956
Source: (a)City of Cocoa Wastewater Consumption Analysis for FY17/18
(b) City of Cape Canaveral Sewer Rates for FY17/18
Note: In accordance with Inter-Municipality Agreement, Water& Other Services provided to City of Cape Canaveral
billed by City of Cocoa Water Department. Wastewater is City of Cape Canaveral's revenue; Water is City of Cocoa's
revenue.
- 105 -
City of Cape Canaveral,Florida Table 20
Water and Wastewater Rates - Unaudited
Last Ten Fiscal Years
Water Wastewater
Monthly Base Rate per 1,000 Monthly Base Rate per 1,000
Fiscal Year Rate Gallons Rate Gallons
2018 $ 16.40 $ 3.41 $ 19.86 $ 5.79
2017 15.77 3.28 19.35 5.64
2016 15.32 3.28 19.35 5.64
2015 14.59 3.04 18.43 5.37
2014 14.59 3.04 17.54 5.11
2013 13.89 3.01 16.70 4.86
2012 13.23 2.89 15.82 4.60
2011 12.54 2.61 14.93 4.34
2010 11.62 2.41 14.08 4.09
2009 11.52 2.31 13.27 3.85
Note: Rates are based on 3/4" meter, the standard household meter size.
Source: City of Cocoa
Note: In accordance with Inter-Municipality Agreement,Water&Other Services provided to
City of Cape Canaveral billed by City of Cocoa Water Department. Wastewater is City of Cape
Canaveral's revenue;Water is City of Cocoa's Revenue.
- 106-
City of Cape Canaveral,Florida Table 21
Construction,Property Value and Bank Deposits-Unaudited
Last Ten Fiscal Years
Commercial Residential (b) (c)
Construction(a) Construction(a) Brevard County Real and Bank
Fiscal #of #of Personal Property Taxable Deposits
Year Units Value Units Value Value (in thousands)
2018 5 $ 46,771,274 3 $ 755,368 $ 34,564,221,486 n/a
2017 6 10,543,928 8 2,678,393 31,906,507,569 n/a
2016 2 280,025 5 1,594,464 29,684,313,125 n/a
2015 1 1,299,738 31 466,392 27,990,267,285 n/a
2014 1 557,455 - - 25,745,155,761 n/a
2013 0 - 4 877,749 24,626,876,502 n/a
2012 0 - 2 401,774 24,922,195,924 n/a
2011 0 - 2 436,946 29,089,009,692 n/a
2010 0 - 1 253,243 33,330,608,859 9,293,940
2009 0 - 7 1,594,097 38,013,415,731 9,112,122
Commercial and Residential Building Permits [bar graph]
■Commercial ■Residential
50
permit 40
value 30
(in millions) 20
10
0
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
Data source:
(a) City of Cape Canaveral Building Department
(b)Brevard County Property Appraiser-Form 403V
(c)Florida Bankers Association(figures are for Brevard County)
- 107-
City of Cape Canaveral,Florida Table 22
Miscellaneous Statistics-Unaudited
September 30,2016
Date of Incorporation May 16, 1963
Form of Government Council-Manager
Area/Square Miles 1.9 sq.miles
Miles of Streets:
Paved 21.8 miles
Unpaved .2 miles
Street Lights 679
Fire Protection:
Number of Stations I
Number of Firefighters(volunteer) 7
Number of Firefighters(paid) 35
Police Protection:
Number of Stations 1
Number of Personnel 33
Number of Patrol Units (sworn) 24.5
Recreation:
Parks - acres 26.99
Number of special use facilities 2
Number of neighborhood parks 8
Undeveloped land,dedicated for recreation use (acres) 7.88
Wastewater
Gravity Sewer mains 16.8 miles
Force mains 2.8 miles
Storm sewers 9.5 miles
Reclaim lines 14 miles
Number of reuse accounts 690
Number of accounts(wastewater) 2898
Schools:
Elementary 1
Building Permits Issued 2008
Number of City Employees(excluding police officers and firefighters) 49
- 108 -
THIS PAGE INTENTIONALLY LEFT BLANK.
- 109 -
Single Audit and Other Reports
- llo -
THIS PAGE INTENTIONALLY LEFT BLANK.
- III -
CITY OF CAPE CANAVERAL,FLORIDA
SCHEDULE OF EXPENDITURES OF STATE FINANCIAL ASSISTANCE
FOR THE YEAR ENDED SEPTEMBER 30,2018
State Grantor/Pass- CSFA Contract/
Through Grantor/Program Title Number Grant Number Expenditures
STATE FINANCIAL ASSISTANCE
State of Florida Department of Environmental Protection
Direct Programs:
Wastewater Treatment Facility Construction 37.077 WW050510 $ 1,694,411
Wastewater Treatment Facility Construction 37.077 WW050500 242,334
Florida Recreation Development Assistance Program 37.017 A6088 50,000
Total State Financial Assistance $ 1,986,745
The accompanying notes to the schedule of expenditures of
state financial assistance are an integral part of this schedule.
- 112-
CITY OF CAPE CANAVERAL,FLORIDA
NOTES TO SCHEDULE OF EXPENDITURES OF
STATE FINANCIAL ASSISTANCE
FOR THE YEAR ENDED SEPTEMBER 30,2018
(1) Basis of Presentation:
The accompanying Schedule of Expenditures of State Financial Assistance includes the state financial
assistance activity of City of Cape Canaveral, Florida. The information in this schedule is presented in
accordance with the requirements of Section 215.97,Florida Statutes.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 net position,or cash flows of the City.
(2) Summary of Significant Accounting Policies:
Expenditures reported on the schedule are reported on the accrual basis of accounting. Such expenditures
are recognized following, as applicable, either the cost principles contained in Title 2 U.S. Code of
Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit
Requirements for Federal Awards (Uniform Guidance) or the cost principles contained in Section 215,
Florida Statutes wherein certain types of expenditures are not allowable or are limited as to
reimbursement.
(3) De Minimis Indirect Cost Rate Election:
The City did not elect to use the 10% de nummis indirect cost rate as covered in §200.414, Indirect
(F&A) costs,of the Uniform Guidance.
(4) Deferred FEMA Expenditures:
During the fiscal year ended September 30, 2018,the City incurred substantial costs related to Hurricane
Irma. Per the OMB Compliance Supplement, any reimbursements from the Federal Emergency
Management Agency (FEMA)under CFDA 97.036 are not to be recognized as expenditures for purposes
of the Schedule of Expenditures of Federal Awards until the respective Project Worksheets (PW) have
been approved. At September 30, 2018, some of the City's PWs from these storms had been approved by
FEMA. $77,809 of expenditures and the related revenues have been recorded for financial statement
purposes but have not been recognized for purposes of the Schedule of Expenditures of Federal Awards
(SEFA), under which the City did not meet the Federal Single Audit threshold under the Uniform
Guidance.
(5) Contingency:
Project expenditures are subject to audit and adjustment. If any expenditures were to be disallowed by the
grantor agency as a result of such an audit, any claim for reimbursement to the grantor agency would
become a liability of the City. In the opinion of management, all project expenditures included on the
accompanying schedule are in compliance with the terms of the project agreements and applicable federal
and state laws and regulations.
- 113 -
CITY OF CAPE CANAVERAL,FLORIDA
SCHEDULE OF FINDINGS AND QUESTIONED COSTS
FOR THE YEAR ENDED SEPTEMBER 30,2018
A. Summary of Auditors' Results:
Financial Statements:
Type of audit report issued on the financial statements: Unmodified
Internal control over financial reporting:
Material weakness(es)identified? yes X no
Significant deficiency(les)identified? X yes none reported
Noncompliance material to financial statements noted? yes X no
State Financial Assistance:
Internal control over major State projects:
Material weakness(es)identified? yes X no
Significant deficiency(les)identified? yes X none reported
Type of auditor's report issued on compliance for major
State projects: Unmodified
Any audit findings disclosed that are required to be
reported for state financial assistance projects in
accordance with Chapter 10.550? yes X none reported
Dollar threshold used to distinguish between type A and
type B programs: $300.000
Identification of major State projects:
CSFA Number Project Name
37.077 Water Treatment Facility Construction
- 114-
CITY OF CAPE CANAVERAL,FLORIDA
SCHEDULE OF FINDINGS AND QUESTIONED COSTS
FOR THE YEAR ENDED SEPTEMBER 30,2018
B. Financial Statement Findings:
2018-001 Capital Asset Reconciliations
Criteria: Generally accepted accounting principles require the City to track and report its capital
assets in the financial statements,as well as related transactional activity during the year in the form
of capital outlay expenditures,depreciation expenses, and disposals of capital assets.
Condition: While improvements were made related to the City's capital asset process and controls
during the year, various audit adjustments were required to adjust the City's capital asset balances
per the general ledger to reflect the City's capital asset activity during the year.
Cause: Various issues with the City's accounting system's capital asset module resulted in
discrepancies between the capital asset module and the general ledger.
Effect: Had the audit adjustments not been recorded, capital asset balances and the related
depreciation expense amounts would have been misstated.
Recommendation: We recommend the City take additional steps to continue improving the
efficiency and effectiveness of its capital asset accounting. In addition to the improvements the City
is expecting to realize following the implementation of a new accounting system in the upcoming
year, we recommend any applicable updates and adjustments to the year-end closing process be
timely identified and designed as part of the transition to the new accounting system.
C. State Financial Assistance Projects Findings and Questioned Costs:None
D. Prior Audit Findings: See Summary Schedule of Prior Year Audit Findings / Management's
Response to Current Year Findings as listed in the table of contents.
E. Corrective Action Plan: See Summary Schedule of Prior Year Audit Findings / Management's
Response to Current Year Findings as listed in the table of contents.
- 115 -
James Moore
Certified Public Accountants and Consultants
INDEPENDENT AUDITORS' REPORT ON COMPLIANCE FOR EACH STATE PROJECT
AND REPORT ON INTERNAL CONTROL OVER COMPLIANCE IN ACCORDANCE WITH
CHAPTER 10.550,RULES OF THE AUDITOR GENERAL
To the Honorable Mayor,City Council, and City Manager,
City of Cape Canaveral,Florida:
Report on Compliance for Each Major State Project
We have audited City of Cape Canaveral, Florida's (the City) compliance with the types of compliance
requirements described in the Florida Department of Financial Services State Project Compliance
Supplement that could have a direct and material effect on each of the City's major state projects for the
year ended September 30,2018. The City's major state projects are identified in the summary of auditors'
results section of the accompanying schedule of findings and questioned costs.
Management's Responsibility
Management is responsible for compliance with the requirements of laws, regulations, contracts, and
grants applicable to its state projects.
Auditors'Responsibility
Our responsibility is to express an opinion on compliance for each of the City's major state projects based
on our audit of the types of compliance requirements referred to above. 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 Chapter 10.550, Rules of the Florida Auditor General.
Those standards require that we plan and perform the audit to obtain reasonable assurance about whether
noncompliance with the types of compliance requirements referred to above that could have a direct and
material effect on a major state project occurred. An audit includes examining, on a test basis, evidence
about the City's compliance with those requirements and performing such other procedures as we
considered necessary in the circumstances.
We believe that our audit provides a reasonable basis for our opinion on compliance for each major state
project.However,our audit does not provide a legal determination of the City's compliance.
Opinion on Each Major State Project
In our opinion, the City 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 state projects for the
year ended September 30,2018.
- 116 -
121 Executive Circle 133 East Indiana Avenue 5931 NW 1st Place 2477 Tim Gamble Place,Suite 200
Daytona Beach,FL 32I14-1180 DeLand,FL 32724-4329 Gainesville,FL 32607-2063 Tallahassee,FL 32398-4386
Telephone:386-257-4100 Telephone:386-738-3300 Telephone:352-378-1331 Telephone:850-386-6184
Website:www.jmco.com 1 Email:info@jmco.com Member of AGN International with offices in principal cities worldwide
Report on Internal Control over Compliance
Management of the City is responsible for establishing and maintaining effective internal control over
compliance with the requirements of laws, regulations, contracts, and grants applicable to state projects.
In planning and performing our audit, we considered the City’s internal control over compliance with the
requirements that could have a direct and material effect on a major state project to determine the auditing
procedures for the purpose of expressing our opinion on compliance and to test and report on internal
control over compliance in accordance with Chapter 10.550, Rules of the Auditor General, but not for the
purpose of expressing an opinion on the effectiveness of internal control over compliance. Accordingly,
we do not express an opinion on the effectiveness of 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
State project on a timely basis. A material weakness in internal control over compliance is a deficiency,
or combination of deficiencies, in internal contro l over compliance, such that there is a reasonable
possibility that material noncompliance with a type of compliance requirement of a state project 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 c ontrol over compliance
with a type of compliance requirement of a state project 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 first
paragraph of this section and was not designed to id entify all deficiencies in internal control over
compliance that might be material weaknesses or significant deficiencies. We did not identify any
deficiencies in internal control over compliance that we consider to be material weaknesses. However,
material weaknesses may exist that have not been identified.
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
Chapter 10.550, Rules of the Florida Auditor General. Accordingly, this report is not suitable for any
other purpose
[James Moore & G. P.L. signatures]
Daytona Beach, Florida
February 12, 2019
- 117 -
James Moore
Certified Public Accountants and Consultants
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
To the Honorable Mayor, City Council,and City Manager,
City of Cape Canaveral,Florida:
We have audited, 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, the financial statements of the governmental
activities, the business-type activities, each major fund, and the aggregate remaining fund information of
City of Cape Canaveral, Florida, (the City) as of and for the year ended September 30, 2018, and the
related notes to the financial statements,which collectively comprise the City's basic financial statements,
and have issued our report thereon dated February 12,2019.
Internal Control over Financial Reporting
In planning and performing our audit of the financial statements,we considered the City's internal control
over financial reporting (internal control) to determine the audit procedures that are appropriate in the
circumstances for the purpose of expressing our opinions on the financial statements, but not for the
purpose of expressing an opinion on the effectiveness of the City's internal control. Accordingly, we do
not express an opinion on the effectiveness of the City's internal control.
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 over financial reporting was for the limited purpose described in the
first paragraph of this section and was not designed to identify all deficiencies in internal control over
financial reporting that might be material weaknesses or significant deficiencies, and therefore, material
weaknesses or significant deficiencies may exist that are not identified. Given these limitations, during
our audit we did not identify any deficiencies in internal control over financial reporting that we consider
to be material weaknesses. However,material weaknesses may exist that have not been identified. We did
identify a certain deficiency in internal control, described in the accompanying schedule of findings and
questioned costs as item 2018-001 that we consider to be a significant deficiency.
- 118-
121 Executive Circle 133 East Indiana Avenue 5931 NW 1st Place 2477 Tim Gamble Place,Suite 200
Daytona Beach,FL 32114-1180 DeLand,FL 32724-4329 Gainesville,FL 32607-2063 Tallahassee,FL 32308-4386
Telephone:386-257-4100 Telephone:386-738-3300 Telephone:352-378-1331 Telephone:850-386-6184
Website:www.jmco.com 1 Email:info@jmco.com Member of AGN International with offices in principal cities worldwide
Compliance and Other Matters
As part of obtaining reasonable assurance about whether the City’s financial statements are free from
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.
We noted certain matters that we reported to the City Council and management of the City in a separate
letter dated February 12, 2019.
City of Cape Canaveral, Florida’s Response to Findings
The City’s response to the findings identified in our audit is described in the accompanying
management’s response as listed in the table of contents. The City’s response was not subjected to the
auditing procedures applied in the audit of the financial statements and, accordingly, we express no
opinion on it.
Purpose of this Report
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.
Daytona Beach, Florida
February 12, 2019
- 119 -
James Moore
Certified Public Accountants and Consultants
INDEPENDENT AUDITORS' MANAGEMENT LETTER REQUIRED
BY CHAPTER 10.550,RULES OF THE STATE OF FLORIDA
OFFICE OF THE AUDITOR GENERAL
To the Honorable Mayor, City Council, and City Manager,
City of Cape Canaveral,Florida
Report on the Financial Statements
We have audited the financial statements of the City of Cape Canaveral, Florida(the City), as of and for
the fiscal year ended September 30,2018, and have issued our report thereon dated February 12,2019.
Auditors' Responsibility
We conducted our audit 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; the audit requirements of Title 2 U.S. Code of Federal
Regulations Part 200, Uniform Administrative Requirements, Cost Principles and Audit Requirements of
Federal Awards(Uniform Guidance); and Chapter 10.550,Rules of the Florida Auditor General.
Other Reports and Schedule
We have issued our Independent Auditors' Report on Internal Control over Financial Reporting and
Compliance and Other Matters Based on an Audit of the Financial Statements Performed in Accordance
with Government Auditing Standards; Independent Auditors' Report on Compliance for Each Major State
Project and Report on Internal Control over Compliance in accordance with Chapter 10.550, Rules of the
Florida Auditor General; Schedule of Finding and Questioned Costs; and Independent Accountants'
Examination Report on an examination conducted in accordance with AICPA Professional Standards,
AT-C Section 315, regarding compliance requirements in accordance with Chapter 10.550, Rules of the
Florida Auditor General. Disclosures in those reports and schedule, which are dated February 12, 2019,
should be considered in conjunction with this management letter.
Prior Audit Findings
Section 10.554(1)(i)1., Rules of the Auditor General,requires that we determine whether or not corrective
actions have been taken to address findings and recommendations made in the preceding annual financial
audit report.No comments remain uncorrected from the second preceding year. Comment 2017-001 from
the prior year was partially corrected and has been repeated as current year Comment 2018-001.
Official Title and Legal Authority
Section 10.554 (1)(i)4., Rules of the Auditor General, requires that the name or official title and legal
authority for the primary government and each component unit of the reporting entity be disclosed in this
management letter, unless disclosed in the notes to the financial statements. The legal authority for the
primary government of the reporting entity is disclosed in Note 1 of the basic financial statements.
- 120-
121 Executive Circle 133 East Indiana Avenue 5931 NW 1st Place 2477 Tim Gamble Place,Suite 200
Daytona Beach,FL 32114-1180 DeLand,FL 32724-4329 Gainesville,FL 32607-2063 Tallahassee,FL 32308-4386
Telephone:386-257-4100 Telephone:386-738-3300 Telephone:352-378-1331 Telephone:850-386-6184
Website:www.jmco.com 1 Email:info@jmco.com Member of AGN International with offices in principal cities worldwide
Financial Condition
Section 10.554 (1)(i)5.a. and 10.556(7), Rules of the Auditor General, require that we apply appropriate
procedures and report the results of our determination as to whether or not the City has met one or more
of the conditions described in Section 218.503(1), Florida Statutes, and identification of the specific
conditions met. In connection with our audit, we determined that the City did not meet any of the
conditions described in Section 218.503(1), Florida Statutes.
Pursuant to Sections 10.554(1)(i)5.c. and 10.556(8), Rules of the Auditor General, we applied financial
condition assessment procedures. It is management’s responsibility to monitor the City’s financial
condition, and our financial cond ition assessment was based in part on representations made by
management and the review of financial information provided by same.
Other Matters
Section 10.554(1)(i)2., Rules of the Auditor General, requires that we address in the management letter
any recommendations to improve financial management. In connection with our audit, we had one related
finding:
2018-002 Budgetary Compliance: During our testing of budget versus actual expenditures, we
noted the City was out of budgetary compliance in the School Crossing Guard and Special Law
Enforcement funds as actual expenditures exceeded the funds’ budgets by approximately $600
and $1,100. This occurred primarily as a re sult of corresponding adjustments to decreased
revenues in their respective funds. To ensure budgetary compliance, we recommend the City
review the budget versus actual amounts for all funds on an ongoing basis and amend the budget
for all impacted funds as part of significant transactions subsequent to the adoption of the initial
budget.
Section 10.554(1)(i)3., Rules of the Auditor General, requires that we address noncompliance with
provisions of contracts or grant agreements, or abuse, that have occurre d, or are likely to have occurred,
that have an effect on the financial statements that is less than material but which warrants the attention of
those charged with governance. In connection with our audit, we did not have any such findings.
City of Cape Canaveral, Florida’s Response to Findings
The City’s response to the findings identified in our audit is described in the accompanying
management’s response as listed in the table of contents. The City’s response was not subjected to the
auditing procedures applied in the audit of the financial statements and, accordingly, we express no
opinion on it.
Purpose of this Letter
Our management letter is intended solely for the information and use of the Legislative Auditing
Committee, members of the Florida Senate and the Florida House of Representatives, the Florida Auditor
General, Federal and other granting agencies, and applicable management and the City Council, and is not
intended to be and should not be used by anyone other than these specified parties.
Daytona Beach, Florida
February 12, 2019
- 121 -
James Moore
Certified Public Accountants and Consultants
INDEPENDENT ACCOUNTANTS' EXAMINATION REPORT
To the Honorable Mayor, City Council, and City Manager,
City of Cape Canaveral,Florida
We have examined the City of Cape Canaveral, Florida's (the City) compliance with Section 218.415,
Florida Statutes, Local Government Investment Policies, for the year ended September 30, 2018.
Management is responsible for the City's compliance with those requirements. Our responsibility is to
express an opinion on the City's compliance based on our examination.
Our examination was conducted in accordance with attestation standards established by the American
Institute of Certified Public Accountants. Those standards require that we plan and perform the
examination to obtain reasonable assurance about whether the Authority complied with Section 218.415,
Florida Statutes, Local Government Investment Policies, for the year ended September 30, 2018, in all
material respects. An examination involves performing procedures to obtain evidence about the
Authority's compliance with those requirements.The nature,timing,and extent of the procedures selected
depend on our judgment, including an assessment of risks of material noncompliance with those
requirements, whether due to fraud or error. We believe that the evidence we obtained is sufficient and
appropriate to provide a reasonable basis for our opinion.
In our opinion, the City of Cape Canaveral, Florida complied, in all material respects, with the
aforementioned requirements for the year ended September 30,2018.
Mote 41 .
gir
Daytona Beach,Florida
February 12,2019
- 122-
121 Executive Circle 133 East Indiana Avenue 5931 NW 1st Place 2477 Tim Gamble Place,Suite 200
Daytona Beach,FL 32114-1180 DeLand,FL 32724-4329 Gainesville,FL 32607-2063 Tallahassee,FL 32308-4386
Telephone:386-257-4100 Telephone:386-738-3300 Telephone:352-378-1331 Telephone:850-386-6184
Website:www.jmco.com 1 Email:info@jmco.com Member of AGN International with offices in principal cities worldwide
THIS PAGE INTENTIONALLY LEFT BLANK.
- 123 -
(City Seal) City of Cape Canaveral
SUMMARY SCHEDULE OF PRIOR AUDIT FINDINGS
2017-001 Capital Asset Reconciliations — Partial corrective action taken. See response to outstanding
recommendation below.
MANAGEMENT'S RESPONSE TO CURRENT YEAR FINDINGS
2018-001 Capital Asset Reconciliations—The Financial Services Department concurs with the finding.
The Financial Services Depaitnient is preparing to transition to a new accounting system with an
improved capital asset module that is expected to alleviate many of the challenges that have been faced in
recent years. The anticipated completion date for this implementation is expected to begin in October
2019. The Administrative/Financial Services Director,John DeLeo,will ensure this action is taken.
2018-002 Budgetary Compliance — The Financial Services Department concurs with the finding and
will ensure as part of the City's year-end budget review the revenue and expenditure accounts will
independently be assessed and adjusted to ensure budgetary compliance. The Administrative/Financial
Services Director,John DeLeo,will ensure this action is taken.
- 124-
105 Polk Avenue * Posr Of icc Box 326 * Cape Canaveral, FL 329201-0326
Telephone: (321) 868-1220 • FAX: (321) 868-1248
www.cityofcapecanaveral.org • email: info@cityofcapecanaveral.org
THIS PAGE INTENTIONALLY LEFT BLANK.
- 125 -
[City Seal]
City of Cape Canaveral
City Council Agenda Form
City Council Meeting Date: 02/19/2019
PRESENTATIONS/INTERVIEWS
Subject: Interview Applicants for appointment to the Library Board. (Anthony Divito and
Garnett Lane)
Department: Culture and Leisure Services
Summary: On November 8, 2018, the Library Board interviewed/recommended Anthony
Divito and Garrett Lane to fill two vacancies on the Board.
Mr. Divito and Mr. Lane are residents of Cape Canaveral and meet all of the eligibility criteria
established in City Code. Their professional background/experience is relevant to Library Board
duties and based on their interviews/interest in the City of Cape Canaveral Library Board, the
Board recommends they be appointed by the City Council (Attachment 2).
Submitting Department Director: Gustavo Vergara Date: 2/8/19
Attachments:
1 —Board Applications
2—Library Board Recommendation Memo
Financial Impact: Staff time and effort to prepare Agenda Item.
Reviewed by Administrative/Financial
Services Director: John DeLeo Date: 2/8/19
The City Manager recommends that City Council take the following action:
Interview Applicants for appointment to the Library Board. (Anthony Divito and Garnett Lane)
Approved by City Manager: David L. Greene Date: 2/8/19
Attachment 1
CITY OF CAPE CANAVERAL
APPLICATION FOR APPOINTMENT TO CITY ADVISORY BOARD OR COMMITTEE
Pursuant to Section 2-171, Cape Canaveral Code
City‘Code requires prospective and existing board members to fill out an application. City Code also
prohibits a person from serving on a City Board or Committee if that person has been convicted of a
felony, unless their civil rights have been restored.
Please complete the following in the space provided:
A. General
1. Applicant Name: Anthony J. Divito (Tony)
2. Home Address: 8416 Canaveral Blvd Unit C-101 CC 32920
3. Home and Cellular Telephone: 321 355 8446
4. Occupation: Retired
5. Business Telephone: NA
6. Business Address: NA
7. E-Mail: ajdiv001@gmail.com
B. ELIGIBILITY
The information provided in this section is for purposes of determining whether you are eligible to serve
on a City advisory board or committee.
1. Are you duly registered to vote in Brevard County? (Y) N)
2. Have you been a resident of the City of Cape
Canaveral for 12 months or longer? (Y) ✓ (N)
3a. Are you a Business owner: (Y) ✓ (N)
3b. If yes to 3a, please list the name: N/A
4a. Have you ever been convicted or found guilty, regardless
of adjudication, or a felony in any jurisdiction?Any plea
of nolo contendere (no contest) shall be considered a
conviction for purposes of this question. (Y) (N) ✓
4b. If yes to 4a, have your civil rights been restored? (Y) (N)
5a. Do you presently serve on any other City of Cape
Canaveral advisory board or committee? (Y) (N) ✓
5b. If yes to 5a, please list each:
Page 1 of 3
6. City ordinance requires that all persons applying for a
City advisory board or committee must voluntarily consent
to a standard criminal background check before being
appointed to a board or committee. Do you voluntarily initials
consent to having a standard background check
performed on you by the City of Cape Canaveral? (Y) ✓ (N)
7a. Are you related to a City of Cape Canaveral Council
member by blood, adoption, or marriage? (Y) (N) ✓
7b. If yes to 7a, please provide name(s) of person(s) and relationship to you:
C. INTERESTS/EXPERIENCE
1. Briefly state your interest in serving on a City advisory board or committee:
Community involvement as I am retired
2. In numerical sequence (1 = most interested), please rank which advisory board or committee
on which you wish to serve:
a. Board of Adjustment*
b. Business and Economic Development Board
c. Code Enforcement Board*
d. 1 Community Appearance Board
e. Construction Board of Adjustment and Appeals*
f. 3 Culture and Leisure Services Board
g. 2 Library Board
h. Planning and Zoning Board*
i. Other:
*Members of these boards are required to complete and file with the supervisor of Elections a Financial
Disclosure Form upon appointment to said board and prior to July 1 of each year following the initial
appointment while still a member of said board.
3. Briefly state any prior experiences in serving on any governmental board or committee:
N/A
4. Please list any specialized skills and training (e.g., architect, engineer, general contractor, etc.)
that you feel help to qualify you for membership on the desired board or committee.
N/A
D. STATE REPORTING REQUIREMENTS
Section 760.80, Florida Statutes, requires that the City annually submit a report to the Secretary of State
disclosing race, gender, and physical disabilities of board and committee members. Please check the
appropriate boxes:
Page 2 of 3
RACE GENDER
African-American ✓ Male
Asian-American Female
Hispanic-American Not Known
Native-American
✓ Caucasian DISABILITY
Not Known Physically disabled
YOU HEREBY REPRESENT TO THE CITY OF CAPE CANAVERAL, UNDER PENALTY OF
PERJURY, THAT THE INFORMATION PROVIDED HEREIN IS TRUE AND ACCURATE TO THE
BEST OF YOUR KNOWLEDGE,AND THE CITY OF CAPE CANAVERAL HAS THE RIGHT TO RELY
ON THAT INFORMATION.
YOU HEREBY ACKNOWLEDGE THE EXISTENCE OF THE CODE OF ETHICS FOR PUBLIC
OFFICERS [SECTIONS 112.311-326, FLORIDA STATUTES] AND THE FLORIDA "SUNSHINE
LAW" [SECTION 286.011, FLORIDA STATUTES], WHICH MAY PERTAIN TO YOU IF YOU ARE
APPOINTED TO A CITY ADVISORY BOARD OR COMMITTEE, AND IF APPOINTED, IT IS YOUR
SOLE OBLIGATION AND DUTY TO COMPLY WITH SUCH LAWS.
PLEASE NOTE:
• Appointment to any City board is subject to City Council approval following a brief interview
before the City Council at a regularly scheduled meeting.
• Your application will remain effective for one year from date of completion.
• If you should have any questions regarding the completion of this application, please contact
the City Clerk's Office at (321) 868-1220 ext. 221.
Signature:
Date: 8/14/2018
Please return to: City of Cape Canaveral
Office of the City Clerk
105 Polk Avenue
Cape Canaveral Florida 32920
For Office Use Only:
Date application received: 8/14/18
Date Appointed:
Appointed by:
Board Appointed to:
Term Expires:
Page 3 of 3
CITY OF CAPE CANAVERAL
APPLICATION FOR APPOINTMENT TO CITY ADVISORY BOARD OR COMMITTEE
Pursuant to Section 2-171, Cape Canaveral Code
C|b/ Codo.naquinao prospective and existing board members to fihl out an application. City Code also
prohibits a person from serving on a City Board or Committee if that person has been convicted of a
fe|ony, unless their civil rights have been restored.
Flease complete the foliowing in the space provided:
A. GENERAL
1
Applicant Name: Garrett Lane
2.
Home Address: 8934 Puerto Del Rio Dr #401, Cape Canaveral 32920
3. Home and Cellular Telephone: (H) 321 613 2848 (C) 8458216633
4. Occupation: retired from Verizon Corp and Dept of Homeland Security
5. Business Telephone:
6. Business Address:
7. E-Mail: retireelane@hotmail.com
B. ELIGIBILITY
The information provided in this section is for purposes of determining whether you are eligible to serve
on a City advisory board or committee.
1. Are you duly registered to vote in Brevard County? (Y) ✓ (N)
2. Have you been a resident of the City of Cape
Canaveral for 12 months or longer? (Y) ✓ (N)
3a. Are you a Business owner: (Y) (N) ✓
3b. If yes to 3a, please list the name:
4a. Have you ever been convicted or found guilty, regardless
of adjudication, or a felony in any jurisdiction? Any plea
of nolo contendere (no contest) shall be considered a
conviction for purposes of this question. (Y) (N) ✓
4b. lf yes to 4a, have your civil rights been restored? (Y) (N)
5a. Do you presently serve on any other City of Cape
Canaveral advisory board or committee? (Y) (N) ✓
5b. If yes to 5a, please list each:
Page 1 of 3
'
6. City ordinance requires that all persons applying for a
City advisory board or committee must voruntarily consent
to a standard criminal background check before being
appointed to a board or committee. Do you voluntarily initials
consent to having a standard background check
performed on you by the City of Cape Canaveral? (Y) ✓ (N)
7a. Are you related to a City of Cape Canaveral Council
member by blood, adoption, or marriage? (Y) (N) ✓
7b. If yes to 7a, please provide name(s) of person(s) and relationship to you:
C. INTERESTS/EXPERIENCE
1. Briefly state your interest in serving on a City advisory board or committee:
To assist the City Councial in guiding the City as business
opportunities and the population grows.
2. In numerical sequence (1 = most interested), please rank which advisory board or committee
on which you wish to serve:
a. 3 Board of Adjustment*
b. 2 Business and Economic Development Board
c. 1 Code Enforcement Board*
d. 4 Community Appearance Board
e. 5 Construction Board of Adjustment and Appeals*
f. 6 Culture and Leisure Services Board
g. 7 Library Board
h. 8 Planning and Zoning Board*
i. 9 Other:
*Members of these boards are required to complete and file with the supervisor of Elections a Financial
Disclosure Form upon appointment to said board and prior to July 1 of each year following the initial
appointment while still a member of said board.
D. Briefly state any prior experiences in serving on any governmental board or committee:
At Verizon Corp. in Business Development. At DHS worked
in aspects of community safety and legal task forces.
4. Please list any specialized skills and training (e.g., architect, engineer, general contractor, etc.)
that you feel help to qualify you for membership on the desired board or committee.
O. STATE REPORTING REQUIREMENTS
Section 760.80 Florida Statutes, requires that the City annually submit areport bzthe Secretary ofState .
disclosing race, gander, and physical disabilities of board and committee members. Please check the
appropriate boxes:
Page 2 of 3
- .
RACE GENDER
African-American ✓ Male
Asian-American Female
Hispanic-American Not Known
Native-American
✓ Caucasian DISABILITY
Not Known Physically disabled
YOU HEREBY REPRESENT TO THE CITY OF CAPE CANAVERAL, UNDER PENALTY OF
PERJURY, THAT THE INFORMATION PROVIDED HEREIN IS TRUE AND ACCURATE TO THE
BEST OF YOUR KNOWLEDGE,AND THE CITY OF CAPE CANAVERAL HAS THE RIGHT TO RELY
ON THAT INFORMATION.
YOU HEREBY ACKNOWLEDGE THE EXISTENCE OF THE CODE OF ETHICS FOR PUBLIC
OFFICERS [SECTIONS 112.311-326, FLORIDA STATUTES] AND THE FLORIDA "SUNSHINE
LAW" [SECTION 286.011, FLORIDA STATUTES], WHICH MAY PERTAIN TO YOU IF YOU ARE
APPOINTED TO A CITY ADVISORY BOARD OR COMMITTEE, AND IF APPOINTED, IT IS YOUR
SOLE OBLIGATION AND DUTY TO COMPLY WITH SUCH LAWS.
PLEASE NOTE:
• Appointment to any City board is subject to City Council approval following a brief interview
before the City Council at a regularly scheduled meeting.
• Your application will remain effective for one year from date of completion.
• If you should have any questions regarding the completion of this application, please contact
the City Clerk's Office at (321) 868-1220 ext. 207.
Signature: Date: 7/31/18
Please return to: City of Cape Canaveral
Office of the City Clerk
100 Polk Avenue
Cape Canaveral Florida 32920
For Office Use Only:
Date application received: 7/31/18
Date Appointed:
Appointed by:
Board Appointed to:
Term Expires:
Page 3 of 3
Attachment 2
7300 North Atlantic Ave.
Cape Canaveral, FL 32920 CITY OF CAPE CANAVERAL
P.O. Box 326 Culture & Leisure Services
321-868-1226
Memo
TO: Cape Canaveral City Council
VIA: David L. Greene, City Manager
FROM: Gustavo Vergara, Culture and Leisure Services Director
DATE: 2/4/2019
RE: Recommendation to the City Council—Library Board Appointment of Mr.
Anthony Divito and Mr.Garrett Lane
At the November 8, 2018 Library Board meeting, the Board interviewed two (2) applicants to fill two
(2)vacancies. Based on their interviews and experience,the Board recommended upcoming vacancies
be filled by Mr. Anthony Divito and Mr. Garrett Lane.
Please let me know if you have any questions. Thank you.
Item No. 1
DRAFT
CAPE CANAVERAL CITY COUNCIL REGULAR MEETING
CITY HALL COUNCIL CHAMBERS
100 Polk Avenue, Cape Canaveral,Florida
TUESDAY
January 15,2019
6:00 PM
MINUTES
CALL TO ORDER: The Chair called the Meeting to Order at 6:01 PM. Mayor Pro Tem Brown
led the Pledge of Allegiance.
ROLL CALL:
Council Members Present:
Mayor Pro Tem Mike Brown
Mayor Bob Hoog
Council Member Wes Morrison
Council Member Rocky Randels
Council Member Angela Raymond
Others Present:
City Manager David L. Greene
City Attorney Anthony Garganese
City Clerk Mia Goforth
Community Development Director David Dickey
Community Services Director Joshua Surprenant
Administrative/Financial Services Director John DeLeo
Capital Projects Director Jeff Ratliff
Culture and Leisure Services Director Gustavo Vergara
Economic Development Director Todd Morley
Executive Assistant to the City Manager Lisa Day
Brevard County Sheriff's Office Lieutenant Alan Confreda
Canaveral Fire Rescue Assistant Chief/Fire Marshal John Cunningham
PUBLIC PARTICIPATION: John Benton expressed concerns regarding a request to reduce
fines related to an Order authorized by the Code Enforcement Board on June 19, 2014.
Dennis Schultz, 561 Casa Bella Drive, expressed concerns regarding building heights and hotel
construction on property that lies within the A1A Economic Opportunity Overlay District. Mr.
Schultz was encouraged to contact Community Development for more information.
Dina Reider-Hicks and George Geletko, representing Waste Management, Inc., urged Council to
consider placing solid waste services for the City out for bid and offered a tour of the company
facilities. Discussion ensued and included recycling of plastics, services and landfill space in
Brevard County.
CONSENT AGENDA: Mayor Hoog inquired if any items needed to be removed for discussion.
No items were removed.
1. Approve Minutes for December 18, 2018 City Council Regular Meeting.
City of Cape Canaveral,Florida
City Council Regular Meeting
January 15,2019
Page 2 of 3
DRAFT
2. Award the Bid for construction of the Canaveral City Park Reclaimed Effluent Disposal
Project to Carr & Collier, Inc., in the amount of $194,100.00 and authorize City Manager to
execute the Construction Agreement for same.
A motion was made by Council Member Randels, seconded by Council Member Morrison,
for approval of the Consent Agenda. The motion carried 5-0.
PUBLIC HEARINGS:
3. a. Ordinance No. 01-2019; adopting a small scale Future Land Use Map Amendment
by changing the Future Land Use Map designation of certain real property located at 8811 Sea
Shell Lane, and more particularly depicted and legally described on Exhibit"A" attached hereto,
from "C-1 Commercial Low Density"to"R-1 Residential Low Density"; providing for the repeal
of prior inconsistent ordinances and resolutions, severability, incorporation into the
Comprehensive Plan and an effective date, first reading:
b. Ordinance No. 02-2019; changing the Zoning Map designation of certain real
property generally located at 8811 Sea Shell Lane and more particularly depicted and legally
described on Exhibit "A" attached hereto, from "C-1 Commercial Low Density" to "R-1
Residential Low Density"; providing for the repeal of prior inconsistent ordinances and
resolutions, severability and an effective date, first reading: City Attorney Garganese stated he
would read each title into the record and Council should vote separately on each Ordinance.
Community Development Director Dickey provided a summary of the Item. Discussion ensued
and included the history of the property. Public Hearing was opened. Dennis Warren, Applicant,
explained his plans regarding the property, confirmed the back of the house will face North
Atlantic Avenue and the front of the house will face East. City Attorney Garganese stated the
Agenda Item is contingent upon a Unity of Title agreement, combining three lots into one lot in
order to build a single-family home, which will be presented during second and final reading. The
Public Hearing was closed. A motion was made by Council Member Morrison, seconded by
Council Member Raymond, for approval of Ordinance No. 01-2019 at first reading. The
motion carried 5-0.A motion was made by Council Member Morrison,seconded by Council
Member Raymond, for approval of Ordinance No. 02-2019 at first reading. The motion
carried 5-0.
4. Ordinance No. 05-2019; adopting the 2018 International Property Maintenance Code as
amended herein; providing for the repeal of prior inconsistent ordinances and resolutions;
incorporation into the Code; severability and an effective date, first reading: City Attorney
Garganese read the title into the record and explained the Item. Discussion ensued and included
use of the updated Code, Staff interaction with property owners,the Request for Proposals process
and entering into an agreement with a special magistrate, having a plan in place in the event the
magistrate has scheduling conflicts or conflicts of interest and the need for the City Manager to
have flexibility. City Attorney Garganese indicated the language can be revised to reflect those
measures. The Public hearing was opened. Mayor Hoog responded to an audience member that
the information contained in the Agenda Item can be found on the City website. The Public
Hearing was closed. A motion was made by Council Member Randels, seconded by Mayor
Pro Tem Brown,for approval of Ordinance No.05-2019 at first reading.The motion carried
5-0.
City of Cape Canaveral,Florida
City Council Regular Meeting
January 15,2019
Page 3 of 3
DRAFT
REPORTS:
Council Member Raymond reported her activities and attendance at the Space Coast League of
Cities Meetings where she was reinstalled as a Member of the Board of Directors, the City-hosted
Rezoning Workshop with the East Central Florida Regional Planning Council in the process of
reviewing applications for the City's Official Poet Laureate, the first in Brevard County and
thanked Staff for work on this endeavor.
Council Member Randels shared information regarding Brevard County publication Brevard
Delivers with an advertisement promoting the City, current projects in the City and stated he will
be introducing new Brevard County District 2 Commissioner Lober at the next East Central Florida
Regional Planning Council Meeting.
Council Member Morrison reported his attendance at the City-hosted Rezoning Workshop with
the East Central Florida Regional Planning Council,mentioned Cape Canaveral Explore magazine
is available at local businesses, expressed pride in City efforts regarding the Indian River Lagoon
and water, Community Engagement and safety on A1A is heading in the right direction.
Mayor Pro Tem Brown encouraged all residents to sign up for the Mayors' Fitness Challenge,
stating he would like to see the City be the fittest in Florida which could contribute to property
value increases and interest in the area.
Mayor Hoog encouraged participation in the Mayors' Fitness Challenge, expressed his pride for
the City and applauded Staff.
Geoffrey Zuercher, 8657 Villanova Drive, expressed appreciation to the City Council and Staff
for their public service.
ADJOURNMENT:
There being no further business,the Meeting adjourned at 7:13 PM.
Bob Hoog,Mayor
Mia Goforth, CMC, City Clerk
[City Seal]
City of Cape Canaveral
City Council Agenda Form
City Council Meeting Date: 02/19/2019
Item No. 2
Subject: Resolution No. 2019-03; appointing an honorary Poet Laureate of the City of Cape
Canaveral;providing for the repeal of prior inconsistent resolutions,severability and an effective
date. (Timothy Bass)
Department: Culture and Leisure Services
Summary: An increasing number of Poet Laureate programs have been successfully
implemented in communities across the U.S., and throughout history, poet laureates have been
appointed by governments of all sizes. Instituting a Poet Laureate Program in the City of Cape
Canaveral embodies the City Vision by supporting and promoting culture and education within
the community. The objectives of this Program are to enhance the presence of literary arts in
Cape Canaveral, encourage reading and writing of poetry, raise awareness of poetry and the
spoken word, provide a forum for arts collaboration,promote the City's Visioning and cultural
identity and use poetry to bridge cultural and generational divides.
The City Poet Laureate will serve as an ambassador of Cape Canaveral's cultural interests,
promote the value of the written word and help celebrate the City's literary community. This is
an honorary position awarded to a person who has established a presence in the world of poetry,
demonstrated a commitment to and passion for poetry and embraces the opportunity to engage
the community through poetry. This is not a political appointment or a paid position.
On January 31, 2019, the Culture and Leisure Services (CLS) Board reviewed the application
packet submitted by Timothy Bass and recommended his appointment to serve as the City's
Poet Laureate (Attachment 1). Mr. Bass met all of the eligibility criteria established in the Poet
Laureate Program Overview (Attachment 2). His talent, professionalism and dedication to this
community were expounded in the introductory letter and written works he submitted
(Attachment 3). A Poet Laureate Selection Committee comprised of City Residents and Staff
with educational and professional backgrounds in literature, communications, linguistics and
journalism reviewed all applicants for this position in a blind selection process. Acknowledging
the qualifications of this Committee, the CLS Board reviewed Mr. Bass' submission and
recommends his appointment to this position. As Mr. Bass currently serves as a member of the
Culture and Leisure Services Board,he formally recused himself from all Board discussions and
activities pertaining to this appointment.
It is now incumbent upon City Council to appoint Timothy Bass to the honorary position of City
Poet Laureate.
Submitting Department Director: Gustavo Vergara Date: 2/7/19
Attachments:
1 —CLS Board Recommendation Memo
2—Poet Laureate Program Overview
3 —Candidate Submission
4—Resolution No. 2019-03
City Council Meeting
Date: 02/19/2019
Item No. 2
Page 2 of 2
Financial Impact: $65.00 for DCF Level II background screening required by the State of
Florida for individuals working with protected or vulnerable populations (children and elderly)
funded by the General Fund. Staff time/effort to complete Agenda Item.
Reviewed by Administrative/Financial
Services Director: John DeLeo Date: 2/7/19
The City Manager recommends that City Council take the following action:
Appoint Timothy Bass as honorary Poet Laureate of the City of Cape Canaveral.
Approved by City Manager: David L. Greene Date: 2/7/19
Attachment 1
7300 North Atlantic Ave.
P.O. Box 326 City of Cape Canaveral
Cape Canaveral,FL 32920
321-868-1226 Culture & Leisure Services
Memo
TO: Cape Canaveral City Council
VIA: Gustavo Vergara,Culture and Leisure Services Director
FROM: Molly A. Thomas,Cultural Programs Manager
DATE: February 5,2019
RE: Poet Laureate Appointment Recommendation
At its January 31, 2019 Culture and Leisure Services Board Meeting, the Board reviewed an
application for a candidate nominated by the Poet Laureate Selection Committee. The Selection
Committee, comprised of City Residents and Staff with educational and professional backgrounds in
literature, communications, linguistics and journalism reviewed all applicants for this position in a
blind selection process.
After acknowledging the qualifications of Selection Committee Members, Executive Assistant to the
City Manager Lisa Day, Community Engagement Specialist Jan Childs,Resident and former English
professor at Centennial College in Toronto, Ontario, Dorothy Kelleher and Council Member Angela
Raymond, the CLS Board reviewed Mr. Bass' submission. A motion was made by Vice Chairman,
Douglas Raymond, to recommend that City Council formally appoint Mr. Timothy Bass to the
honorary position of Poet Laureate. It was seconded by Mickie Kellum and thereafter approved
unanimously.
Encs.
(1) Poet Laureate Program Overview
(2) Candidate application packet
Attachment 2
POET LAUREATE
CITY OF CAPE CANAVERAL
PROGRAM OVERVIEW
CITY OF CAPE CANAVERAL
POET LAUREATE PROGRAM OVERVIEW
Instituting a Poet Laureate Program in Cape Canaveral embodies the City's Vision by supporting
and promoting culture and education within the community. The Poet Laureate for the City of
Cape Canaveral will serve as an ambassador of the community's cultural interests, promote the
value of the written word and help celebrate the City's literary community. An increasing number
of Poet Laureate programs have been successfully implemented in communities across the U.S.,
and throughout history, poet laureates have been appointed by governments of all sizes. The City
of Cape Canaveral is currently seeking nominations for the 2019-2022 appointment term
scheduled to begin on April 1, 2019, coinciding with the start of National Poetry Month.
Program Objectives
• Enhance the presence of literary arts in Cape Canaveral.
• Encourage the reading and writing of literature and poetry.
• Raise awareness of the power of poetry and the spoken word.
• Provide a forum for arts collaboration.
• Promote poetry as an inclusive form of literature, bridging cultural and generational divides.
• Promote the City's visioning and cultural identity.
Eligibility
For consideration, an applicant must be a poet and current resident of Cape Canaveral, available
and willing to collaborate with other local poets and artists to develop poetry-related activities that
address the objectives of the program. Poetry produced for this program must be written and/or
translated into English. The Poet Laureate must be capable of and willing to fulfill all duties
associated with the position to include: attend meetings and make public appearances, as needed,
in accordance to expectations developed in this document.Additionally, due to the Poet Laureate's
engagement with protected vulnerable populations, nominees will be required to undergo a DCF
Level II background screening,payable by the City.
Description of Position
This is an honorary position awarded to a person who has established a presence in the world of
poetry, demonstrated a commitment to and passion for poetry and embraces the opportunity to
engage the community through poetry. This is not a political appointment, nor is it a paid
position.
The duties of the Poet Laureate shall include:
I. Ceremonial: As a public voice and representative of our community, the Poet Laureate will
appear at public events as recommended by Staff, City Council or community groups. It is
preferable that poems presented at events be original and tailored to the occasion. If this is not
possible, appropriate past work is acceptable. Upon appointment, the Poet Laureate will
City of Cape Canaveral Poet Laureate Program 1 of 3
collaborate with the Cultural Programs Manager in order to determine a schedule of events he or
she will attend.
II. Educational: The first year of the Poet Laureate's term, they will be expected to select and
mentor a junior poet laurate from a local elementary, middle or high school. The Poet Laureate
must also propose and execute at least one educational outreach initiative each year of their term.
Activities planned by the Poet Laureate in an official capacity shall be free and open to the public.
Examples of such initiatives include:
• Curate a series of poetry readings with unique subject matter, themes or venues.
• Host and/or coordinate creative writing workshops within the community.
• Collaborate with existing groups or organizations to further the public's appreciation for
and interaction with poetry and the written word.
• Work with schools and library to develop public poetry projects/activities.
• Develop a collaborative activity/event that mingles poetry with science or other artistic
genres.
Terms of Service
The Poet Laureate shall be appointed to serve one(1)three-year term,beginning April 1, 2019 and
ending March 31, 2022. If an appointee is unable to fulfill their term due to illness, relocation or
an inability to perform the required duties, Staff may fill the vacancy by considering previously
submitted and qualified applicants and/or commence the selection process anew. In such instances,
the "replacement"Poet Laureate will complete the term of the exiting appointee. An interim Poet
Laureate may apply for the next complete term. The Poet Laureate shall serve at the will of the
Culture and Leisure Services Advisory Board and may be removed at any time with or without
cause.
Poet Laureates may not serve more than two full consecutive terms. Previous Poet Laureates shall
be eligible to serve a future term provided a minimum one-year hiatus is taken.
The Poet Laureate is prohibited from soliciting or accepting monetary donations/gifts or pursuing
grants intended to provide financial assistance to the Poet Laureate program without prior written
approval from the City Manager.
Application Process
An applicant for Poet Laureate may be self-nominated or nominated by a community member and
shall submit a complete application packet to include:
• A one-page statement describing qualifications for the appointment to include publications,
teaching experience, and literary arts community involvement; an outline of any plans for
the role and how the poet will make a difference in the community.
City of Cape Canaveral Poet Laureate Program 2 of 3
• Three to five original poems written by the applicant. The applicant is asked to provide
English translations for submissions composed in another language.
• Applicant's full name, address, email address and telephone number on a cover page.
DO NOT include the applicant's name or any identifying information in the statement or on
the poem pages submitted.All judging will be through a blind submission process.
Email (preferred), mail or deliver to:
EMAIL: m.thomas@cityofcapecanaveral.org
MAIL or DELIVER: City of Cape Canaveral
ATTN: Cultural Programs Manager
100 Polk Avenue
Cape Canaveral,FL 32920
ALL NOMINATIONS MUST BE RECEIVED BY 11:59 PM January 11, 2019.
Selection Process
The Poet Selection Committee (PSC)will judge all work submitted through a blind consideration
of the poetry and the nomination letter. Points to be considered may include:
• Quality of the poetry.
• Engagement in past projects that involve poetry and prose.
• Other experiences related to the tradition of poetry.
The Committee will invite the top finalists to take part in a face-to-face interview before the
Culture and Leisure Services Advisory Board, where they will be asked to read/perform one or
more of their original works. Applicants will be evaluated based on the following criteria:
• Ability to effectively inspire and engage others.
• Presentation of strategies intended to facilitate community appreciation for the value of the
written word and help celebrate the City's literary culture.
Selected nominee will be submitted to City Council who will confirm the appointment at City
Council Meeting on March 19, 2019.
Selection Process Schedule 2019—All dates subject to change.
December 10, 2018: Call for nominations
January 11: Applications due
January 14-18: Review and finalists selected by PSC
January 22: Finalists notified and invited to interview
January 31: Finalists interviewed before Culture and Leisure Services Advisory Board
February 8: Poet Laureate notified of selection
Feb. 19 (Mar. 19 if nominee unavailable in Feb): Nomination confirmed at City Council Meeting
City of Cape Canaveral Poet Laureate Program 3 of 3
Attachment 3
COVER PAGE
Name: Tim Bass
Mailing Address: 248 Coral Dr.
Cape Canaveral, FL 32920
Email: spacelawtim@gmail.com
Phone: 321-607-1603
Language is capable of creating bridges that open doors to diverse ideas. People wield
language to inform, instruct, persuade, entertain, and enable. Friedrich Nietzsche famously
wrote "[t]houghts are the shadows of our feelings—always darker, emptier, and simpler." As
language allows us all to communicate our thoughts, poetry empowers the writer to proactively
interact with feelings and express them effectively. Thus, a poet strives to understand a feeling
to enlighten it, develop it, and understand its complexities, artfully coalescing thoughts and
feelings in a noble, meaningful, and beautiful way. Whether a poet is writing as a form of
emotional catharsis or to share a story, to express an ideal or satirize, the poet continuously
strives to tacitly transform the abstract into the concrete. A poet's work can be silly and flimsy,
artsy and astute, or simple and direct, but always valuable. The poet finds a way to weave
words exposing the synergy of language to the perceptive as more than the individual words on
a page. The poet forms a unique land and invites the willing to dessert themselves there for a
moment, to share in the present. If appointed Cape Canaveral's Poet Laureate, I would
endeavor to promote artful use of language to all citizens; to enrich Cape Canaveral's
engagement through literary pursuits; and to promote the City's mission, vision, and culture.
From an early age, I loved listening to stories my father and grandfather told. That soon grew
into a passion for reading and creative writing. In high school, I wrote for the school
newspaper, received awards for extemporaneous speaking, and continued to compose poetry
and prose. I began learning to play instruments, and furthered this love of language into
songwriting. I was co-founder and president of my University's inaugural Writers' Guild, where
members would present writings and receive constructive feedback. The Writers' Guild also set
up public performances and independent publications (both digital and through the school's
newspaper). I became a substitute teacher for grades 1-12 prior to obtaining an advanced
degree. I am also an adjunct professor at a University. Currently, prudent utilization of
language is critical to my primary career, where it is imperative to clearly and concisely
communicate with colleagues and counterparts on a variety of issues. An axiom hangs over my
head like the Sword of Damocles in my career: "Words Matter". I have self-published many of
my creative writings. I was an editor for a text book and presented and published scholarly
works.
As an active member of the community, I frequently volunteer. I assisted in painting the rain
barrels at the community garden, helped with Trunk-or-Treat and the Haunted Library, donated
school supplies to Cape View Elementary, participated in debris clean-up after the hurricanes,
planted sea-oats, and serve on an advisory board. It is an honor to contribute, through writing
or otherwise, to the preservation of this town's fascinating past, building its powerful present,
and promoting its exciting future.
As Poet Laureate, it would be my goal to find ways to engender public participation and
appreciation in the arts. I will work with the City, library, and school to provide opportunities to
learn, create, and share community literary creations. As a proud citizen of Cape Canaveral, I
would always hold our City highly and present it in a light most favorable to our community. I
would strive to promote the connected diversity of our community, and bring together the
artistic talents of the citizenry to continuously learn, grow, and strengthen the fabric of our
hometown's unique identity as an asset to the Space Coast.
Canaveralean Pseudo-Sonnet
In the space between the Sun, Space, and Sea
Amidst the spectral mist above the beach
Somewhere between the universe and me
Lies the peaceful hopeful realm we beseech
Finding comfort beneath the sun-kissed cloud
Spoonbill, ibis, and skimmer dance and play
Turtle tracks from sea oats where eggs now lay
Nature's song enhanced, children laughing loud
Familiar lands and friendly faces smile
Bike paths hear clearly the beach's mild hum
In parks, her charms majestic do beguile
She invites all, sounding her quirky drum
In the space between the Sun, Space, and Sea
A unique home waits for you tranquilly
From the Crossover and Boardwalk, Smiling
A skein of sea grapes in the hammock
Forms a welcoming arch
Live oaks create a carpet of acorns
And pollen settles on the path
Unfolding flawlessly into the dune
Where glory vines unfurl their first
Violet flowers of the season
Mason bees swarm the palmettos
And blooming palm trees in the breeze
Manatees curiously nudge the canoe
As a kayak frames the fiery sunset
Hoping to capture a serene still
To spread the story of life here
Watch as the dimming light fills
The onlookers' eyes with wonder
For a future yet to come
For a future created by the community
A garden grows, glowing as a bright reminder
Of accomplishments only achieved together
A quick stop, providing nourishment and love before
Beginning a new day on the horizon
Where the sun spritzed dawn seems a given
And all will rise tomorrow
With glints in their eyes
Doing what they are able
To make a little difference each day
A Past Reflected in Our Souls
As Starry Night swirled in the ocean that day
We passed the afternoon playing in the waves
Emerge with darkened skin, resting near the dune grass
Drying with the cool wind and warm rays
Between the shoreline and the chaparral
The brackened border of sea weed
Trodden by the gamboling images of Ais
Waving welcoming sharpened swamp reed
We adopt their namesakes, anglicized
What we don't erase, we steal
We adopt their skills, survival prized
All but the memories, we kill
We honor them unknowingly with long hair and tattoos
Most abundant during the breaks from schools
Spanish ships approaching from the East
On shore, its sailors see the living cane plantation
After many trials, cultures befriended
Even though the Ais rejected Catholic salvation
Still, we can sleep soundly on these souls
Because neither today here remain
At least not in the flesh -formed whole
Through their efforts, no lasting gain
The sought-after fountain hid in plain sight
In the air, water, land, and light
1
The Freemen came to build homes
Later, rock shrimp filled all the boats
Fishermen flocked to the port in droves
Seashells dreamt of being born jetty stones
Harvard hunters soon came and then went
As reporters from the city settled in
Captain Burnham's light flashed across the Eastern sky
Journalista failed and Avon By the Sea shines
A tycoon built on news, a harbinger of port
And Eberwein's peafowl plumage fanned the town
As the squelching screeching showcased silence of a sort
The water loved lapping the shoreline down
Subsonics shook the station to the north
Gravity no longer maintains its ceaseless hold
Exploration begins here and we sally forth
Beyond frigid wars to watch the galaxy unfold
With the wonder of an abecedarian
We watch as launches still carry on
For a while, the President's name on the post
But that lacked agreement from the hospitable hosts
The canopy of high-rises hides the hopeful sky
Watching Port's ignorant, ill -planned over -industrialization
We continue to strive, more than a drive
To survive, we relentlessly thrive
Build on solid rock, we have all heard this cry
But this sand offers the best true foundation
Come now, all shepherdless Iambs
With bated breath, we wait on knees and hands
Leave your footprints on the sand
Strand yourself on this adoring land
Fractured centuries leading to now
Our trestle's large enough for a crowd
A populace, peculiar and proud
2
The Cape View Playground
I saw the spaceships streak through the sky
Contrail streamers prismatic to the eyes
From the Cape View playground
I saw myself as an astronaut
Or building the next-gen roving robot
From the Cape View playground
Pretend soldiers and wrestling matches
Firemen's hose and officer badges
On the Cape View playground
Used my hand to draw some peacocks
Made friends in many swing set frolics
On the Cape View playground
I heard the ocean's diapasonal roar
Through the palms I spotted the shore
From the Cape View playground
Smell the food trucks, hear the folks
Dancing through the market on Polk
From the Cape View playground
Spot the Station and satellites
And constellations scattered in stars at night
On the Cape View playground
We watched the anoles, racers, and frogs
And busy ant hills in the morning fog
On the Cape View playground
Years from now, older, I will return
With meandering memories of lessons learned
From the Cape View playground
May the tide flow and sun show on these youth
And their fervent faith in the diversity of truth
From the Cape View playgound
Missing the Cape
(Springtime in DC)
Fighting the crowds, suits like shrouds
Wandering down 14th
I got my name on a cubical
While you're writing ours on the beach
The Potomac flows to the Atlantic
So my thoughts float to your reach
Sometimes, I swear, this salty air
Is all I need to breath
< CHORUS>
I wish I had my feet in high tide
And that I was there with you
The snow don't feel like sand on my toes
And there's far too much to do
Please send me a postcard
Dabbed with your perfume
Tonight at 9:00, we'll look at the sky
And share the same bright moon
It's your smile and relaxed style
That makes the Capital lowercase
It's your small-town home, and how you're grown
That puts that color in your face
It's easy to wish, and hard to resist
Like the lighthouse from the Cape
With folks all around, faces to the ground
This lonesome finds its place
<Repeat Chorus>
<BRIDGE>
Cherry blossoms, I'd toss 'em all in the reflection pool
Museums, I've seen 'em, they can't hold a candle to you
I'm writing this letter because I was better off down there
Got a one-way ticket on the song of a cricket and it's carrying me through the air
<Repeat Chorus>
So, please send me a postcard dabbed with your perfume
Attachment 4
RESOLUTION 2019-03
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CAPE
CANAVERAL, BREVARD COUNTY, FLORIDA; APPOINTING AN
HONORARY POET LAUREATE OF THE CITY OF CAPE
CANAVERAL; PROVIDING FOR THE REPEAL OF PRIOR
INCONSISTENT RESOLUTIONS, SEVERABILITY AND AN
EFFECTIVE DATE.
WHEREAS, throughout history, poet laureates have been appointed by governments of
all sizes; and
WHEREAS, an increasing number of Poet Laureate programs have been successfully
implemented in communities across the U.S., and
WHEREAS,instituting a Poet Laureate Program in the City of Cape Canaveral embodies
the City Vision by supporting and promoting culture and education within the community; and
WHEREAS, the objectives of the Poet Laureate Program are to enhance the presence of
literary arts in Cape Canaveral, encourage the reading and writing of poetry, raise awareness of
poetry and the spoken word, provide a forum for arts collaboration, promote the City's Visioning
and cultural identity and use poetry to bridge cultural and generational divides; and
WHEREAS, the City of Cape Canaveral requested nominations for a 2019-2022
appointment term scheduled to begin on April 1,2019, coinciding with the start of National Poetry
Month; and
WHEREAS, a Poet Laureate Selection Committee comprised of City Residents and Staff
with educational and professional backgrounds in literature, communications, linguistics and
journalism reviewed all applicants for this appointment in a blind selection process; and
WHEREAS, at its meeting on January 31, 2019, the Culture and Leisure Services Board
reviewed the application packet recommended by the Poet Laureate Selection Committee and
recommended the same; and
NOW, THEREFORE, BE IT DULY RESOLVED BY THE CITY COUNCIL OF
THE CITY OF CAPE CANAVERAL,BREVARD COUNTY, FLORIDA,AS FOLLOWS:
Section 1. Recitals. The foregoing recitals are deemed true and correct and are hereby
incorporated herein by this reference as a material part of this Resolution.
Section 2. Appointment. The position of Poet Laureate of the City of Cape Canaveral is
honorary and awarded to a person who has established a presence in the world of poetry,
demonstrated a commitment to and passion for poetry and embraces the opportunity to engage the
community through poetry and the Poet Laureate is not a political appointment, nor is it a paid
position:
City of Cape Canaveral
Resolution No.2019-03
Page 1 of 2
Timothy Bass shall be appointed the honorary position of Poet Laureate of the City
of Cape Canaveral, to serve one (1) three-year term, beginning April 1, 2019 and
ending March 31, 2022.
Section 3. Repeal of Prior Inconsistent Resolutions. All prior resolutions or parts of
resolutions in conflict herewith are hereby repealed to the extent of the conflict.
Section 4. Severability. If any section, subsection, sentence, clause, phrase, word, or portion
of this Resolution is for any reason held invalid or unconstitutional by any court of competent
jurisdiction, such portion shall be deemed a separate, distinct and independent provision and such
holding shall not affect the validity of the remaining portion hereto.
Section 5. Effective Date. This Resolution shall become effective April 1, 2019.
ADOPTED at a Regular Meeting of the City Council of the City of Cape Canaveral,
Florida, assembled this 19th day of February, 2019.
Bob Hoog, Mayor
ATTEST: Name FOR AGAINST
Mike Brown
Mia Goforth, CMC Bob Hoog
City Clerk Wes Morrison
Rocky Randels
Angela Raymond
Approved as to legal form and sufficiency
For the City of Cape Canaveral only by:
Anthony A. Garganese, City Attorney
City of Cape Canaveral
Resolution No.2019-03
Page 2 of 2
[City Seal]
City of Cape Canaveral
City Council Agenda Form
City Council Meeting Date: 02/19/2019
Item No. 3
Subject: Resolution No. 2019-04; appointing members to the Library Board of the City of Cape
Canaveral;providing for the repeal of prior inconsistent resolutions,severability and an effective
date. (Anthony Divito and Garrett Lane)
Department: Legislative
Summary: At its November 8, 2018 Meeting, the Library Board interviewed applicants to fill
two vacancies and voted to recommend Anthony Divito and Garrett Lane for appointment.
One of these vacancies is for an existing 3-year term that is scheduled to end October 1, 2020.
In an effort to balance end-of-term dates on the board, Resolution No. 2019-03 (Attached)
provides for both of these applicants' terms to end October 1, 2021. Adjusting end dates to
stagger the terms of the entire board is allowable under Section 2-171(f), City Code.
Following completion of their first appointed terms, Mr. Divito and Mr. Lane will be eligible
for reappointment to the Library Board for one additional term, consistent with the limitations
set forth in Section 2-171(0, City Code.
It is now incumbent upon City Council to appoint members to the Library Board.
Submitting Department Director: Mia Goforth Date: 2/8/19
Attachment: Resolution No. 2019-04
Financial Impact: Staff time and effort to prepare this Agenda Item.
Reviewed by Administrative/Financial
Services Director: John DeLeo Date: 2/8/19
The City Manager recommends that City Council take the following action:
Adopt Resolution No. 2019-04.
Approved by City Manager: David L. Greene Date: 2/8/19
RESOLUTION 2019-04
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CAPE
CANAVERAL, BREVARD COUNTY, FLORIDA; APPOINTING
MEMBERS TO THE LIBRARY BOARD OF THE CITY OF CAPE
CANAVERAL; PROVIDING FOR THE REPEAL OF PRIOR
INCONSISTENT RESOLUTIONS, SEVERABILITY AND AN
EFFECTIVE DATE.
WHEREAS, the City Council of the City of Cape Canaveral, Florida, has by City Code
Section 46-26 established a Board known as the Library Board; and
WHEREAS, it is now incumbent upon the City Council of the City of Cape Canaveral to
appoint members to said Board.
NOW, THEREFORE, BE IT DULY RESOLVED BY THE CITY COUNCIL OF
THE CITY OF CAPE CANAVERAL,BREVARD COUNTY, FLORIDA,AS FOLLOWS:
Section 1. Recitals. The foregoing recitals are deemed true and correct and are hereby
incorporated herein by this reference as a material part of this Resolution.
Section 2. Staggering the Terms of the Board. Pursuant to Section 2-171(f) of the Cape
Canaveral City Code, in order to stagger terms of the board, an existing vacant term, originally
scheduled to end October 1, 2020, has been adjusted to end October 1, 2021.
Section 3. Appointment. Pursuant to Section 2-171(e) of the Cape Canaveral City Code,the
City Council of the City of Cape Canaveral hereby appoints the following individuals to the
Library Board:
Anthony Divito shall be appointed to the existing 3-year term, to serve until October 1, 2021.
Garrett Lane shall be appointed to a new 3-year term, to serve until October 1, 2021.
Following completion of their first terms, appointees shall be eligible for reappointment to the
Library Board for one additional term consistent with the limitations set forth in Section 2-171(f), City
Code.
Section 4. Repeal of Prior Inconsistent Resolutions. All prior resolutions or parts of
resolutions in conflict herewith are hereby repealed to the extent of the conflict.
Section 5. Severability. If any section, subsection, sentence, clause, phrase, word, or portion
of this Resolution is for any reason held invalid or unconstitutional by any court of competent
jurisdiction, such portion shall be deemed a separate, distinct and independent provision and such
holding shall not affect the validity of the remaining portion hereto.
Section 6. Effective Date. This Resolution shall become effective immediately upon
adoption by the City Council of the City of Cape Canaveral, Florida.
City of Cape Canaveral
Resolution No.2019-04
Page 1 of 2
ADOPTED at a Regular Meeting of the City Council of the City of Cape Canaveral,
Florida, assembled this 19th day of February, 2019.
Bob Hoog,Mayor
ATTEST: Name FOR AGAINST
Mike Brown
Mia Goforth, CMC Bob Hoog
City Clerk Wes Morrison
Rocky Randels
Angela Raymond
Approved as to legal form and sufficiency
For the City of Cape Canaveral only by:
Anthony A. Garganese, City Attorney
City of Cape Canaveral
Resolution No.2019-04
Page 2 of 2
[City Seal]
City of Cape Canaveral
City Council Agenda Form
City Council Meeting Date: 02/19/2019
Item No. 4
Subject:
a. Ordinance No. 01-2019; adopting a small scale Future Land Use Map Amendment by
changing the Future Land Use Map designation of certain real property located at 8811 Sea Shell
Lane, and more particularly depicted and legally described on Exhibit"A"attached hereto,from
"C-1 Commercial Low Density"to "R-1 Residential Low Density"; providing for the repeal of
prior inconsistent ordinances and resolutions, severability, incorporation into the
Comprehensive Plan and an effective date, second reading.
b.Approve the Unity of Title Agreement between Dennis Warren(Owner)and the City of Cape
Canaveral regarding three individual parcels located at 8811 Sea Shell Lane and authorize
Mayor to execute same.
c. Ordinance No. 02-2019; changing the Zoning Map designation of certain real property
generally located at 8811 Sea Shell Lane, and more particularly depicted and legally described
on Exhibit"A" attached hereto, from "C-1 Commercial Low Density"to"R-1 Residential Low
Density"; providing for the repeal of prior inconsistent ordinances and resolutions, severability
and an effective date, second reading.
Submitting Department: Community Development
Summary: This request is to both amend the City's Comprehensive Plan Future Land Use Map
(FLUM) and to rezone a .4-acre parcel from C-1 to R-1. The parcels have been assigned an
address of 8811 Sea Shell Lane by the Brevard County 911 Division (Attachment 1). The
property is vacant. The property is currently designated C-1 by the FLUM and has a zoning
designation of C-1 (Attachment 2). A review of the City's historical zoning maps indicates the
property having a zoning designation of C-1 since the City's incorporation.
The applicant, who purchased the parcels in January of 2018, did so with the intent of
constructing a single-family home on the property. However,with the passage of Ordinance No.
02-2016, City Council eliminated residential uses from commercial districts, thus the rezoning
request.
Currently, the property consists of three individual townhouse parcels. A Unity of Title
Agreement (Agreement) has been prepared (Attachment 4) to unify three separate parcels for
purposes of creating a single development tract. The three parcels (24-37-14-32-*-1, 24-37-14-
32-*-2 and 24-37-14-32-*-3)include approximately 17,200 square feet of area,which meets the
minimum requirement of 7,500 square feet in the R-1 district. As indicated in the Agreement,
the Owner agrees not to sell, convey or assign any interest in the parcel,which would cause the
loss of unity of ownership or title, without first obtaining written consent from the City of Cape
Canaveral. In addition, Owner agrees that the provisions of this Agreement shall be binding
upon the heirs,personal representative, successors and assigns of Owner. This Agreement shall
run with the land.
The City Council has approved similar agreements in the past,including: Roger Dobson in 2005
for construction of the Residence Inn at 8959 Astronaut Boulevard; Dr. Christine Storts in 2007
City Council Meeting
Date: 02/19/2019
Item No. 4
Page 2 of 4
for construction of the veterinarian clinic at 7620 N. Atlantic Avenue; and Charlie Lagges in
2017 for the construction of additional retail parking at 8699 Astronaut Boulevard.
The parcels are located within the Harbor Heights subdivision, which is located in the N.
Atlantic Avenue corridor. The vast majority of the parcels in Harbor Heights are zoned R-1 and
developed with single-family homes. There are several parcels, south of the subject property,
zoned C-1; however, they are developed with multi-family residential uses. The Villages of
Seaport, immediately north of the property, is zoned R-2.
The property is served by City wastewater service and City of Cocoa water. A stormwater plan
for the property has been reviewed and approved by the City Engineer.
The proposed revision to the City's Future Land Use Map is processed through the
comprehensive plan amendment process established in Chapter 163 of the Florida Statutes. As
indicated in Chapter 163.3187 F.S., a small scale comprehensive plan amendment (which the
subject request is considered) shall be first considered by the Local Planning Agency and will
require one hearing before the City Council, which shall be the adoption hearing.
Chapter 163.3177 F.S. in general states that all plan amendments must be based upon relevant
and appropriate data and an analysis by the City to include (response in italics):
1. An analysis of the availability of facilities and services; The proposed amendment will
not adversely impact any level-of-service related facilities or services.
2. An analysis of the suitability of the proposed plan amendment considering the character
of the undeveloped land, soils, topography, natural resources and historical resources;
The subject parcel is relatively level and consists of well-drained soils. There are no
natural or historical resources on-site.
3. An analysis of the minimum amount of land needed to achieve the goals and
requirements of the Comprehensive Plan; and The state does not want to see a City
approving large-scale residential amendments without data showing the need and ability
to accommodate the increased number of people.
4. That the proposed amendment discourages the proliferation of urban sprawl. The subject
parcel is located within an established neighborhood and does not represent urban
sprawl.
In addition, the City's Comprehensive Plan, consistent with Chapter 163.3177 F.S., includes a
policy that requires development to be compatible with adjacent land uses (Policy LU-1.3.2).
As the proposed zoning district is limited to single-family construction, consistency with this
policy will result.
As spelled out in Sec. 110-35 City Code, a rezoning request shall be reviewed against the
following standards (response in italics):
1. The proposed rezoning change is in compliance with all procedural requirements
established by the City Code and law; Yes, the proposed rezoning has been processed in
accordance with City and State requirements.
City Council Meeting
Date: 02/19/2019
Item No. 4
Page 3 of 4
2. The proposed rezoning change is consistent with the city's comprehensive plan including,
but not limited to, the future land use map and the proposed change would not have an
adverse effect on the comprehensive plan; The request is consistent with the
Comprehensive Plan.
3. The proposed rezoning change is consistent with any master plan applicable to the
property; Not Applicable.
4. The proposed rezoning change is not contrary to the land use pattern established by the
City's comprehensive plan; The proposed rezoning would allow for a continuation of the
established land use pattern.
5. The proposed rezoning change would not create a spot zone prohibited by law; The
proposed zoning district is a continuation of the existing zoning in the immediate area.
6. The proposed rezoning change would not materially alter the population density pattern
in a manner that would overtax the load on public facilities and services such as schools,
utilities, streets, and other municipal services and infrastructure; The proposed R-1
designation is the City's least intense residential district.
7. The proposed rezoning would not result in existing zoning district boundaries that are
illogically drawn in relation to existing conditions on the property and the surrounding
area and the land use pattern established by the city's comprehensive plan; The proposed
R-1 designation is a continuation of the R-1 district, which lies immediately to the east
of the subject parcel.
8. Changed or changing conditions make the proposed rezoning necessary; As the Harbor
Heights subdivision has been built-out with residential uses, the rezoning from C-1 to R-
1 will remove a possible zoning conflict.
9. The proposed rezoning change will not seriously reduce light or air to adjacent areas;
The proposed rezoning would allow the construction of a single-family structure, which
would not seriously reduce light or air to adjacent areas.
10. Should the city be presented with competent substantial evidence indicating that property
values will be adversely affected by the proposed rezoning, the applicant must
demonstrate that the proposed rezoning change will not adversely affect property values
in the surrounding area; Not Applicable.
11. The proposed rezoning will not be a substantial detriment to the future improvement or
development of vacant adjacent property; The proposed rezoning is a continuation of the
development trend in the area.
12. The proposed rezoning will not constitute a grant of special privilege to an individual
owner as contrasted with the public welfare; The proposed rezoning would allow for the
construction of a single-family home, a right enjoyed by other owners in the area.
City Council Meeting
Date: 02/19/2019
Item No. 4
Page 4 of 4
13. The proposed rezoning change is not out of scale or incompatible with the needs of the
neighborhood or the city; The proposed rezoning would allow for a single-family
structure, which would be consistent with the immediate neighborhood.
14. The proposed rezoning does not violate any applicable land use regulations adopted by
the city.All City Code requirements will be implemented through the permitting process.
As indicated in this Staff report and analysis,the proposed Comprehensive Plan amendment and
rezoning are consistent with applicable City and State standards. All required notice
requirements have been met.At its December 13,2018 Regular Meeting,the Planning&Zoning
Board unanimously recommended approval of Ordinance Nos. 01- and 02-2019 subject to the
City Council approving a Unity of Title to aggregate the three townhouse lots into a single
development parcel to construct a single-family home.
City Council approved Ordinance Nos. 01-2019 and 02-2019 on first reading at its January 15,
2019 Meeting.Notices of Public Hearing were advertised in Florida Today on February 7,2019.
Submitting Department Director: David Dickey Date: 2/6/19
Attachments:
1. Location Map
2. Zoning & Future Land Use Map
3. Ordinance No. 01-2019
4. Unity of Title Agreement
5. Ordinance No. 02-2019
Financial Impact: Advertisements, codification, recordation, amending the Zoning & Future
Land Use Maps and Staff time and effort to prepare this Agenda Item.
Reviewed by Administrative/Financial
Services Director: John DeLeo Date: 2/6/19
The City Manager recommends that City Council take the following actions:
a. Adopt Ordinance No. 01-2019, on second reading, subject to the City Council
approving a Unity of Title to aggregate the three townhouse lots into a single
development parcel to construct a single-family home; and
b. Approve the Unity of Title Agreement between Dennis Warren (Owner) and the City of
Cape Canaveral regarding three individual parcels located at 8811 Sea Shell Lane and
authorize Mayor to execute same.
c. Adopt Ordinance No. 02-2019 on second reading.
Approved by City Manager: David L. Greene Date: 2/6/19
Attachment 1
Location Map
8811 Sea Shell Lane
Attachment 2
Zoning &Future Land Use Maps: C-1 designation
8811 Sea Shell Lane
Attachment 3
1 ORDINANCE NO. 01-2019
2
3 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CAPE
4 CANAVERAL, FLORIDA, ADOPTING A SMALL SCALE FUTURE
5 LAND USE MAP AMENDMENT BY CHANGING THE FUTURE LAND
6 USE MAP DESIGNATION OF CERTAIN REAL PROPERTY LOCATED
7 AT 8811 SEA SHELL LANE, AND MORE PARTICULARLY DEPICTED
8 AND LEGALLY DESCRIBED ON EXHIBIT "A" ATTACHED
9 HERETO, FROM "C-1 COMMERCIAL LOW DENSITY" TO "R-1
10 RESIDENTIAL LOW DENSITY"; PROVIDING FOR THE REPEAL
11 OF PRIOR INCONSISTENT ORDINANCES AND
12 RESOLUTIONS, SEVRABILITY, INCORPORATION INTO THE
13 COMPREHENSIVE PLAN AND AN EFFECTIVE DATE.
14
15
16
17
18 WHEREAS, the future land use map amendment embodied in this Ordinance is a small
19 scale amendment to the City of Cape Canaveral Comprehensive Plan in accordance with section
20 163.3187(1)(c),Florida Statutes; and
21
22 WHEREAS, the Local Planning Agency of the City of Cape Canaveral held a duly
23 noticed public hearing on December 13, 2018, in accordance with the procedures in Chapter 163,
24 Part II, Florida Statutes, on the proposed Comprehensive Plan Amendment and considered
25 findings and advice of staff, citizens, and all interested parties submitting written and oral
26 comments and has recommended adoption to the City Council; and
27
28 WHEREAS, the City Council of the City of Cape Canaveral held a duly noticed public
29 hearing on the proposed amendment set forth hereunder and considered findings and advice of
30 staff, citizens, and all interested parties submitting written and oral comments and supporting data
31 and analysis, and after complete deliberation,hereby approves and adopts the Comprehensive Plan
32 Amendment set forth hereunder; and
33
34 WHEREAS, the City Council of the City of Cape Canaveral hereby finds that this
35 Ordinance is in the best interests of the public health, safety and welfare of the citizens of Cape
36 Canaveral.
37
38 NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF CAPE
39 CANAVERAL HEREBY ORDAINS,AS FOLLOWS:
40
41
42 Section 1. Recitals. The foregoing recitals are true and correct and are fully
43 incorporated herein by this reference.
City of Cape Canaveral
Ordinance No.01-2019
Page 1 of 3
44
45 Section 2. Authority. This Ordinance is adopted in compliance with, and pursuant
46 to, the Local Government Comprehensive Planning and Land Development Regulations Act.
47
48 Section 3. Purpose and Intent. It is hereby declared to be the purpose and intent
49 of this Ordinance to clarify, expand, correct, update, modify and otherwise further the provisions
50 of the City of Cape Canaveral Comprehensive Plan.
51
52 Section 4. Adoption of Amendment to the Future Land Use Map. The City of
53 Cape Canaveral Comprehensive Plan, Future Land Use Map, is hereby amended by designating
54 the real property depicted on Exhibit "A" from "C-1 Commercial Low Density" to "R-1
55 Residential Low Density." Exhibit "A" is attached hereto and fully incorporated herein by this
56 reference.
57
58 Section 5. Repeal of Prior Inconsistent Ordinances and Resolutions. All prior
59 inconsistent ordinances and resolutions adopted by the City Council, or parts of prior ordinances
60 and resolutions in conflict herewith, are hereby repealed to the extent of the conflict.
61
62 Section 6. Severability. If any section, subsection, sentence, clause, phrase, word
63 or provision of this Ordinance is for any reason held invalid or unconstitutional by any court
64 of competent jurisdiction, whether for substantive, procedural or any other reason, such portion
65 shall be deemed a separate, distinct and independent provision, and such holding shall not
66 affect the validity of the remaining portions of this Ordinance.
67
68 Section 7. Incorporation into Comprehensive Plan. Upon the effective date of
69 the Comprehensive Plan Amendment adopted by this Ordinance, said Amendment shall
70 be incorporated into the City of Cape Canaveral Comprehensive Plan and any section or
71 paragraph number or letter and any heading may be changed or modified as necessary to
72 effectuate the foregoing.
73
74 Section 8. Effective Date and Legal Status of the Plan Amendment. The
75 effective date of this Ordinance shall take effect thirty-one (31) days after adoption, in
76 accordance with section 163.3187(5)(c), Florida Statutes, unless challenged within thirty (30)
77 days after adoption of this Ordinance, then this Ordinance shall become effective at such
78 time as the State Land Planning Agency or the Administration Commission issues a final order
79 determining the adopted small scale Comprehensive Plan Amendment is in compliance.
80 No development orders, development permits or land use dependent on this Amendment
81 may be issued or commenced before it has become effective. After and from the effective
82 date of this Amendment, the Comprehensive Plan Amendment set forth herein shall
83 amend the City of Cape Canaveral Comprehensive Plan and become a part of that plan and
84 the Amendments shall have the legal status of the City of Cape Canaveral Comprehensive Plan,
85 as amended.
86
[Adoption Page Follows]
City of Cape Canaveral
Ordinance No.01-2019
Page 2 of 3
87
88 ADOPTED by the City Council of the City of Cape Canaveral, Florida, this 19th day of
89 February, 2019.
90
91
92
93
94
95 Bob Hoog,Mayor
96
97
98
99
100
101 ATTEST: For Against
102
103 Mike Brown
104
105 Mia Goforth, CMC Robert Hoog
106 City Clerk
107 Wes Morrison
108 First Advertisement: December 3, 2018
109 Planning& Zoning Board Hearing: Rocky Randels
110 December 13, 2018
111 First Reading: January 15, 2019 Angela Raymond
112 Second Advertisement: February 7, 2019
113 Second Hearing: February 19, 2019
114
115
116 Approved as to legal form and sufficiency
117 for the City of Cape Canaveral only by:
118
119
120 Anthony A. Garganese, City Attorney
121
122
City of Cape Canaveral
Ordinance No.01-2019
Page 3 of 3
Ordinance No. 01-2019
Exhibit "A"
Location Map
8811 Sea Shell Lane
Legal Description
Parcels: 24-37-14-32-*-1 & 24-37-14-32-*-2 &
24-37-14-32-*-3
Attachment 4
Prepared by and return to:
Anthony A. Garganese
City Attorney of Cape Canaveral
PO Box 2873
Orlando, Florida 32802
(407)425-9566
Tax Parcel Id: 24-37-14-32-00000.0-0001.00
UNITY OF TITLE AGREEMENT
THIS UNITY OF TITLE AGREEMENT is executed this day of February, 2019,
by and between Dennis M. Warren ("Owner"), an individual, whose address is 7705 Fringe
Place, Cocoa, Florida 32927 and the CITY OF CAPE CANAVERAL, a Florida municipal
corporation, whose address is 100 Polk Avenue, Cape Canaveral, Florida 32920 (hereinafter"the
City").
WITNESSETH:
WHEREAS, Owner owns real property located within the jurisdictional limits of the
City of Cape Canaveral which is identified as tax parcel identification number 24-37-14-32-
00000.0-0001.00, consisting of three (3)townhome lots of record, and legally described as:
Lots 1, 2 and 3, Seashell Cay North, according to the map or plat thereof as
recorded in Plat Book 58,Page 22, of the public records of Brevard County, Florida
("Existing Parcel"); and
WHEREAS, Owner desires unify the three lots located on the Existing Parcel into one
developable parcel of land for purposes of constructing a single family house on the Existing
Parcel; and
WHEREAS, Owner acknowledges and agrees that in order to construct a single family
home on the Existing Parcel, Owner was required to apply for an amendment to the Existing
Parcel's Future Land Use Map designation and Zoning Map classification, and that said
application was approved by the City Council on February 19, 2019 subject to the Owner and
City executing and recording this Agreement as a condition of approval; and
UNITY OF TITLE AGREEMENT
City of Cape Canaveral/Dennis Warren
Page 1 of 4
WHEREAS, Owner and City have agreed to record this Agreement to recognize that the
Owner will have and maintain unity of ownership and title in the Existing Parcel; and
WHEREAS, Owner and the City desire to have the Existing Parcel recognized by the
City as one (1) lot for development purposes under the City's land development regulations for
purposes of constructing a single family home on the Existing Parcel; and
NOW, THEREFORE, in consideration of the mutual covenants contained herein, the
receipt and sufficiency of which is acknowledged by the parties, the parties agree as follows:
1. Recitals. The foregoing recitals are true and correct and are hereby fully incorporated
into this Agreement by this reference.
2. The Property. Owner represents and warrants that it possesses fee simple title to the
Existing Parcel which is legally described as:
Lots 1,2 and 3, Seashell Cay North, according to the map or plat thereof as
recorded in Plat Book 58,Page 22, of the public records of Brevard County,Florida
A depiction of the three lots being unified herein is set forth on the attached Exhibit "A," which
is hereby fully incorporated herein by this reference for demonstrative purposes.
3. Representations of Owner. Owner hereby represents and agrees as follows:
A. Owner agrees, as a condition of future development permit applications submitted
to the City, that the Existing Parcel as described in paragraph 2 of this Agreement,
upon recording of this Agreement, shall be unified in ownership and title for
development purposes.
B. Owner further agrees to not sell, convey or assign any interest in the Existing
Parcel, which would cause the loss of unity of ownership or title, without first
obtaining the written consent of the City of Cape Canaveral. Nothing herein is
intended to prohibit or restrict the Owner from selling, conveying or assigning the
Existing Parcel as a unified parcel of land or encumbering the Existing Parcel
with easements or other interests in land that do not cause loss of unity of
ownership of title.
C. Owner agrees and consents that this Agreement shall be recorded in the office of
the Clerk of Circuit Court in and for Brevard County, Florida, and that all costs of
recording shall be paid by the Owner.
D. Owner agrees that the provisions of this Agreement shall be binding upon the
UNITY OF TITLE AGREEMENT
City of Cape Canaveral/Dennis Warren
Page 2 of 4
heirs, personal representative, successors and assigns of Owner. This Agreement
shall run with the land.
IN WITNESS WHEREOF, the parties hereto caused this Agreement to be executed by
their duly authorized representatives as of the date first written above.
OWNER:
Witness: Dennis Warren, an individual
Print Name/Title:
Witness:
Print Name/Title:
STATE OF FLORIDA
COUNTY OF BREVARD
I HEREBY CERTIFY that on this day, before me, an officer duly authorized in the State
and County aforesaid to take acknowledgments, personally appeared Dennis Warren, an
individual ❑ to me known personally to be the persons described in the foregoing instrument, or
❑ who have produced as identification.
WITNESS my hand and official seal in the State and County last aforesaid this
day of , 2019.
Notary Public
My Commission Expires:
UNITY OF TITLE AGREEMENT
City of Cape Canaveral/Dennis Warren
Page 3 of 4
THE CITY:
CITY OF CAPE CANAVERAL,
a Florida municipal corporation.
ATTEST:
Bob Hoog, Mayor
Mia Goforth, CMC
City Clerk
Approved as to legal form and sufficiency for the City only:
Anthony A. Garganese, City Attorney
UNITY OF TITLE AGREEMENT
City of Cape Canaveral/Dennis Warren
Page 4 of 4
Attachment 5
1 ORDINANCE NO. 02-2019
2
3 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY
4 OF CAPE CANAVERAL, FLORIDA; CHANGING THE
5 ZONING MAP DESIGNATION OF CERTAIN REAL
6 PROPERTY GENERALLY LOCATED AT 8811 SEA
7 SHELL LANE, AND MORE PARTICULARLY DEPICTED
8 AND LEGALLY DESCRIBED ON EXHIBIT "A"
9 ATTACHED HERETO, FROM "C-1 COMMERCIAL LOW
10 DENSITY" TO "R-1 RESIDENTIAL LOW DENSITY",
11 PROVIDING FOR THE REPEAL OF PRIOR
12 INCONSISTENT ORDINANCES AND RESOLUTIONS,
13 SEVERABILITY AND AN EFFECTIVE DATE.
14
15
16
17
18 WHEREAS, the City Council is granted the authority, under Section 2(b), Article VIII,
19 of the State Constitution, to exercise any power for municipal purposes, except when
20 expressly prohibited by law; and
21
22 WHEREAS,the owner of the Property subject to this Ordinance submitted an application
23 seeking to construct a single family home on the subject property and seeks to have the Property
24 rezoned from C-1 Low Density Commercial to R-1 Residential Low Density to permit such
25 construction; and
26
27 WHEREAS, sections 110-34 and 110-35 of the City Code provides a procedure and
28 requirements for the City to consider a rezoning of real property within the City of Cape Canaveral;
29 and
30
31 WHEREAS, the Planning and Zoning Board and City Staff have recommended approval
32 of this Ordinance at the December 13, 2018 Planning and Zoning Board meeting; and
33
34 WHEREAS, the City Council of the City of Cape Canaveral held a duly noticed public
35 hearing on the proposed zoning change set forth hereunder and considered findings and advice of
36 staff, citizens, and all interested parties submitting written and oral comments and supporting data
37 and analysis, and after complete deliberation,hereby finds the requested zoning change consistent
38 with a corresponding and simultaneous amendment to the City of Cape Canaveral Comprehensive
39 Plan and that sufficient, competent, and substantial evidence supports the zoning change set forth
40 hereunder; and
41
42 WHEREAS, the City Council hereby finds that this Ordinance serves a legitimate
City of Cape Canaveral
Ordinance No.02-2019
Page 1 of 3
1 government purpose and is in the best interests of the public health, safety, and welfare of the
2 citizens of Cape Canaveral, Florida.
3
4 NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF CAPE
5 CANAVERAL HEREBY ORDAINS,AS FOLLOWS:
6
7 Section 1. Recitals. The foregoing recitals are true and correct and are fully
8 incorporated herein by this reference.
9
10 Section 2. Zoning Map Amendment. That the Official Zoning Map of the City of
11 Cape Canaveral, as described in City of Cape Canaveral Code Section 110-246,is hereby amended
12 to include a change of classification from "C-1 Low Density Commercial" to "R-1 Low Density
13 Residential" for the real property depicted and legally described on Exhibit"A" which is attached
14 and incorporated herein by this reference. City staff is hereby directed to promptly amend the
15 City's Official Zoning Map upon the effective date of this Ordinance.
16
17 Section 3. City Clerk to Record Ordinance. Upon adoption and full execution of
18 this Ordinance by the City Council, the City Clerk is hereby directed to record this Ordinance in
19 the Official Records of Brevard County, Florida.
20
21 Section 4. Repeal of Prior Inconsistent Ordinances and Resolutions. All prior
22 inconsistent ordinances and resolutions adopted by the City Council, or parts of ordinances and
23 resolutions in conflict herewith, are hereby repealed to the extent of the conflict.
24
25 Section 5. Severability. If any section, subsection, sentence, clause,phrase,word or
26 provision of this Ordinance is for any reason held invalid or unconstitutional by any court of
27 competent jurisdiction,whether for substantive,procedural, or any other reason, such portion shall
28 be deemed a separate, distinct and independent provision, and such holding shall not affect the
29 validity of the remaining portions of this Ordinance.
30
31 Section 6. Effective Date. This ordinance shall become effective immediately
32 upon the effective date of Ordinance 01-2019 as adopted by the City Council of the City of
33 Cape Canaveral, Florida. If Ordinance 01-2019 does not become effective, then this Ordinance
34 shall become null and void.
35
36
37
38
39 [Adoption Page Follows]
40
41
42
City of Cape Canaveral
Ordinance No.02-2019
Page 2 of 3
I ADOPTED by the City Council of the City of Cape Canaveral, Florida, this 19th day of
2 February, 2019.
3
4
5
6
7 Bob Hoog,Mayor
8
9
10
11
12
13
14 ATTEST: For Against
15
16 Mike Brown
17
18 Mia Goforth, CMC Robert Hoog
19 City Clerk
20 Wes Morrison
21 Planning and Zoning Board Hearing:
22 December 13, 2018 Rocky Randels
23 First Hearing: January 15, 2019
24 Advertisement: February 7, 2019 Angela Raymond
25 Second Hearing: February 19, 2019
26
27
28
29 Approved as to legal form and sufficiency
30 for the City of Cape Canaveral only by:
31
32
33 Anthony A. Garganese, City Attorney
34
City of Cape Canaveral
Ordinance No.02-2019
Page 3 of 3
Ordinance No. 02-2019
Exhibit "A"
Location Map
8811 Sea Shell Lane
Legal Description
Parcels: 24-37-14-32-*-1 & 24-37-14-32-*-2 &
24-37-14-32-*-3
[City Seal]
City of Cape Canaveral
City Council Agenda Form
City Council Meeting Date: 02/19/2019
Item No. 5
Subject: Ordinance No. 05-2019; adopting the 2018 International Property Maintenance Code
as amended herein; providing for the repeal of prior inconsistent ordinances and resolutions;
incorporation into the Code; severability and an effective date, second reading.
Department: Community Development
Summary:At its August 22, 2018 Budget Workshop, City Council indicated interest in making
policy revisions to augment current code enforcement tools available to Staff, to include the
adoption of the most current edition of the International Property Maintenance Code (IPMC).
To this end, the City Attorney has prepared attached Ordinance No. 05-2019.
F.S. 163.3174 spells out responsibilities of the City's Planning&Zoning Board/Local Planning
Agency (P&Z)to include:
Review proposed land development regulations, land development codes, or
amendments thereto, and make recommendations to the governing body as to
the consistency of the proposal with the adopted comprehensive plan, or element
or portion thereof, when the local planning agency is serving as the land
development regulation commission or the local government requires review by
both the local planning agency and the land development regulation commission.
The City's Land Development Code is contained in Sections 82-115 of the City Code. As the
proposed revisions are to Section 82 of the City Code,they are subject to P&Z review as outlined
above.
The City is currently using the 1998 edition of the IPMC,which is no longer available on-line.
A new edition of the code is promulgated every 3 years. The latest edition came out in 2018
(Attachment 1)—making the City's regulations in excess of 20 years old.
The IPMC establishes minimum requirements for the maintenance of existing buildings through
model code regulations that contain clear and specific property maintenance and property
improvement provisions. The IPMC is intended to establish provisions that protect public health,
safety and welfare; that do not unnecessarily increase construction costs; that do not restrict the
use of new materials,products or methods of construction; and do not give preferential treatment
to particular types or classes of materials.
The following is a chapter-by-chapter synopsis of the scope and intent of the IPMC:
Chapter 1. Scope and Administration. Provisions for the application, enforcement and
administration of subsequent requirements of the code. In addition to establishing the scope of
the code, Chapter 1 identifies which buildings and structures come under its purview. Chapter
1 is largely concerned with maintaining "due process of law" in enforcing the property
maintenance criteria contained in the body of the code.
Chapter 2. Definitions. All terms defined in the code and listed alphabetically.
City Council Meeting
Date: 02/19/2019
Item No. 5
Page 2 of 4
Chapter 3. General Requirements. A variety of requirements for the exterior property areas as
well as interior and exterior elements of the structure. The requirements are intended to maintain
a minimum level of safety and sanitation for both the general public and the occupants of a
structure and to maintain a building's structural and weather-resistant performance. This chapter
provides specific criteria for regulating the installation and maintenance of specific building
components; maintenance requirements of vacant structures and land; requirements regulating
the safety, sanitation and appearance of the interior and exterior of structures and all exterior
property areas; accessory structures; vehicle storage and establishes who is responsible for
complying with the chapter's provisions. The chapter also contains the requirements for
maintaining swimming pools, spas and hot tubs and the requirements for protective barriers and
gates. The chapter establishes the responsible parties for exterminating insects and rodents and
maintaining sanitary conditions in all types of occupancies.
Chapter 4. Light,Ventilation and Occupancy Limitations. Sets forth minimum requirements for
occupiable and habitable buildings by establishing minimum criteria for light and ventilation
and identifying occupancy limitations including minimum room width and area, minimum
ceiling heights and restrictions to prevent overcrowding.
Chapter 5. Plumbing Facilities and Fixture Requirements. Establishes minimum criteria for the
installation, maintenance and location of plumbing systems and facilities, including the water
supply system, water heating appliances, sewage disposal systems and plumbing fixtures.
Sanitary and clean conditions in occupied buildings are dependent upon certain basic plumbing
principles,including the provision of potable water to a building,providing the basic fixtures to
effectively utilize the water and properly remove waste from the building.
Chapter 6. Mechanical and Electrical Requirements. Establishes minimum performance
requirements for heating, electrical and mechanical facilities and establishes minimum standards
for the safety of these facilities. Specifically, this chapter addresses minimum criteria for the
installation and maintenance of: heating and air-conditioning equipment, appliances and their
supporting systems; water heating equipment, appliances and systems; cooking equipment and
appliances; ventilation and exhaust equipment; gas and liquid fuel distribution piping and
components; fireplaces and solid fuel-burning appliances; chimneys and vents; electrical
services; lighting fixtures; electrical receptacle outlets; and electrical distribution system
equipment.
Chapter 7. Fire Safety Requirements. Addresses fire hazards that arise as the result of a
building's occupancy. It also provides minimum requirements for the safety issues that are most
likely to arise in older buildings.Further,it contains requirements for means of egress in existing
buildings, including path of travel,required egress width,means of egress doors and emergency
escape openings.
Chapter 8. Referenced Standards. A comprehensive list of all standards referenced in the code.
On June 21, 2005, Staff recommended City Council adopt the 2003 edition of the IPMC.
However, Council failed to take any action on the recommendation. On December 15, 2009,the
City Council discussed updating the City's use of the 1989 edition to the 2009 code. At that
time, Council directed Staff to review the 2009 edition to ensure there were no conflicts with
City Council Meeting
Date: 02/19/2019
Item No. 5
Page 3 of 4
other City codes and to survey other Brevard cities' use of the IPMC. At its May 4, 2010
meeting, the Council directed the City Attorney to draft an ordinance to adopt the 2009 edition
of the IPMC. The Draft,which was completed the following month,never came back to Council
for consideration.
The City has local discretion to adopt all, none or parts of the IPMC. The IPMC is fully
compatible and consistent with the Florida Building Code and other International Codes. The
proposed Ordinance (Attachment 2) recommends several revisions to the IPMC template,
notably:
1. References to the Board of Appeals in the IPMC shall refer to and mean an appointed
special magistrate;
2. When there is a conflict between a general requirement and a specific requirement, the
specific requirement shall govern. Where differences between provisions of the IPMC
and referenced standards, the IPMC provisions shall apply;
3. Provisions of the IPMC shall not be construed to cancel, modify or set aside any
provision of the Florida Building Code,Florida Fire Prevention Code or other applicable
requirements of local, state or federal law;
4. The Community Development Department including the Building and Code
Enforcement Divisions, and the Fire Marshall shall be responsible for enforcing the
IPMC;
5. Section 107.3,Method of Service, is replaced in its entirety as indicated in Paragraph(8)
of the proposed Ordinance; and
6. Establishes a fine of$500.00 for each day a person is in violation of a stop work order.
At its December 13, 2018 regular meeting, the Planning & Zoning Board recommended City
Council adopt the proposed Ordinance. City Council approved Ordinance No. 05-2019 on first
reading at its January 15, 2019 Meeting. However, the following technical and clarifying
amendments to Section 82-221 (b)were made by the City Attorney after First Reading based on
the Council's discussion:
1. Added the following: The primary special magistrate shall be appointed by the city
council. However, the city manager shall have the authority to appoint secondary and
alternate special magistrates on an as needed basis in situations when the primary special
magistrate has a conflict of any kind; is unavailable on account of illness, disability or
death; or the city's case load temporarily requires an additional special magistrate to
handle cases in a timely manner.
2. Clarified that the special magistrate shall have the power to adopt administrative rules
for the efficient conduct of hearings.
3. Although the special magistrate will also be governed by contract, clarified as a baseline
rule that the special magistrate may be terminated by the city council or city manager,
with or without cause.
A Notice of Hearing was advertised in Florida Today on February 7, 2019.
Submitting Department Director: David Dickey Date: 2/6/19
City Council Meeting
Date: 02/19/2019
Item No. 5
Page 4 of 4
Attachments:
1. IPMC—2018 Edition
2. Ordinance No. 05-2019
Financial Impact: Advertisement,codification and Staff time and effort to prepare this Agenda
Item.
Reviewed by Administrative/Financial
Services Director: John DeLeo Date: 2/6/19
The City Manager recommends that City Council take the following action:
Adopt Ordinance No. 05-2019 on second reading.
Approved by City Manager: David L. Greene Date: 2/6/19
Attachment 1
2 0 1 8
INTERNATIONAL CODES
IPMC
A Member of the International Code Family
INTERNATIONAL
PROPERTY MAINTENANCE CODE
To View the Entire Code, please visit: https://codes.iccsafe.org/content/IPMC2018P2
Attachment 2
1 ORDINANCE NO. 05-2019
2
3 AN ORDINANCE OF THE CITY OF CAPE CANAVERAL,
4 FLORIDA, ADOPTING THE 2018 INTERNATIONAL
5 PROPERTY MAINTENANCE CODE AS AMENDED
6 HEREIN; PROVIDING FOR THE REPEAL OF PRIOR
7 INCONSISTENT ORDINANCES AND RESOLUTIONS;
8 INCORPORATION INTO THE CODE; SEVERABILITY
9 AND AN EFFECTIVE DATE.
10
11
12 WHEREAS, the City is granted the authority, under § 2(b), Art. VIII of the State
13 Constitution, to exercise any power for municipal purposes, except when expressly prohibited by
14 law; and
15
16 WHEREAS, this Ordinance is also adopted pursuant to the City's general police powers
17 inherent in enforcing minimum standards for the use and maintenance of buildings and property;
18 and
19
20 WHEREAS,there may exist within the City, from time to time, certain structures used for
21 human habitation which are, or may become in the future, substandard with respect to structure,
22 equipment or maintenance; and
23
24 WHEREAS, such conditions, together with inadequate provision for light and air,
25 insufficient protection against fire hazards, lack of proper heating, unsanitary conditions and
26 overcrowding constitute a menace to the health, safety, morals, welfare and reasonable comfort of
27 the citizens of Cape Canaveral; and
28
29 WHEREAS, the existence of such conditions will, if not remedied, create slum and
30 blighted areas which could require large-scale clearance, deterioration of social values, a
31 curtailment of investment and tax revenue and thereby an impairment upon economic values; and
32
33 WHEREAS,the City Council hereby finds that updating of the City's regulations relating
34 to the adoption of specific property maintenance standards will improve, preserve, maintain and
35 upgrade the entire City and its neighborhoods to the overall benefit of the City's economic and
36 environmental well-being; and
37
38 WHEREAS, the City Council of the City of Cape Canaveral, Florida, hereby finds this
39 Ordinance to be in the best interests of the public health, safety and welfare of the citizens of Cape
40 Canaveral.
41
42 NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF CAPE
43 CANAVERAL HEREBY ORDAINS,AS FOLLOWS:
44
45 Section 1. Recitals. The foregoing recitals are hereby fully incorporated herein by
City of Cape Canaveral
Ordinance No. 05-2019
Page 1 of 7
1 reference as legislative findings of the City Council of Cape Canaveral.
2
3 Section 2. Code Amendment. The City of Cape Canaveral Code Article IX is
4 hereby amended to include the 2018 International Property Maintenance Code as follows
5 (underlined type indicates additions to the Code):
6
7 Article IX. International Property Maintenance Code.
8
9 Sec. 82-221. International Property Maintenance Code adopted.
10
11 The International Property Maintenance Code, 1998 2018 edition, as published by the
12 International Code Council (hereinafter referred to as the "IPMC" or this "code"), is hereby
13 adopted by reference and incorporated herein as if fully set out. Section 101.1 of the IPMC is
14 amended to state that Section 82.221 of the City Code shall be known as the"International Property
15 Maintenance Code of the City of Cape Canaveral, Florida."
16
17 fib)) One or more special magistrates appointed by the city council or city manager shall be
18 authorized to hear and decide appeals pursuant to the section 111 of the IPMC. The primary
19 special magistrate shall be appointed by the city council. However, the city manager shall have
20 the authority to appoint secondary and alternate special magistrates on an as needed basis in
21 situations when the primary special magistrate has a conflict of any kind;is unavailable on account
22 of illness, disability or death; or the city's case load temporarily requires an additional special
23 magistrate to handle cases in a timely manner. Appeal hearings shall be publicly noticed and held
24 within 30 days of filing an appeal or at such other time required by the city manager in order to
25 afford due process or address scheduling conflicts. Special magistrates shall be members of the
26 Florida Bar in good standing for five or more years. Special magistrates must demonstrate
27 satisfactory knowledge of municipal law and the general procedures for enforcement of municipal
28 codes, and must demonstrate a temperament suitable for the exercise of quasi-judicial powers
29 vested in each special magistrate. Consistent with the city code and other applicable law, special
30 magistrates shall also have the power to adopt administrative rules for the efficient conduct of
31 hearings; subpoena alleged violators and witnesses for hearings and said subpoenas shall be served
32 by the county sheriff, a process server, or the city staff; subpoena evidence deemed relevant to
33 hearings; take testimony under oath; assess and order the payment of civil penalties as provided
34 under this code; issue orders having the force of law to command whatever steps are necessary to
35 bring a violation into compliance. Special magistrates shall not be city employees or officers. The
36 city manager shall be responsible for negotiating and executing a contract on behalf of the city
37 with the special magistrate and the special magistrate may be terminated by the city council or city
38 manager, with or without cause, and compensated at a rate to be agreed upon in the contract. The
39 contract will be in a form prepared and approved by the City Attorney.
40 _The Construction Board of Adjustment and Appeals shall serve as the Property Maintenance
41 Board of Adjustment and Appeals for this article.
42
43 (c) The following sections of the IPMC are hereby revised or deleted as follows:
44
City of Cape Canaveral
Ordinance No. 05-2019
Page 2 of 7
1 (1) That references to the board of appeals in the IPMC shall refer to and mean the special
2 magistrate appointed pursuant to subsection (b). A special magistrate shall not hear an appeal in
3 which that magistrate has a personal,professional or financial interest or conflict. The city manager
4 shall designate a qualified person to serve as secretary to the special magistrate. The secretary
5 shall provide administrative assistance for, and maintain a detailed record of, all proceedings of
6 the special magistrate. Further, sections 111.2, 111.2.1, 111.2.2, 111.2.5 and 111.3 of the IPMC
7 are hereby deleted.
8
9 (2) Section 102.1, entitled General, is hereby replaced in its entirety as follows:
10
11 Where there is a conflict between a general requirement and a specific requirement, the specific
12 requirement shall govern. Where differences occur between provisions of this code and the
13 referenced standards, the provisions of this code shall apply. Where, in a specific case, different
14 sections of this code specify different requirements or specify different requirements set forth in
15 other applicable provisions of the city code, the most restrictive requirement shall govern.
16
17 (3) Section 102.3, entitled Application of other codes, is hereby replaced in its entirety as
18 follows:
19
20 Repairs, additions or alterations to a structure, or changes of occupancy, shall be done in
21 accordance with the procedures and provisions of the City Code, Florida Building Code, Florida
22 Fire Prevention Code and other codes adopted by the city, and such codes shall apply, when
23 deemed applicable by the code official, in lieu of any international or national code referenced in
24 the IPMC. Nothing in this code shall be construed to cancel, modify or set aside any provision of
25 the Florida Building Code,Florida Fire Prevention Code or other applicable requirements of local,
26 state or federal law. Where terms are not defined in this code and are defined in said other codes,
27 such terms shall have the meanings ascribed to them as stated in those codes. In addition, the
28 code officials are hereby also authorized to rely upon commonly accepted industry standards
29 promulgated by other professional organizations that are used to provide requirements for
30 materials and methods of construction provided such standards do not conflict with or are
31 prohibited by local, state or federal law.
32
33 (4) Section 102.7, entitled Referenced codes and standards, is hereby deleted in its entirety.
34 Further, Chapter 8 is hereby deleted in its entirety.
35
36 (5) That Sections 103.1, 103.2, 103.3, and 103.5 are hereby deleted. The community
37 development department including the building division and code enforcement division and fire
38 marshal shall be responsible for enforcing this code under the general supervision of the city
39 manager. The community development director,building official,fire marshal, code enforcement
40 officers and such other qualified persons appointed by the city manager shall be deemed code
41 officials under the IPMC.
42
43 (6) That the last sentence in Section 104.3, entitled Right of entry, is hereby revised to read as
44 follows: "If entry is refused or not obtained, the code official shall have recourse to the remedies
45 provided by law to secure entry."
City of Cape Canaveral
Ordinance No. 05-2019
Page 3 of 7
1
2 (7) That Section 106.1, entitled Unlawful acts, is hereby replaced in its entirety with the
3 following:
4
5 It shall be unlawful for any person, corporation, or other entity to be in violation of any provision
6 of this IPMC. Violations shall constitute a public nuisance and shall be deemed a strict liability
7 offense.
8
9 (8) That Section 107.3, entitled Method of service, is hereby replaced in its entirety with the
10 following:
11
12 All notices required in the IPMC shall be provided to the alleged violator by certified mail, return
13 receipt requested; by hand delivery by the sheriff or law enforcement officer of the city, code
14 official, or other person designated by the city manager; or by leaving the notice at the violator's
15 usual place of residence with any person residing therein who is above 15 years of age and
16 informing such person of the contents of the notice. In the case of commercial premises, leaving
17 the notice with the manager or other person in charge.
18
19 In addition to providing notice as set forth above, at the option of the special magistrate or the code
20 official, notice may also be served by publication or posting as follows:
21
22 1. Such notice shall be published once during each week for four consecutive weeks, with
23 four publications being sufficient, in a newspaper of general circulation in the city. The
24 newspaper shall meet such requirements as are prescribed under Chapter 50, Florida
25 Statutes, for legal and official advertisements.
26
27 2. Proof of publication shall be made as provided in §§ 50.041 and 50.051, Florida
28 Statutes.
29
30 3. In lieu of publication as described in subsection 1. above, such notice may be posted
31 for at least ten days in at least two locations, one of which shall be the property upon which
32 the violation is alleged to exist and the other of which shall be at city hall. Proof of posting
33 shall be by affidavit of the person posting the notice, which affidavit shall include a copy
34 of the notice posted and the date and places of its posting.
35
36 4. Notice by publication or posting may run concurrently with, or may follow, an attempt
37 to provide notice by hand delivery or by mail as required under this subsection.
38
39 5. Evidence that an attempt has been made to hand deliver or mail notice as provided in
40 this subsection together with proof of publication or posting as provided in this subsection
41 shall be sufficient to show that the notice requirement, of this part has been met, without
42 regard to whether or not the alleged violator actually received the notice.
43
44 (9) That Section 109.5, entitled Cost of Emergency Repairs, is hereby replaced in its entirety
45 with the following:
City of Cape Canaveral
Ordinance No. 05-2019
Page 4 of 7
1
2 109.5 Cost of Emergency and other Repairs. The city manager is authorized to expend funds in
3 the performance of emergency repairs and other remedial work required of the city under this code.
4 If emergency repairs or other remedial work is performed by the city, any expenses incurred by
5 the city to make said repairs or perform such work including, but not limited to, contractor and
6 material costs, administrative overhead, attorney's fees, and other related costs shall be subject to
7 reimbursement from the property owner or the person creating the need for the emergency repair
8 or remedial work and the cost incurred by the City may be recovered and the city may impose a
9 lien upon said property for said costs. The lien shall be superior to all other liens or
10 encumbrances, including prior recorded mortgages or judgments and only inferior to liens for
11 taxes. In the event the owner or person creating the need for emergency repairs, fails and refuses
12 to pay or reimburse the City for the costs, then in that event, the City is authorized to foreclose
13 said lien in accordance with the provisions as provided for by law for foreclosure of municipal
14 liens, and the City may recover its reasonable attorney's fees and costs.
15
16 (10) That Section 110.3, entitled Failure to Comply, is hereby replaced in its entirety with the
17 following:
18
19 110.3 Failure to Comply. If the owner of a premises fails to comply with a demolition order
20 within the time prescribed, the code official shall cause the structure to be demolished and
21 removed, either through an available public agency or through contract, or arrangement with
22 private persons, and the cost of such demolition and removal shall be charged against the real
23 estate from which the structure is located and a lien shall be imposed against said property. The
24 lien shall be superior to all other liens or encumbrances, including prior recorded mortgages or
25 judgments and only inferior to liens for taxes. In the event the City finds it necessary to foreclose
26 said lien, the City is entitled to recover its reasonable attorney's fees and costs for foreclosing said
27 lien and the foreclosure procedure shall be as authorized by law for foreclosure of municipal liens
28
29 (11) That Section 112.4 is revised to require a fine of$500.00 for each day that a person is in
30 violation of a stop work order.
31
32 (12) That Section 201.3 is hereby deleted in its entirety.
33
34 (13) That Section 303.2, entitled Enclosures, is hereby replaced in its entirety with the
35 following:
36
37 Private swimming pools, hot tubs, and spas shall be enclosed in accordance with chapter 515,
38 Florida Statutes, and the Florida Building Code.
39
40 (14) That Section 302.4 weeds is hereby revised to insert in excess of twelve (12) inches.
41 Further, the noxious weeds shall include all plants which are strictly prohibited by Section 102.53
42 of the City Code.
43
44 (15) That Section 304.14 is hereby revised to delete the preface in the first sentence, "During
45 the period from [Date] to [Date],"
City of Cape Canaveral
Ordinance No. 05-2019
Page 5 of 7
1
2 (16) That Sections 602.3 and 602.4 are hereby revised to insert heat supply during the period
3 from November 30th to March 30th.
4
5 (17) That Section 606.1 is hereby replaced in its entirety with the following:
6
7 Elevators, dumbwaiters and escalators shall be maintained in compliance with the Florida Building
8 Code. The most current certificate of inspection shall be on display at all times within the elevator
9 or attached to the escalator or dumbwaiters, be available for public inspection in the office of the
10 building operator or be posted in a publicly conspicuous location approved by the code official.
11 The inspection and tests shall be performed at not less than the periodic intervals listed in the
12 Florida Building Code and Chapter 399, Florida Statutes.
13
14 (d) Nothing contained in this section shall prohibit the city from enforcing its code by any
15 other means including, but not limited to, a summons, an arrest, a notice to appear, civil action for
16 injunctive relief, a stop work order or demolition. The enforcement procedures outlined in this
17 section are cumulative to all others and shall not be deemed to be prerequisites to filing suit for the
18 enforcement of any section of the IPMC.
19
20 Section 3. Repeal of Prior Inconsistent Ordinances and Resolutions. All prior
21 inconsistent ordinances and resolutions adopted by the City Commission, or parts of prior
22 ordinances and resolutions in conflict herewith, are hereby repealed to the extent of the conflict.
23
24 Section 4. Incorporation Into Code. This Ordinance shall be incorporated into the
25 Cape Canaveral City Code and any section or paragraph, number or letter, and any heading may
26 be changed or modified as necessary to effectuate the foregoing. Grammatical, typographical
27 and like errors may be corrected and additions, alterations and omissions, not affecting the
28 construction or meaning of this Ordinance and the City Code, may be freely made.
29
30 Section 5. Severability. If any section, subsection, sentence, clause, phrase, word or
31 provision of this ordinance is for any reason held invalid or unconstitutional by any court of
32 competent jurisdiction, whether for substantive, procedural or any other reason, such portion shall
33 be deemed a separate, distinct and independent provision, and such holding shall not affect the
34 validity of the remaining portions of this ordinance.
35
36 Section 6. Enforcement and Appeals Pending Appointment of Special Magistrate.
37 Upon the effective date of this Ordinance, code officials may commence enforcement of the 2018
38 edition of the IPMC. However, until such time that a special magistrate is initially appointed in
39 accordance with Section 82-221(b) of the City Code adopted herein, the Code Enforcement Board
40 shall serve in the capacity as the special magistrate for purposes of conducting any appeal hearing
41 required under the 2018 edition of the IPMC.
42
43 Section 7. Effective Date. This Ordinance shall become effective immediately
44 upon adoption by the City Council of the City of Cape Canaveral,Florida, and pursuant to the City
45 Charter.
City of Cape Canaveral
Ordinance No. 05-2019
Page 6 of 7
I ADOPTED by the City Council of the City of Cape Canaveral, Florida, in a regular
2 meeting assembled on the 19th day of February, 2019.
3
4
5
6
7 Bob Hoog, Mayor
8
9
10 ATTEST: For Against
11
12 Mike Brown
13
14 Mia Goforth, CMC Robert Hoog
15 City Clerk
16 Wes Morrison
17
18 First Hearing: January 15, 2019 Rocky Randels
19 Advertisement: February 7, 2019
20 Second Hearing: February 19, 2019 Angela Raymond
21
22
23 Approved as to legal form and sufficiency
24 for the City of Cape Canaveral only by:
25
26
27 Anthony A. Garganese, City Attorney
28
City of Cape Canaveral
Ordinance No. 05-2019
Page 7 of 7
[City Seal]
City of Cape Canaveral
City Council Agenda Form
City Council Meeting Date: 02/19/2019
Item No. 6
Subject: Ordinance No. 06-2019; relating to the State Revolving Fund Program; pursuant to
Section 2.12(5) of the City Charter authorizing one or more loan applications to be filed with
the State of Florida Department of Environmental Protection in a total amount not to exceed six
million five hundred thousand dollars for purposes of funding certain wastewater and
stormwater improvement projects; authorizing the loan agreement(s); establishing pledged
revenues; designating authorized representatives;providing assurances;providing for the repeal
of prior inconsistent ordinances and resolutions, severability and an effective date; first reading.
Department: Capital Projects
Summary: The City completed payment on two State Revolving Fund (SRF) Program loans
with Florida Department of Environmental Protection (FDEP) in January and October 2016.
Moneys from these two SRF Program loans (combined total of approximately eight million
dollars) were used to finance upgrades to the Water Reclamation Facility (WRF) beginning in
1996; these upgrades were the first large-scale improvements to the WRF since initial
construction in 1966.
The City obtained an additional SRF Program loan in the amount of approximately eight million
dollars in 2013. Projects completed with this funding included:
• Construction of a 2.5-million gallon reclaimed water tank;
• Installation of an additional belt press with extensive building expansion;
• Rebuild(complete) of the oxidation ditch and conversion of the equalization tank into a
backup oxidation ditch system;
• Replacement of the gravity sewer pipe along Holman Road;
• Replacement of the gravity sewer pipe from Holman Road to Lift Station No. 2; and
• Extensive repairs to the stormwater pipe along West Central Boulevard.
Obtaining this SRF Program loan allowed for the City's Enterprise Capital Fund to be used for
other major improvement projects such as:
• North Atlantic Avenue Streetscape Project;
• City Park Exfiltration Project;
• Replacement of Force Main No. 3;
• Replacement of Lift Station Nos. 6 and 7; and
• Banana River shoreline improvements at the WRF,Manatee Sanctuary Park and Banana
River Park.
This SRF Program loan will be paid in full in 2038 with semi-annual payments of$249,230.
Proposed Additional SRF Loan. In order to provide adequate funds to (1) improve several
processes at the WRF, (2)replace/rehab equipment that is approaching (or is past)its estimated
life span, (3)construct numerous collections system improvement projects and(4)purchase land
for use as a stormwater park, Staff is recommending the City enter into one or more loan
agreement(s) with FDEP for approximately six and one-half million dollars from the SRF
Program. These funds will be used to construct nine capital improvement projects. There are
numerous benefits to obtaining an additional SRF Program loan(s) at this time including the
following:
City Council Meeting
Date: 02/19/2019
Item No. 6
Page 2 of 2
• SRF Program loan interest rate for engineering design is not expected to exceed a
maximum of 2.9% (20-year term);
• SRF Program loan interest rate for construction is not expected to exceed a maximum
of 1.9% (20-year term);
• Deferred maintenance and outdated equipment has caused a backlog of wastewater-
related improvement proj ects;
• WRF equipment is nearing its estimated maximum life span;
• New/updated infrastructure will improve services to residents;
• Opportunity is available to obtain property for a strategically-located stormwater
detention pond;
• Proposed capital improvement projects support the Visioning Process; and
• Proposed capital improvement projects are energy-efficient, benefit the environment
(Banana River) and contribute to the overall sustainability of the City.
If approved, preconstruction moneys for engineering design fees and other preliminary tasks
will be available to the City in mid-2019. A Construction Loan Application will then be
submitted to obtain construction project funds. Ordinance No. 06-2019 is included as
Attachment#1; a tentative SRF Program Project Summary is included as Attachment#2.
Submitting Department Director: Jeff Ratliff Date: 2/11/19
Attachments:
#1- Ordinance No. 06-2019
#2 - SRF Program Project Summary
Financial Impact: The $6.5M SRF Loan will be funded by Wastewater and Stormwater
Enterprise Funds. Staff time and effort to prepare this Agenda Item.
Reviewed by Administrative/Financial
Services Director: John DeLeo Date: 2/8/19
The City Manager recommends that City Council take the following action:
Approve Ordinance No. 06-2019, first reading.
Approved by City Manager: David L. Greene Date: 2/11/19
Attachment 1
1 ORDINANCE NO. 06-2019
2
3 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CAPE
4 CANAVERAL, BREVARD COUNTY, FLORIDA; RELATING TO THE
5 STATE REVOLVING FUND PROGRAM; PURSUANT TO SECTION
6 2.12(5) OF THE CITY CHARTER AUTHORIZING ONE OR MORE LOAN
7 APPLICATIONS TO BE FILED WITH THE STATE OF FLORIDA
8 DEPARTMENT OF ENVIRONMENTAL PROTECTION IN A TOTAL
9 AMOUNT NOT TO EXCEED SIX MILLION FIVE HUNDRED
10 THOUSAND DOLLARS FOR PURPOSES OF FUNDING CERTAIN
11 WASTEWATER AND STORMWATER IMPROVEMENT PROJECTS;
12 AUTHORIZING THE LOAN AGREEMENT(S); ESTABLISHING
13 PLEDGED REVENUES; DESIGNATING AUTHORIZED
14 REPRESENTATIVES; PROVIDING ASSURANCES; PROVIDING FOR
15 THE REPEAL OF PRIOR INCONSISTENT ORDINANCES AND
16 RESOLUTIONS, SEVERABILITY AND AN EFFECTIVE DATE.
17
18 WHEREAS,the City is granted the authority,under Section 2(b), Article VIII, of the State
19 Constitution, to exercise any power for municipal purposes, except when expressly prohibited by
20 law; and
21
22 WHEREAS, Florida Statutes provide for loans to local government agencies to finance
23 the planning,design and construction of water pollution control facilities; and
24
25 WHEREAS,Florida Administrative Code rules require authorization to apply for loans; to
26 establish pledged revenues; to designate an authorized representative; to provide assurances of
27 compliance with loan program requirements; and to enter into loan agreements; and
28
29 WHEREAS,the State Revolving Fund (SRF) Program loan priority list designates Project
30 Number WW05053 as eligible for available funding; and
31
32 WHEREAS, the City of Cape Canaveral, Florida, intends to enter into one or more loan
33 agreements with the Department of Environmental Protection (hereinafter referred to as the
34 "Department")under the SRF Program for project financing; and
35
36 WHEREAS, the City Council of the City of Cape Canaveral, Florida, hereby finds this
37 Ordinance to be in the best interests of the public health, safety and welfare of the citizens of Cape
38 Canaveral.
39
40 NOW, THEREFORE, BE IT ENACTED BY THE CITY COUNCIL OF THE CITY
41 OF CAPE CANAVERAL,BREVARD COUNTY,FLORIDA,AS FOLLOWS:
42
43 Section 1. Recitals. The foregoing recitals are hereby fully incorporated herein by this
44 reference as legislative findings and the intent and purpose of the City Council of the City of Cape
45 Canaveral.
City of Cape Canaveral
Ordinance No.06-2019
Page 1 of 4
1 Section 2. Legal Authority. The legal authority for borrowing moneys to construct the
2 projects is established in Chapter 166, Florida Statutes and Section 2.12(5) of the Cape Canaveral
3 Charter.
4
5 Section 3. Authorization. The City Council of the City of Cape Canaveral hereby
6 authorizes City staff, on behalf of the City, to apply for one or more State of Florida revolving
7 loans for water pollution control in the amount of approximately Six Million Five Hundred
8 Thousand and No/100 Dollars ($6,500,000.00) to finance the preconstruction activities and
9 construction of certain wastewater and stormwater improvements (hereinafter"Loan").
10
11 Section 4. Establishing Pledged Revenues. The revenues pledged for the repayment of
12 the Loan(s) are net sewer and stormwater utility system revenues after payment of operating and
13 maintenance expenses of the systems and of debt service on any previous SRF loans of the City.
14
15 Section 5. Description of Loan(s) and any Associated Notes. The Loan(s) and any
16 associated Note(s) shall be dated the date of its execution and delivery,which shall be a date agreed
17 upon by the City and the Department, subject to the following terms:
18
19 (A) Construction Loan Interest Rate. The interest rate shall have a fixed interest rate not to
20 exceed 1.9% for construction loans and a fixed interest rate not to exceed 2.9% for planning and
21 design loans, subject to adjustment upon the occurrence of certain non or late payment events as
22 expressly provided in the Loan(s) and any associated Note(s).
23
24 (B) Principal and Interest Payment Dates. Principal and interest payments shall be made in
25 accordance with the terms and conditions approved by the City Manager in the Loan
26 Application(s).
27
28 (C) Form of any Notes. Any Note(s) required by the lender shall be in form approved by
29 the City Manager and City Attorney consistent with the terms and conditions of this Ordinance.
30
31 Section 6. Designation of City's Lead Authorized Representative. The City Council of
32 the City of Cape Canaveral hereby designates the City Manager as the City's lead authorized
33 representative to provide the assurances and commitments required by the loan application(s) and
34 delegate responsibility to appropriate City staff to execute disbursement requests, carry out
35 technical, financial and administrative activities associated with the Loan Agreement(s).
36
37 Section 7. Limitation of Rights. With the exception of any rights herein expressly
38 conferred, nothing expressed or mentioned in or to be implied from this Ordinance or any notes
39 executed in furtherance of this Ordinance are intended or shall be construed to give to any person
40 other than the City and the Department any legal or equitable right, remedy or claim under or with
41 respect to this Ordinance or any covenants, conditions and provisions herein contained; this
42 Ordinance and all of the covenants, conditions and provisions hereof being intended to be and
43 being for the sole and exclusive benefit of the City and the Department.
44
45 Section 8. General Authority. The Mayor, City Manager, Assistant City Manager, City
46 Attorney, and Finance Director of the City, or any of them, are hereby authorized, in connection with
47 the Loan(s) and to do all things and to take any and all actions on behalf of the City; to execute
City of Cape Canaveral
Ordinance No.06-2019
Page 2 of 4
1 and deliver any notes and documents; to provide disclosures concerning the City; and to finalize
2 and close the transactions specified in all such agreements or arrangements (including any
3 amendments or modifications thereof), including, without limitation, the execution and delivery
4 of any and all documents and instruments deemed appropriate by any of such officers, and the
5 making of any appropriate statements, representations, certifications and confirmations on behalf
6 of the City, and in their respective capacities as officers thereof, necessary, appropriate or
7 convenient to effectuate and expedite the consummation of the transactions specified herein, and
8 any and all of the covenants, agreements and conditions of the City; the approval of the City and
9 all corporate power and authority for such actions to be conclusively evidenced by the execution
10 and delivery thereof by any of such officers.
11
12 Section 9. Execution and Authentication of Loan(s). The Loan(s), and any
13 associated Note(s), shall be executed in the name of the City by its Mayor and the corporate seal
14 of the Issuer or a facsimile thereof shall be affixed thereto or reproduced thereon and attested by
15 its City Clerk. The authorized signatures for the Mayor and City Clerk shall be either manual or
16 in facsimile. Any Loan(s) and associated Note(s) may be signed and sealed on behalf of the City
17 by such person as at the actual time of the execution of such Loan(s) and associated Note(s)
18 shall hold the proper office, although at the date of such Loan(s) and associated Note(s) such
19 person may not have held such office or may not have been so authorized.
20
21 Section 10. Application of Proceeds. Proceeds received by the City from the Loan(s)
22 shall be used to pay the costs incurred by the City for the preconstruction activities and
23 construction of certain wastewater and stormwater improvements authorized by Section 3 of this
24 Ordinance.
25
26 The City Manager shall establish and create funds and accounts to maintain the
27 loan proceeds and such funds and accounts shall be considered trust funds for the purpose
28 provided herein for such funds. Moneys on deposit to the credit of all funds and accounts created
29 hereunder may be invested pursuant to applicable law and the City's written investment
30 policy and shall mature not later than the dates on which such moneys shall be needed to make
31 payments in the manner herein provided. The securities so purchased as an investment of funds
32 shall be deemed at all times to be a part of the account from which the said investment was
33 withdrawn, and the interest accruing thereon and any profit realized therefrom shall be credited
34 to such fund or account, except as expressly provided in this Ordinance, and any loss resulting
35 from such investment shall likewise be charged to said fund or account.
36
37 Section 11. Payment of Principal and Interest; Limited Obligation. The City
38 promises that it will promptly pay the principal of and interest on the Loan(s) at the place, on the
39 dates and in the manner provided therein according to the true intent and meaning hereof and
40 thereof. The Loan(s) shall be secured by a pledge of and lien upon the Pledged Revenues in the
41 manner and to the extent described herein. The Loan(s) shall not be or constitute general
42 obligations or indebtedness of the City as a "bond" within the meaning of Article VII,
43 Section 12 of the Constitution of Florida, but shall be payable solely from the Pledged
44 Revenues in accordance with the terms hereof. No holder of the Loan(s) issued hereunder shall
45 ever have the right to compel the exercise of any ad valorem taxing power or the use of ad
46 valorem tax revenues to pay such Loan(s), or be entitled to payment of such Loan(s) from any
47 funds of the City except from the Pledged Revenues as described herein.
City of Cape Canaveral
Ordinance No.06-2019
Page 3 of 4
I Section 12.Tax Covenant.The City covenants to the Department of the proceeds provided
2 for in this Ordinance that the City will not make any use of the proceeds received hereunder any
3 time during the term of the Loan(s) which, if such use had been reasonably expected on the date
4 the Loan(s) was issued, would have caused such Loan(s) to be an "arbitrage bond" within the
5 meaning of the Internal Revenue Code. The City will comply with the requirements of the Internal
6 Revenue Code and any valid and applicable rules and regulations promulgated thereunder
7 necessary to ensure, to the extent applicable, the exclusion of interest on the Loan(s)from the gross
8 income of the holders of the Loan(s)thereof for purposes of federal income taxation.
9
10 Section 13. Repeal of Prior Inconsistent Ordinances and Resolutions. All prior
11 inconsistent ordinances and resolutions adopted by the City Council, or parts of prior ordinances
12 and resolutions in conflict herewith, are hereby repealed to the extent of the conflict.
13
14 Section 14. Not Incorporated into Code. This Ordinance shall not be incorporated into
15 the Cape Canaveral City Code.
16
17 Section 15. Severability. If any section, subsection, sentence, clause, phrase, word or
18 provision of this Ordinance is for any reason held invalid or unconstitutional by any court of
19 competent jurisdiction, whether for substantive, procedural or any other reason, such portion shall
20 be deemed a separate, distinct and independent provision, and such holding shall not affect the
21 validity of the remaining portions of this Ordinance.
22
23 Section 16. Effective Date. This Ordinance shall become effective immediately upon
24 adoption by the City Council of the City of Cape Canaveral, Florida.
25
26 ADOPTED by the City Council of the City of Cape Canaveral, Florida, this day of
27 , 2019.
28
29
30 Bob Hoog,Mayor
31
32 ATTEST: Name FOR AGAINST
33
34 Mike Brown
35
36 Mia Goforth, CMC, Bob Hoog
37 City Clerk
38 Wes Morrison
39 First Reading: February 19, 2019
40 Advertisement: Rocky Randels
41 Second Reading:
42 Angela Raymond
43 Approved as to legal form and sufficiency
44 for the City of Cape Canaveral only by:
45
46
47 Anthony A. Garganese, City Attorney
City of Cape Canaveral
Ordinance No.06-2019
Page 4 of 4
Attachment 2
Proposed SRF Projects and Estimated Costs
Engineering Technical Construction Scheduled Fiscal
Project Costs* Services Costs* Costs** Year
Intermediate Lift Station Rehab $39,100 $30,400 $355,000 19/20-20/21
WWTP SCADA System Improvements $75,300 $58,600 $960,000 19/20-20/21
Rehab Lift Station No. 3 $25,000 $19,400 $320,000 19/20-20/21
Replace Force Main No. 7 $26,400 $20,500 $340,000 19/20-20/21
Effluent/Influent Disk/Drum Filters $106,000 $82,400 $1,350,000 19/20-20/21
Construct Pump and SO2 Buildings $96,000 $74,700 $1,225,000 19/20-20/21
Subtotal(FY18/19- 19/20) $367,800 $286,000 $4,550,000
Rehab Lift Station No. 8 $29,600 $23,000 $380,000 20/21 -21/22
Relocate Lift Station No. 5 $49,600 $38,600 $475,000 20/21 -21/22
Center Street Stormwater Park(Land purchase only) $3,000 $2,400 $295,000 20/21 -21/22
Subtotal(FY19/20-20/21) $82,200 $64,000 $1,150,000
Grand Total $450,000 $350,000 $5,700,000
$6,500,000
* -From 2019 draft Facilities Plan
** -From 2019 draft Facilities Plan and includes 20% contingency.
[City Seal]
City of Cape Canaveral
City Council Agenda Form
City Council Meeting Date: 02/19/2019
Item No. 7
Subject: Ordinance No. 07-2019; relating to the State Revolving Fund Program; pursuant to
Section 2.12(5) of the City Charter amending Ordinance No. 01-2013 to increase the total
authorized loan amount by an additional eight hundred thousand dollars for purposes of funding
certain pending wastewater and stormwater improvement projects; providing for the full force
and effect of Ordinance No. 01-2013 as amended herewith, repeal of prior inconsistent
ordinances and resolutions, severability and an effective date; first reading.
Department: Capital Projects
Summary: The City completed payment on two State Revolving Fund (SRF) Program loans
with Florida Department of Environmental Protection (FDEP) in January and October 2016.
Moneys from these two SRF Program loans (combined total of approximately eight million
dollars) were used to finance upgrades to the Water Reclamation Facility (WRF) beginning in
1996; these upgrades were the first large-scale improvements to the WRF since initial
construction in 1966.
The City obtained an additional SRF Program loan in an amount not to exceed eight million
dollars in 2013 to fund both engineering design and construction costs. Obtaining the SRF
Program loan allowed for the City's Enterprise Capital Fund to be used for other major
improvement projects and routine maintenance tasks.Projects completed with this SRF Program
loan and benefits to the City included:
• Construction of a 2.5-million gallon reclaimed water tank — increased storage and
availability of reclaimed water to residents;
• Installation of an additional belt press with extensive building expansion—redundancy
in belt press operations;
• Rebuild (complete) of the oxidation ditch and conversion of the equalization tank into a
backup oxidation ditch system—redundancy in the wastewater treatment process;
• Replacement of the gravity sewer line along Holman Road (Phase I)—improved service
to residents, increased sewer capacity for future growth and elimination of sewer
leakage;
• Replacement of the gravity sewer line from Holman Road to Lift Station No. 2 (Phases
11/111 ongoing)—improved service to residents,increased capacity for future growth and
elimination of sewer leakage; and
• Extensive repairs to the stormwater line along West Central Boulevard—elimination of
groundwater leakage into pipe thus decreasing discharge to the Banana River.
Many of these projects, although completed as part of the sanitary sewer system, provide direct
benefits to the Indian River Lagoon (IRL) system including:
• Eliminating leakage of raw sewage into the surficial aquifer—reduction in nitrogen and
phosphorous which eventually discharges to the Banana River;
• Limiting infiltration/inflow [1/I] of groundwater to sewer and stormwater pipes—leakage
into sewer pipes requires increased treatment at the WRF—leakage into stormwater pipes
directly discharges to the Banana River; and
• Expanding the City's reclaimed water system thus limiting discharges of treated
wastewater to the Banana River from the WRF.
City Council Meeting
Date: 02/19/2019
Item No. 7
Page 2 of 2
Changes to the Oxidation Ditch Project Scope and Budget. During rehabilitation of the
oxidation ditch at the WRF, many unforeseen conditions were encountered which required
corrective action. Upon emptying the oxidation ditch of effluent, the following deficiencies
became apparent:
• Excessive amounts of sediment/sludge were present in the lower portion of the oxidation
ditch which required extraction and offsite disposal;
• The catwalks and walkways were determined to be severely impacted (requiring total
replacement) and constituted a significant safety hazard; and
• Numerous areas of the ditch walls required patching/reinforcement due to cracking.
Additional Funding Request.Five of the projects included in the SRF Program loan,including
the Oxidation Ditch Rehabilitation Project, are already completed. Only the final portion of the
Holman Road Sewer Replacement Project(Phases II/III)remains. Although the oxidation ditch
work is complete, the City is requesting additional funding be added to the SRF Program loan
to ensure;
• Additional moneys for tasks already completed for the Oxidation Ditch Rehabilitation
Project(approximately $500,000); and
• Adequate moneys to complete the Holman Road Sewer Replacement Project (Phases
II/III - $300,000).
Therefore, the City is requesting that an additional eight hundred thousand dollars ($800,000)
be added to the existing SRF Program loan to fully complete all six improvement projects.
Ordinance No. 07-2019 is attached.
Submitting Department Director: Jeff Ratliff Date: 2/11/19
Attachment:
Ordinance No. 07-2019
Financial Impact: The $800,000 SRF Loan will be funded by Wastewater and Stonnwater
Enterprise Funds. Staff time and effort to prepare this Agenda Item.
Reviewed by Administrative/Financial
Services Director: John DeLeo Date: 2/8/19
The City Manager recommends that City Council take the following action:
Approve Ordinance No. 07-2019, first reading.
Approved by City Manager: David L. Greene Date: 2/11/19
1 ORDINANCE NO. 07-2019
2
3 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF CAPE
4 CANAVERAL, BREVARD COUNTY, FLORIDA: RELATING TO THE
5 STATE REVOLVING FUND PROGRAM; PURSUANT TO SECTION
6 2.12(5) OF THE CITY CHARTER AMENDING ORDINANCE NO. 01-2013
7 TO INCREASE THE TOTAL AUTHORIZED LOAN AMOUNT BY AN
8 ADDITIONAL EIGHT HUNDRED THOUSAND DOLLARS FOR
9 PURPOSES OF FUNDING CERTAIN PENDING WASTEWATER AND
10 STORMWATER IMPROVEMENT PROJECTS; PROVIDING FOR THE
11 FULL FORCE AND EFFECT OF ORDINANCE NO. 01-2013 AS
12 AMENDED HEREWITH, REPEAL OF PRIOR INCONSISTENT
13 ORDINANCES AND RESOLUTIONS, SEVERABILITY AND AN
14 EFFECTIVE DATE.
15
16 WHEREAS, Florida Statutes provide for loans to local government agencies to finance
17 the construction of water pollution control facilities; and
18
19 WHEREAS, the City Council previously approved Ordinance No. 01-2013 authorizing
20 one or more loan applications to be filed with the State of Florida Department of Environmental
21 Protection in a total amount of$8,000,000 for certain wastewater and stormwater projects; and
22
23 WHEREAS, since the authorization was approved by the City Council, the City has
24 entered into an SRF Loan Agreement, account numbers 05050 and 05051, and has funded and
25 completed most of the projects planned at the time Ordinance No. 01-2013 was adopted; and
26
27 WHEREAS, due to additions to the scope of work related to the projects and recent
28 increased construction costs, the City requires additional SRF funding to complete the remaining
29 projects and cover the costs associated thereto; and
30
31 WHEREAS, the City Council finds that this Ordinance is in the best interests of the
32 public health, safety and welfare of the citizens of Cape Canaveral,Florida.
33
34 NOW, THEREFORE, THE CITY OF CAPE CANAVERAL HEREBY ORDAINS
35 AS FOLLOWS:
36
37 SECTION 1. Recitals. The foregoing findings are incorporated herein by reference
38 and made a part hereof.
39
40 SECTION 2. Legal Authority. The legal authority for borrowing moneys to
41 construct the projects is established in Chapter 166, Florida Statutes and Section 2.12(5) of the
42 Cape Canaveral Charter.
43
44 SECTION 3. Authorization. The City Council of the City of Cape Canaveral hereby
45 amends Section 3 of Ordinance No. 01-2013 to increase the authorized total loan amount to read
46 as follows:
City of Cape Canaveral
Ordinance No.07-2019
Page 1 of 2
I The City Council of the City of Cape Canaveral hereby authorizes City staff, on behalf of
2 the City, to apply for one or more State of Florida revolving loans for point source water
3 pollution control in the amount of approximately Eight Million Eight Hundred Thousand Dollars
4 ($8,800,000.00) to finance the preconstruction activities and construction of certain wastewater
5 and stormwater improvements (hereinafter"Loan").
6
7 SECTION 4. Full Force and Effect of Ordinance No. 01-2013. All other terms and
8 conditions of Ordinance No. 01-2013 not expressly modified by this Ordinance shall remain in
9 full force and effect.
10
11 SECTION 5. Repeal of Prior Inconsistent Ordinances and Resolutions. All prior
12 inconsistent ordinances and resolutions adopted by the City Council, or parts of prior ordinances
13 and resolutions in conflict herewith, are hereby repealed to the extent of the conflict.
14
15 SECTION 6. Not Incorporated into Code. This Ordinance shall not be incorporated
16 into the Cape Canaveral City Code.
17
18 SECTION 7. Severability. If any section, subsection, sentence, clause, phrase, word or
19 provision of this Ordinance is for any reason held invalid or unconstitutional by any court of
20 competent jurisdiction, whether for substantive, procedural or any other reason, such portion
21 shall be deemed a separate, distinct and independent provision, and such holding shall not affect
22 the validity of the remaining portions of this Ordinance.
23
24 SECTION 8. Effective Date. This Ordinance shall become effective immediately
25 upon adoption by the City Council of the City of Cape Canaveral, Florida.
26
27 ADOPTED by the City Council of the City of Cape Canaveral, Florida, this day of
28 52019.
29
30
31 Bob Hoog,Mayor
32 Name FOR AGAINST
33 ATTEST:
34 Mike Brown
35
36 Mia Goforth, CMC Robert Hoog
37 City Clerk
38 First Reading: February 9, 2019 Wes Morrison
39 Advertisement:
40 Second Reading: Rocky Randels
41
42 Approved as to legal form and sufficiency Angela Raymond
43 for the City of Cape Canaveral only by:
44
45
46 Anthony A. Garganese, City Attorney
City of Cape Canaveral
Ordinance No. 07-2019
Page 2 of 2