Debt Service FunDS & Debt ScheDuleS

Transcription

1 Debt Service Funds & Debt Schedules

2 The City issues general obligation bonds, certificates of obligation, combination tax and revenue certificates of obligation and tax notes to provide for the acquisition and construction of major capital facilities and infrastructure. Certificates of obligation are used to fund construction of city facilities such as buildings, roads and sidewalks. Revenue bonds are used to fund construction of city infrastructure such as water and sewer system improvements as well as park improvements. We want to help you understand the City s use of debt by explaining the types of projects that we fund through by borrowing money, and what kind of bonds we use. This section will also help you understand the obligations the City currently has, and how we balance the need to implement the City s master plans with fiscal responsibility. It is important to note that our debt management strategies receive a rigorous annual review from bond rating agencies tasked with letting potential borrowers know how credit-worthy the city is. Right now the City has two AAA ratings, which are a strong external endorsement of the City s financial management. Tax Supported vs. Self-Supporting Debt As you can see in Figure 1 (below), about one-third of the City s debt service for FY 2019 will be funded through bonds tied to the City s property taxes. For FY 2019, property tax supported debt service is about $6 million. Property tax supported debt is primarily used for the construction of local roads and sidewalks. So, what does this mean for Southlake property owners? Figure 2 (next page) shows the total tax bill for an average residential property in Southlake, reflecting a annual cost of $505 for property tax supported debt. For this, the City is able to provide necessary infrastructure. Figure 1: FY 2019 Total Debt Service 314

3 City-Operations City-Debt Other Taxing Entities $2,004 $505 $13,989 Figure 2: Total Tax Bill for Average Residential Property in Southlake Going back to Figure 1, the remainder of the City s debt service (63%) for FY 2019 will be funded by self-supporting debt. These debt payments will be made from special revenue such as voter-approved sales tax levies. FY 2019 debt service to be paid as self-supporting debt is $10,505,017. Why is it important to make the distinction between tax-supported and self-supporting debt? Because self-supporting debt has a specific revenue streams, many of which are voter approved, for the repayment of the bonds. Also, sales tax-supported debt uses funds collected by shoppers in the City, many of which reside elsewhere. For example, the construction of the DPS North Facility, which opened in FY 2014, was funded with sales tax levied for the purpose of crime control and prevention. Thanks to these sales tax dollars, 50% of the construction expenses for this facility were paid with cash. The remainder was funded with four-year bonds, the last of which were be paid off in The primary goal of the Crime Control and Prevention District, as it was approved by the voters, was to fund public safety facilities, and that is how the funds have been used. Other self-supporting debt taken on by the City has funded improvements in Town Square such as Town Hall, roads, water, sewer, etc. This debt was repaid through the Tax Increment Reinvestment Zone, using tax dollars generated in the Square, including those collected by the City of Southlake, Carroll Independent School District, Tarrant County, the Tarrant County Hospital District, and the Tarrant County College District. So other taxing entities are helped to repay this debt, which will be paid off in FY

4 Voter-approved special levy sales tax districts provide a source of funding for park development and crime control initiatives. Projects built implement the Capital Improvements Program and funds are used almost exclusively for capital, not operations. Town Square developers have estimated that 70-75% of sales in Town Square are to patrons living outside the city. Imported taxpayers, if you will, helping to construct Southlake s infrastructure development. Debt Management The City takes it debt obligation very seriously. Several years ago, the City Council, working with City staff, set goals to reduce the debt as percentage of assessed valuation over the total long term. As you can see in Figure 3 (below), we have reduced the percentage from 3.29% in 2002 to 0.44% in 2019, during a time of growth for the city. The line that you see on this chart is a graphic illustration of one of the reasons why two bond agencies have rated Southlake AAA. It should be noted that although the total debt issued has fluctuated based on the timing of important projects, the City has generally reduced its property tax supported obligations since The City of Southlake is fortunate to have been rated as a AAA credit by both Fitch Ratings and Standard & Poor s. This is the highest possible rating given to a credit. Not only does it reinforce that the City has strong financial management tools, it also allows for favorable borrowing conditions when the time is right. The City has been able to effectively manage its debt during a period of growth using cash to partially offset borrowing needs. Additionally, managing debt amortization has been a tool used to reduce borrowing costs. LONG-TERM DEBT DEBT AS % OF ASSESSED VALUATION 3.50% 3.29% Desired Range $120,000, % 3.01% $100,000, % PERCENTAGE OF VALUATION 2.50% 2.00% 1.50% 2.36% 2.07% 2.00% 1.71% 1.46% 1.49% 1.51% 1.49% 1.37% $80,000,000 $60,000,000 $40,000,000 DOLLARS 1.00% 1.19% 1.12% 0.92% 0.50% 0.72% 0.58% 0.44% $20,000, % $- FISCAL YEAR Figure 3: Long-term Debt as a Percentage of Assessed Valuation 316

5 The Relationship Between Property Taxpayers and Debt Repayment At 44.7 cents for every one hundred dollars of valuation, the City of Southlake s property tax rate supports basic city services such as public safety, street maintenance, library, and community services. It also helps pay off the debt that s been incurred for city infrastructure such as new roadway construction and expansion. Figure 4 (below) illustrates how the City has worked toward the goals of reducing debt. The green portions show that since 2011, the City has reduced the amount of property taxes which are dedicated to debt repayment while still providing desired services. Taxpayers, specifically homeowners, should be aware of the conscious effort to relieve the amount of property tax monies that are going towards debt. This effort represents one of the City s most important budget commitments. Since 1994, the City has put voter-authorized sales tax dollars to work on the upkeep and construction of Southlake s beautiful parks system. The sales tax monies help with the initial cash payments that jump-start many of our big projects. In 1998, another portion of sales tax, also voter-authorized, was put to work for the construction of our public safety buildings. All of that debt was retired in Recently, the City incurred more sales tax supported debt to construct Phase 2 of the Marq. However, it is important to note that this debt is being repaid through a 3/8 cent allocation of sales tax, a voter-authorized use that was approved in The tan colored portion of the bar shows how the two current sales tax district monies (SPDC and CEDC) are paying off the balance of projects like Bicentennial Park and the Marq Phase 2 (Champions Club). Finally, the portion in bronze illustrates the debt that is being paid off by the City s specialized funds and Southlake s tax incremental reinvestment zone (TIRZ). The TIRZ is located primarily in Southlake Town Square and is based on commercial property taxes. This debt was retired in $10,000 Debt Per Capita that is repaid with other sources such as Utility Fund and TIF District Debt Per Capita that is repaid with voter-approved sales tax districts Debt Per Capita that is repaid with property taxes $9,000 $8,000 $7,000 $6,000 $5,000 $3,773 $3,770 $3,555 $3,148 $2,847 $2,560 $2,419 $1,800 $4,000 $1,816 $1,963 $1,947 $2,040 $2,135 $1,737 $1,927 $1,631 $3,000 $2,000 $1,000 $3,506 $3,511 $3,459 $3,238 $2,895 $2,678 $1,464 $2,340 $1,249 $2,019 $2,645 $1,706 $2,383 $1,216 $ Figure 4: Southlake s Debt per Capita 317

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7 Strategies 3.06% If all taxing entities hold their tax rates steady for FY 2019, 3.06% of the total tax bill for an average residential property will go to support the City s annual FY 2019 debt payments. This is equivalent to $505 annually or $42 per month. Cash Funding $53M Since 2006, the City has used the Strategic Initiative Fund to pay cash for capital projects. Over $53 million has been allocated for this purpose. This means less borrowing. Additionally, this use of cash funding when combined with aggressive amortization schedules has allowed the City to reduce its total outstanding property tax supported debt by 53% since Debt What you should know about the City s debt management Some debt is necessary and appropriate to ensure intergenerational equity. In other words, paying cash for 100% of capital projects would front-load the cost of 20-year assets on today s taxpayer. $8.5M The City continuously analyzes market conditions to determine if more favorable interest rates are available for existing debt. If it is, the City will refinance (or refund) existing debt. Most recently, the City refunded almost $8.5 million in debt in FY This resulted in almost $1.1 million in savings over the life of the debt. Voter-approved special tax levies have been pledged to pay for bonds used to construct facilities identified in the City s parks and trails master plans, as well as public safety facilities. Three highlights about FY 2019 debt Aggressive Amortization 94% The City uses aggressive amortization schedules. As such, initial debt payments may be higher, but borrowing costs are lower and debt is paid off more quickly. Ninetyfour percent of the total outstanding debt will be paid off within 10 years. 1. No new property tax supported debt For the fifth consecutive year, the City will use cash to fund all General Fund capital needs. For FY 2019, $8 million in cash will be used to pay for these capital projects. This means that property taxpayers will not see an increase in the amount of debt that they are responsible for repaying. 2. In FY 2018, TIRZ #1 made last debt payment TIRZ #1 was created in 1997 to encourage quality commercial development in the City. Since that time, the Zone s property tax revenue growth has funded the construction of Zone infrastructure improvements such as Southlake Town Hall as identified in the TIRZ #1 Project and Financing Plan. In FY 2018, the Zone made its final debt payment on these costs, becoming debt free. 3. Property tax supported debt per capita reduced Through the City s use of cash and aggressive amortization schedules when debt is issued, the City has reduced the property tax supported debt per capita from $3,506 in 2010 to $1,216 in 2019, a 65% reduction in that period. 319

8 General Obligation Debt Overview General obligation and certificates of obligation bonds are primarily used to fund the construction of roads, sidewalks and other types of facilities. Some projects currently under construction that are funded through these types of bonds are: North White Chapel Boulevard: Through this project North White Chapel Boulevard will be widened to its ultimate pavement section of a 4 lane divided highway with a median. The median will include landscaping and irrigation. The intersection of North White Chapel Boulevard at Highland Street will be improved from a four-way stop sign intersection to a dual-lane roundabout to accommodate increased traffic along this corridor. (see photos below) FM 1938 Improvements: This is an important project for the City of Southlake and northeast Tarrant County. It is regionally significant because it will provide an additional north-south thoroughfare between SH 360 and US 377. The project will be constructed in phases. Phase I of the FM 1938/Davis Boulevard project went through Westlake and included a six-lane divided roadway with raised curb medians from SH 114 to just south of Dove Road transitioning to a four-lane roadway with raised curb medians to Randol Mill Road. The 2.2 mile $15 million project was completed Fall Phase II is a $20.6 million project to complete the extension of the roadway from SH 114 to FM 1709/Southlake Boulevard. The 1.6 mile project includes a four-lane roadway with raised curb medians from Randol Mill Road to FM 1709/Southlake Boulevard and improvements at the intersection of FM 1938 and Southlake Boulevard (FM 1709) that will provide dual left turn lanes to enhance mobility through the intersection. Throughout FY 2018, intersection improvements were completed and drainage improvments at the north end of the project progressed. During FY 2019, drainage and paving improvements will be completed as well as the construction of a screening wall adjacent to Myers Meadow. This project is a partnership between TxDOT, Tarrant County, the North Central Texas Council of Governments and the cities of Southlake, Keller, Westlake and Trophy Club. Anticipated completion of this project is early The schedule on the next page shows the City s outstanding general obligation debt, including principal and interest amounts as well as the bond maturity date. North White Chapel Boulevard 320 FM 1938 Improvements FM 1938 Improvements

9 SUMMARY OF GENERAL OBLIGATION BONDS PRINCIPAL AND INTEREST REQUIREMENTS 2019 REQUIREMENTS MATURITY PRINCIPAL INTEREST TOTAL DATE 2009 Series Certificates of Obligation 240, , ,894 February GO Refunding 52,910 9,193 62,103 February Series Certificates of Obligation 200, , ,906 February GO Refunding 650, , ,400 February GO Refunding 1,710, ,750 2,370,750 February Series Certificates of Obligation 930,000 9, ,300 February GO Refunding 905,000 37, ,825 February GO Refunding 197,810 88, ,583 February 2028 Net General Obligation Debt Service Requirements 4,885,720 1,281,041 6,166,761 TOTAL REQUIREMENTS PRINCIPAL INTEREST TOTAL 2009 Series Certificates of Obligation 3,230, ,055 4,044,055 February GO Refunding 282,186 26, ,895 February Series Certificates of Obligation 3,020, ,836 3,815,836 February GO Refunding 6,055,000 1,097,675 7,152,675 February GO Refunding 17,975,000 2,568,025 20,543,025 February Series Certificates of Obligation 930,000 9, ,300 February GO Refunding 1,970,000 91,400 2,061,400 February GO Refunding 3,836, ,145 4,610,495 February 2028 Net General Obligation Debt Service Requirements 37,298,536 6,177,145 43,475,681 INTEREST SHOWN IS THE TOTAL OF EACH ANNUAL REQUIREMENT FOR THE REMAINING LIFE OF THE SERIES 321

10 Revenue Bond Overview Revenue bonds are used to fund construction of city infrastructure such as water and sewer system improvements. Debt service on these bonds is covered by utility ratepayers. One recently-completed revenue bond project is the new 48-inch water supply line that feeds the Caylor Ground Storage Tank facility. With the completion of this new supply line, Fort Worth can now supply Southlake s Water Master Plan demand volume of 36 million gallons per day. It is not anticipated that this volume of water will be needed for quite some time; however, the supply infrastructure is now in place for Southlake s future build out whenever that occurs. Photos of the projects are below. 322

11 SUMMARY OF REVENUE BONDS PRINCIPAL AND INTEREST REQUIREMENTS 2019 REQUIREMENTS MATURITY PRINCIPAL INTEREST TOTAL DATE 2009 Series Certificates of Obligation 310, , ,925 February GO Refunding 67,090 11,657 78,747 February Series Certificates of Obligation 245, , ,789 February B Series Certificates of Obligation 150,000 89, ,888 February Series Certificates of Obligation 125,000 61, ,350 February GO Refunding 30,000 6,000 36,000 February Series Certificates of Obligation 110,000 59, ,356 February GO Refunding 125,000 33, ,450 February Series Certificates of Obligation 190, , ,550 February GO Refunding 1,700,000 71,150 1,771,150 February Series Certificates of Obligation 130,000 92, ,050 February GO Refunding 337, , ,709 February Series Certificates of Obligation 185, , ,550 February Series Certificates of Obligation 135, , ,560 February 2038 Net Revenue Bond Debt Service Requirements 3,839,415 1,341,659 5,181,074 TOTAL REQUIREMENTS MATURITY PRINCIPAL INTEREST TOTAL DATE 2009 Series Certificates of Obligation 4,200,000 1,057,265 5,257,265 February GO Refunding 357,814 33, ,681 February Series Certificates of Obligation 3,670, ,744 4,635,744 February B Series Certificates of Obligation 2,440, ,347 3,122,347 February Series Certificates of Obligation 2,100, ,588 2,573,588 February GO Refunding 175,000 21, ,825 February Series Certificates of Obligation 2,020, ,787 2,513,787 February GO Refunding 870, , ,325 February Series Certificates of Obligation 3,715,000 1,024,337 4,739,337 February GO Refunding 3,705, ,775 3,876,775 February Series Certificates of Obligation 2,950, ,525 3,791,525 February GO Refunding 4,073, ,030 4,895,680 February Series Certificates of Obligation 5,250,000 1,873,552 7,123,552 February Series Certificates of Obligation 4,205,000 1,588,698 5,793,698 February 2038 Net Revenue Bond Debt Service Requirements 39,731,464 10,154,665 49,886,129 INTEREST SHOWN IS THE TOTAL OF EACH ANNUAL REQUIREMENT FOR THE REMAINING LIFE OF THE SERIES 323

12 Debt Service Fund This fund accumulates ad valorem tax dollars to pay for the annual portion of tax supported debt outstanding. $ Increase/ $ Increase/ (Decrease) % Increase/ 2019 (Decrease) % Increase/ Actual Adopted Amended Adopted -Decrease Proposed Adopted -Decrease REVENUES Ad Valorem Taxes $6,360,278 $6,647,670 $6,741,106 $93, % $6,544,427 ($103,243) -1.6% Miscellaneous Income $0 $0 $0 $0 0.0% $0 $0 0.0% Interest Income 50,056 45,000 45, % 45, % Total Revenues $6,410,334 $6,692,670 $6,786,106 $93, % $6,589,427 ($103,243) -1.5% EXPENDITURES Principal $11,278,185 $8,666,624 $9,201,784 $535, % $4,885,720 ($3,780,904) -43.6% Interest $1,932,735 $1,537,620 $1,548,327 10, % $1,281,041 (256,579) -16.7% Admin. Expenses $91,481 $19,500 $12,900 (6,600) -33.8% $19, % Total Expenditures $13,302,401 $10,223,744 $10,763,011 $539, % $6,186,261 ($4,037,483) -39.5% Net Revenues ($6,892,067) ($3,531,074) ($3,976,905) ($445,831) $403,166 $3,934,240 Transfers In 5,428,791 3,315,117 3,442, , ,658 Transfer Out Total other Sources/(Uses) $5,428,791 $3,315,117 $3,442,046 $173,658 Beginning Fund Balance $7,247,326 $5,784,050 $5,784,050 $5,249,191 Ending Fund Balance $5,784,050 $5,568,093 $5,249,191 $5,826,015 FY 2019 Highlights: For FY 2019, revenues are estimated at $6,589,427 with $6,544,427 coming from ad valorem taxes and $45,000 from interest income. Transfers into the fund are budgeted at $173,658 from Storm Water Utility District to pay the debt service for the bonds issued on the District s behalf. Total expenditures are $6,186,261 for annual principal and interest payments, as well as related administrative costs. The Debt Service Fund will end the current fiscal year with undesignated reserves of $5,826,015. The fund balance allows us to meet our fund balance policy which states that the City of Southlake shall also maintain Reserve Funds for all statutorily required reserve funds to guarantee debt service. 324

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14 Debt Service Funds Southlake Parks Development Corporation The Southlake Park Development Corporation (SPDC) was formed when Southlake voters approved the special levy of a half-cent sales tax in the mid-1990s. The half-cent, which generates over $7.5 million per year, is dedicated toward the acquisition and development of Southlake s park land. The specific projects are identified in the City s Capital Improvements Program. State law permits these funds to be used for operational costs, as well as capital costs. Many park projects are funded through SPDC-supported bonds. Most recently in FY 2012, bonds were sold to fund Phase II of the Bicentennial Park renovation project. This phase of the project is now complete. A dedication was held in May 2015 (see photos below and at right). The Bicentennial Park Improvement Project is a multi-phase project set to transform the existing park into a beautiful, safe, and functional signature park for Southlake. The concept plan for Phase II illustrates and details the project elements that included a new playground, Miracle League baseball field, 60/90 baseball field, new concession / rest room facility, enhancement to the original baseball 4-plex, park boulevard connection to White Chapel Boulevard, new Park Maintenance Facility, parking, trails, enhanced landscape, and irrigation improvements including an additional new water well. 326

15 Debt Service Funds SUMMARY OF SOUTHLAKE PARKS AND DEVELOPMENT BONDS PRINCIPAL AND INTEREST REQUIREMENTS 2019 REQUIREMENTS MATURITY PRINCIPAL INTEREST 2009 Certificates of Obligation 285, , ,669 February Certificates of Obligation 150,000 86, ,343 February Certificates of Obligation 145,000 87, ,744 February Certificates of Obligation 260, , ,231 February ,260, ,550 1,580,550 February Sales Tax Revenue Refunding Bonds Net SPDC Debt Service Requirements 2,100, ,537 TOTAL DATE 2,880,537 TOTAL REQUIREMENTS MATURITY PRINCIPAL INTEREST TOTAL DATE 2009 Certificates of Obligation 3,870, ,624 4,844,624 February Certificates of Obligation 2,250, ,153 2,843,153 February Certificates of Obligation 2,380, ,134 3,047,134 February Certificates of Obligation 4,455,000 1,006,924 5,461,924 February ,315,000 1,449,375 12,764,375 February ,270,000 4,691,210 28,961, Sales Tax Revenue Refunding Bonds Net SPDC Debt Service Requirements INTEREST SHOWN IS THE TOTAL OF EACH ANNUAL REQUIREMENT FOR THE REMAINING LIFE OF THE SERIES 327

16 Southlake Parks Development Corporation (SPDC) Debt Service Fund This fund is used to account for the accumulation of financial resources for payment of long-term principle and interest costs for SPDC-approved park improvements. 08/12/18 $ Increase/ $ Increase/ (Decrease) % Increase/ 2019 (Decrease) % Increase/ Actual Adopted Amended Adopted -Decrease Proposed Adopted -Decrease REVENUES Interest Income $17,632 $6,000 $12,000 $6, % $12,000 $6, % Total Revenues $17,632 $6,000 $12,000 $6, % $12,000 $6, % EXPENDITURES Principal $1,980,000 $2,040,000 $2,040,000 $0 0.0% $2,100,000 $60, % Interest 908, , , % 780,537 (65,276) -7.7% Admin. Expenses 5,510 6,000 6, % 6, % Total Expenditures $2,894,323 $2,891,813 $2,891,813 $0 0.0% $2,886,537 ($5,276) -0.2% Net Revenues ($2,876,691) ($2,885,813) ($2,879,813) $0 ($2,874,537) ($5,276) Bond Proceeds $0 $0 $0 $0 Transfers In $2,884,538 $2,885,831 $2,885,831 0 $2,880,537 Total Other Sources (Uses) $2,884,538 $2,885,831 $2,885,831 $2,880,537 Beginning Fund Balance $1,499,431 $1,507,278 $1,507,278 $1,513,296 Ending Fund Balance $1,507,278 $1,507,296 $1,513,296 $1,519,296 FY 2019 Highlights: The Southlake Parks Development Corporation is also responsible for paying principal and interest on outstanding debt. For FY 2019, the SPDC Debt Service Fund will cover total expenditures of $2,886,537 for this purpose. 328

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18 Community Enhancement and Development Corporation The Community Enhancement and Development Corporation (CEDC) was formed when Southlake voters approved the special levy of a 3/8 cent sales tax in The funds are dedicated toward the construction of Phase II of The Marq Southlake, a community events and recreation facility. Funds will also be used to support operational expenses related to The Marq as well as special economic development projects. In December 2015, the City opened Phase I of The Marq Southlake, Legends Hall. Legends Hall, which was funded with cash, includes amenities such as a ballroom, multipurpose conference and meeting space, club lounge, full catering kitchen, and an outdoor amphitheater. The Senior Center is also included in Legends Hall. Phase I was paid for with cash, primarily from the General Fund. Phase 2 of The Marq Southlake, the Champions Club, includes amenities such as spaces for fitness, performance training, gymnasium, indoor jog/walk track, indoor aquatics, indoor playground, party rooms, early learning classroom, child watch and multipurpose classrooms for programs. Scheduled to open in FY 2019, Phase II construction of The Marq Southlake is being funded through the CEDC sales tax revenue bonds. 330

19 Debt Service Funds SUMMARY OF SOUTHLAKE COMMUNITY ENHANCEMENT AND DEVELOPMENT CORPORATION PRINCIPAL AND INTEREST REQUIREMENTS 2019 REQUIREMENTS MATURITY PRINCIPAL INTEREST TOTAL DATE 2016 Sales Tax Revenue Bonds 900, ,450 1,739,450 February Sales Tax Revenue Bonds 380, , ,956 February 2036 Net CEDC Debt Service Requirements 1,280,000 1,163,406 2,443,406 TOTAL REQUIREMENTS MATURITY PRINCIPAL INTEREST TOTAL $31,275,275 February Sales Tax Revenue Bonds $23,585,000 $7,690, Sales Tax Revenue Bonds 9,620,000 3,040,396 12,660,396 33,205,000 10,730,671 43,935,671 Net CEDC Debt Service Requirements DATE February

20 Community Enhancement and Development Corporation (CEDC) Debt Service Fund The Community Enhancement and Development Corporation Debt Service Fund is used to account for the accumulation of financial resources for payment of long-term principle and interest costs for debt incurred to construct The Marq Southlake Phase II. $ Increase/ $ Increase/ (Decrease) % Increase/ 2019 (Decrease) % Increase/ Actual Adopted Amended Adopted -Decrease Proposed Adopted -Decrease REVENUES Interest Income $12,549 $0 $14,000 $14, % $5,000 $5, % Total Revenues $12,549 $0 $14,000 $14, % $5,000 $5, % EXPENDITURES Principal $0 $0 $1,190,000 $1,190, % $1,280,000 $1,280, % Interest 869,749 1,252,240 1,252, % 1,163,406 (88,834) -7.1% Admin. Expenses 31,750 8,000 8, % 8, % Total Expenditures $901,499 $1,260,240 $2,450,240 $1,190, % $2,451,406 $1,191, % Net Revenues ($888,950) ($1,260,240) ($2,436,240) $1,190,000 ($2,446,406) $1,191,166 Bond Proceeds $0 $0 $0 $0 Transfers In $1,368,000 $2,450,240 $2,450,240 0 $2,451,406 Total Other Sources (Uses) $1,368,000 $2,450,240 $2,450,240 $2,451,406 Beginning Fund Balance $0 $479,050 $479,050 $493,050 Ending Fund Balance $479,050 $1,669,050 $493,050 $498,050 FY 2019 Highlights: The Community Enhancement and Development Corporation is also responsible for paying principal and interest on outstanding debt. For FY 2019, the CEDC Debt Service Fund will cover total expenditures of $2,451,406 for this purpose. 332