2011-1422011-142
Resolution Authorizing the Issuance Pursuant to Section 90.00 or Section 90.10 of the Local
Finance Law of Refunding Bonds of the Town of Wappinger, Dutchess County, New York,
to be Designated Substantially "Public Improvement Refunding (Serial) Bonds", and
Providing for Other Matters in Relation Thereto and the Payment of the Bonds to be
Refunded Thereby
At a regular meeting of the Town Board of the Town of Wappinger, Dutchess County,
New York, held at Town Hall, 20 Middlebush Road, Wappingers Falls, New York, on April 11,
2011.
The meeting was called to order by Christopher Colsey, Supervisor, and upon roll being
called, the following were present:
PRESENT: Supervisor - Christopher J. Colsey
Councilmembers - William H. Beale (Arrived at 6:03 PM)
Vincent F. Bettina (Arrived at 6:25 PM)
Ismay Czarniecki (Arrived at 6:15 PM)
Joseph P. Paoloni
ABSENT:
The following Resolution was introduced by Councilman Beale and seconded by
Councilwoman Czarniecki.
WHEREAS, the Town of Wappinger, Dutchess County, New York (hereinafter, the
"Town") heretofore issued $2,085,000 Public Improvement (Serial) Bonds, 2000, pursuant to a
bond resolution dated June 26, 2000, to pay a part of the cost of the acquisition of a parcel of
land and the buildings thereon (commonly known as the "Greystone Property"), and a bond
determinations certificate of the Supervisor dated September 26, 2000 (hereinafter referred to as
the "Refunded Bond Determinations Certificate"), such Public Improvement (Serial) Bonds,
2000, being dated October 1, 2000 with remaining maturities on October 1 in the amount of
$100,000 in 2011, $110,000 in 2012, $115,000 in 2013, $120,000 in 2014, $125,000 in 2015,
$135,000 in 2016, $140,000 in 2017, $150,000 in 2018, $155,000 in 2019, and $165,000 in
2020, as more fully described in the Refunded Bond Determinations Certificate (said bonds, not
including the bonds maturing in 2011, being referred to herein as the "Refunded Bonds"); and
WHEREAS, it would be in the public interest to refund all or a portion of the outstanding
principal balance of the Refunded Bonds by the issuance of refunding bonds pursuant to Section
90.00 or Section 90.10 of the Local Finance Law; and
WHEREAS, such refunding will only be undertaken if it results in present value savings
in debt service as required by Section 90.10 of the Local Finance Law;
NOW, THEREFORE, BE IT ENACTED, by the Town Board of the Town of
Wappinger, Dutchess County, New York, as follows:
Section 1. For the object or purpose of refunding the outstanding principal balance of
the Refunded Bonds as more fully set forth in the Refunding Financial Plan (hereinafter defined),
including providing moneys which, together with the interest earned from the investment of
certain of the proceeds of the refunding bonds herein authorized, shall be sufficient to pay (i) the
principal amount of such Refunded Bonds, (ii) the aggregate amount of unmatured interest
payable on such Refunded Bonds to and including the date on which the Refunded Bonds which
are callable are to be called prior to their respective maturities in accordance with the refunding
financial plan, as hereinafter defined, (iii) the costs and expenses incidental to the issuance of the
refunding bonds herein authorized, including the development of the refunding financial plan, as
hereinafter defined, compensation to the underwriter or underwriters, as hereinafter defined,
costs and expenses of executing and performing the terms and conditions of the escrow contract
or contracts, as hereinafter defined, and fees and charges of the escrow holder or holders, as
hereinafter mentioned, (iv) the redemption premium to be paid on such Refunded Bonds which
are to be called prior to their respective maturities, and (v) the premium or premiums for a policy
or policies of municipal bond insurance or cost or costs of other credit enhancement facility or
facilities, for the refunding bonds herein authorized, or any portion thereof, there are hereby
authorized to be issued not exceeding $1,425,000 refunding serial bonds of the Town pursuant to
the provisions of Section 90.00 or Section 90.10 of the Local Finance Law (the "Refunding
Bonds"), it being anticipated that the amount of Refunding Bonds actually to be issued will be
approximately $1,295,000, as provided in Section 4 hereof. The Refunding Bonds described
herein are hereby authorized to be consolidated for purposes of sale in one or more refunding
serial bond issues. The Refunding Bonds shall each be designated substantially "PUBLIC
IMPROVEMENT REFUNDING (SERIAL) BOND" together with such series designation and
year as is appropriate on the date of sale thereof, shall be of the denomination of $5,000 or any
integral multiple thereof (except for any odd denominations, if necessary) not exceeding the
principal amount of each respective maturity, shall be numbered with the prefix R-11 (or R with
the last two digits of the year in which the Refunding Bonds are issued as appropriate) followed
by a dash and then from 1 upward, shall be dated on such dates, and shall mature annually on
such dates in such years, bearing interest semi-annually on such dates, at the rate or rates of
interest per annum, as may be necessary to sell the same, all as shall be determined by the
Supervisor pursuant to Section 4 hereof. It is hereby further determined that (a) such Refunding
Bonds may be issued in series, (b) such Refunding Bonds may be sold at a discount in the
manner authorized by paragraph a of Section 57.00 of the Local Finance Law and pursuant to
subdivision 2 of paragraph f of Section 90.10 of the Local Finance Law, and (c) such Refunding
Bonds may be issued as a single consolidated issue. It is hereby further determined that such
Refunding Bonds may be issued to refund all, or any portion of, the Refunded Bonds, subject to
the limitation hereinafter described in Section 10 hereof relating to approval by the State
Comptroller.
Section 2. The Refunding Bonds may be subject to redemption prior to maturity
upon such terms as the Supervisor shall prescribe which terms shall be in compliance with the
requirements of Section 53.00 (b) of the Local Finance Law. If less than all of the Refunding
Bonds of any maturity are to be redeemed, the particular refunding bonds of such maturity to be
redeemed shall be selected by the Town by lot in any customary manner of selection as
determined by the Supervisor. Notice of such call for redemption shall be given by mailing such
notice to the registered owners not less than thirty (30) days prior to such date and as otherwise
provided in Securities and Exchange Commission Release No. 34-23856, as the same may be
amended from time to time. Notice of redemption having been given as aforesaid, the bonds so
called for redemption shall, on the date for redemption set forth in such call for redemption,
become due and payable, together with interest to such redemption date, and interest shall cease
to be paid thereon after such redemption date.
The Refunding Bonds shall be issued in registered form and shall not be registrable to
bearer or convertible into bearer coupon form. In the event said Refunding Bonds are issued in
non -certificated form, such bonds, when issued, shall be initially issued in registered form in
denominations such that one bond shall be issued for each maturity of bonds and shall be
registered in the name of Cede & Co., as nominee of The Depository Trust Company, New York,
New York ("DTC"), which will act as securities depository for the bonds in accordance with the
Book -Entry -Only system of DTC. In the event that either DTC shall discontinue the Book -
Entry -Only system or the Town shall terminate its participation in such Book -Entry -Only
system, such bonds shall thereafter be issued in certificated form of the denomination of $5,000
each or any integral multiple thereof (except for any odd denominations, if necessary) not
exceeding the principal amount of each respective maturity. In the case of non -certificated
Refunding Bonds, principal of and interest on the bonds shall be payable by check or draft
mailed by the Fiscal Agent (as hereinafter defined) to DTC, or to its nominee, Cede & Co., while
the bonds are registered in the name of Cede & Co. in accordance with such Book -Entry -Only
System. Principal shall only be payable upon surrender of the bonds at the principal corporate
trust office of such Fiscal Agent (or at the office of the Supervisor as Fiscal Agent as hereinafter
provided).
In the event said Refunding Bonds are issued in certificated form, principal of and
interest on the Refunding Bonds shall be payable by check or draft mailed by the Fiscal Agent
(as hereinafter defined) to the registered owners of the Refunding Bonds as shown on the
registration books of the Town maintained by the Fiscal Agent (as hereinafter defined), as of the
close of business on the fifteenth day of the calendar month or last business day of the calendar
month preceding each interest payment date as appropriate and as provided in a certificate of the
Supervisor providing for the details of the Refunding Bonds. Principal shall only be payable
upon surrender of bonds at the principal corporate trust office of a bank or trust company or
banks or trust companies located or authorized to do business in the State of New York, as shall
hereafter be designated by the Supervisor as fiscal agent of the Town for the Refunding Bonds
(collectively the "Fiscal Agent").
Refunding Bonds in certificated form may be transferred or exchanged at any time prior
to maturity at the principal corporate trust office of the Fiscal Agent for bonds of the same
maturity of any authorized denomination or denominations in the same aggregate principal
amount.
Principal and interest on the Refunding Bonds will be payable in lawful money of the
United States of America.
The Supervisor, as chief fiscal officer of the Town, is hereby authorized and directed to
enter into an agreement or agreements containing such terms and conditions as he shall deem
proper with the Fiscal Agent, for the purpose of having such bank or trust company or banks or
trust companies act, in connection with the Refunding Bonds, as the Fiscal Agent for said Town,
to perform the services described in Section 70.00 of the Local Finance Law, and to execute such
agreement or agreements on behalf of the Town, regardless of whether the Refunding Bonds are
initially issued in certificated or non -certificated form; provided, however, that the Supervisor is
also hereby authorized to name the Town Clerk as the Fiscal Agent in connection with the
Refunding Bonds if said Refunding Bonds are issued in non -certificated form.
The Supervisor is hereby further delegated all powers of this Town Board with respect to
agreements for credit enhancement, derived from and pursuant to Section 168.00 of the Local
Finance Law, for said Refunding Bonds, including, but not limited to the determination of the
provider of such credit enhancement facility or facilities and the terms and contents of any
agreement or agreements related thereto.
The Refunding Bonds shall be executed in the name of the Town by the manual or
facsimile signature of the Supervisor, and its corporate seal shall be imprinted or impressed
thereon. In the event of facsimile signature, the Refunding Bonds shall be authenticated by the
manual signature of an authorized officer or employee of the Fiscal Agent. The Refunding
Bonds shall contain the recital required by subdivision 4 of paragraph j of Section 90.10 of the
Local Finance Law and the recital of validity clause provided for in Section 52.00 of the Local
Finance Law and shall otherwise be in such form and contain such recitals, in addition to those
required by Section 51.00 of the Local Finance Law, as the Supervisor shall determine. It is
hereby determined that it is to the financial advantage of the Town not to impose and collect
from registered owners of the Refunding Bonds any charges for mailing, shipping and insuring
bonds transferred or exchanged by the Fiscal Agent, and, accordingly, pursuant to paragraph c of
Section 70.00 of the Local Finance Law, no such charges shall be so collected by the Fiscal
Agent.
Section 3. It is hereby determined that:
(a) the maximum amount of the Refunding Bonds authorized to be issued pursuant to
this resolution does not exceed the limitation imposed by subdivision 1 of paragraph b of Section
90.10 of the Local Finance Law;
(b) the maximum period of probable usefulness permitted by law at the time of the
issuance of the Refunded Bonds for the specific objects or purposes for which such Refunded
Bonds were issued is 30 years as to acquisition of land and fifteen years as to acquisition of
buildings, calculated from October 1, 2000;
(c) the last installment of the Refunding Bonds will mature not later than the
expiration of the period of probable usefulness of the specific object or purpose for which said
Refunded Bonds were issued in accordance with the provisions of subdivision 1 of paragraph c
of Section 90.10 of the Local Finance Law;
(d) the estimated present value of the total debt service savings anticipated as a result
of the issuance of the Refunding Bonds, computed in accordance with the provisions of
subdivision 2 of paragraph b of Section 90.10 of the Local Finance Law, with regard to the
Refunded Bonds is as shown in the Refunding Financial Plan described in Section 4 hereof.
Section 4. The financial plan for the refunding authorized by this resolution (the
"Refunding Financial Plan"), showing the sources and amounts of all moneys required to
accomplish such refunding, the estimated present value of the total debt service savings and the
basis for the computation of the aforesaid estimated present value of total debt service savings,
are set forth in Exhibit A attached hereto and made a part of this resolution. The Refunding
Financial Plan has been prepared based upon the assumption that the Refunding Bonds will be
issued in one series to refund all of the Refunded Bonds, and that the Refunding Bonds will
mature, be of such terms, and bear interest as set forth on Exhibit A attached hereto and made a
part of this resolution. This Town Board recognizes that the Refunding Bonds may be issued in
one or more series, and for only portions thereof, that the amount of the Refunding Bonds,
maturities, terms, and interest rate or rates borne by the Refunding Bonds to be issued by the
Town will most probably be different from such assumptions and that the Refunding Financial
Plan will also most probably be different from that attached hereto as Exhibit A. The Supervisor
is hereby authorized and directed to determine the amount of the Refunding Bonds to be issued,
the date or dates of such bonds and the date or dates of issue, maturities and terms thereof, the
provisions relating to the redemption of Refunding Bonds prior to maturity, whether the
Refunding Bonds will be insured by a policy or policies of municipal bond insurance or
otherwise enhanced by a credit enhancement facility or facilities, whether the Refunding Bonds
shall be sold at a discount in the manner authorized by paragraph e of Section 57.00 of the Local
Finance Law, and the rate or rates of interest to be borne thereby, whether the Refunding Bonds
shall be issued having substantially level or declining annual debt service and all matters related
thereto, and to prepare, or cause to be provided, a final Refunding Financial Plan for the
Refunding Bonds and all powers in connection therewith are hereby delegated to the Supervisor;
provided, that the terms of the Refunding Bonds to be issued, including the rate or rates of
interest borne thereby, shall comply with the requirements of Section 90.00 or Section 90.10 of
the Local Finance Law. The Supervisor shall file a copy of his certificates determining the
details of the Refunding Bonds and the final Refunding Financial Plan with the Town Clerk not
later than ten (10) days after the delivery of the Refunding Bonds, as herein provided.
Section 5. The Supervisor is hereby authorized and directed to enter into an escrow
contract or contracts (collectively the "Escrow Contract") with a bank or trust company, or with
banks or trust companies, located and authorized to do business in this State as said Supervisor
shall designate (collectively the 'Escrow Holder") for the purpose of having the Escrow Holder
act, in connection with the Refunding Bonds, as the escrow holder to perform the services
described in Section 90.10 of the Local Finance Law.
Section 6. The faith and credit of said Town of Wappinger, Dutchess County, New
York, are hereby irrevocably pledged to the payment of the principal of and interest on the
Refunding Bonds as the same respectively become due and payable. An annual appropriation
shall be made in each year sufficient to pay the principal of and interest on such bonds becoming
due and payable in such year. There shall be annually levied on all the taxable real property in
said Town a tax sufficient to pay the principal of and interest on such Refunding Bonds as the
same become due and payable.
Section 7. All of the proceeds from the sale of the Refunding Bonds, including the
premium, if any, but excluding accrued interest thereon, shall immediately upon receipt thereof
be placed in escrow with the Escrow Holder for the Refunded Bonds. Accrued interest on the
Refunding Bonds shall be paid to the Town to be expended to pay interest on the Refunding
Bonds. Such proceeds as are deposited in the escrow deposit fund to be created and established
pursuant to the Escrow Contract, whether in the form of cash or investments, or both, inclusive
of any interest earned from the investment thereof, shall be irrevocably committed and pledged
to the payment of the principal of and interest on the Refunded Bonds in accordance with Section
90.10 of the Local Finance Law, and the holders, from time to time, of the Refunded Bonds shall
have a lien upon such moneys held by the Escrow Holder. Such pledge and lien shall become
valid and binding upon the issuance of the Refunding Bonds and the moneys and investments
held by the Escrow Holder for the Refunded Bonds in the escrow deposit fund shall immediately
be subject thereto without any further act. Such pledge and lien shall be valid and binding as
against all parties having claims of any kind in tort, contract or otherwise, against the Town
irrespective of whether such parties have notice thereof.
Section 8. Notwithstanding any other provision of this resolution, so long as any of
the Refunding Bonds shall be outstanding, the Town shall not use, or permit the use of, any
proceeds from the sale of the Refunding Bonds in any manner which would cause the Refunding
Bonds to be an "arbitrage bond" as defined in Section 148 of the Internal Revenue Code of 1986,
as amended, and, to the extent applicable, the Regulations promulgated by the United States
Treasury Department thereunder.
Section 9. In accordance with the provisions of Section 53.00 and of paragraph h of
Section 90.10 of the Local Finance Law, in the event such bonds are refunded, the Town hereby
elects to call in and redeem Refunded Bonds which the Supervisor shall determine to be
refunded at the earliest call date available. The sum to be paid therefor on such redemption date
shall be the par value thereof plus the redemption premium, as provided in the Bond
Determinations Certificate, and the accrued interest to such redemption date. The Escrow Agent
for the Refunding Bonds is hereby authorized and directed to cause notice of such call for
redemption to be given in the name of the Town in the manner and within the times provided in
the Bond Determinations Certificate. Such notice of redemption shall be in substantially the
form attached to the Escrow Contract. Upon the issuance of the Refunding Bonds, the election
to call in and redeem the callable Refunded Bonds and the direction to the Escrow Agent to
cause notice thereof to be given as provided in this paragraph shall become irrevocable, provided
that this paragraph may be amended from time to time as may be necessary in order to comply
with the publication requirements of paragraph a of Section 53.00 of the Local Finance Law, or
any successor law thereto.
Section 10. The Refunding Bonds shall be sold at public competitive or at private sale
in the manner and for purchase prices to be determined by the Supervisor, plus accrued interest
from the date or dates of the Refunding Bonds to the date or dates of the delivery of and payment
for the Refunding Bonds. Subject to the approval of the terms and conditions of private sale by
the State Comptroller as required by subdivision 2 of paragraph f of Section 90.10 of the Local
Finance Law, the Supervisor, is hereby authorized to execute and deliver a purchase contract for
the Refunding Bonds in the name and on behalf of the Town providing the terms and conditions
for the sale and delivery of the Refunding Bonds to a purchasing underwriter if sold at private
sale. After the Refunding Bonds have been duly executed, they shall be delivered by the
Supervisor to the purchaser upon the receipt by the Town of the purchase price, including
accrued interest.
Section 11. The Supervisor and all other officers, employees and agents of the Town
are hereby authorized and directed for and on behalf of the Town to execute and deliver all
certificates and other documents, perform all acts and do all things required or contemplated to
be executed, performed or done by this resolution or any document or agreement approved
hereby.
Section 12. All other matters pertaining to the terms and issuance of the Refunding
Bonds shall be determined by the Supervisor and all powers in connection thereof are hereby
delegated to the Supervisor.
Section 13. The validity of the Refunding Bonds may be contested only if.
1. Such obligations are authorized for an object or purpose for which said Town is
not authorized to expend money, or
2. The provisions of law which should be complied with at the date of publication of
this resolution are not substantially complied with, and an action, suit or proceeding contesting
such validity is commenced within twenty days after the date of such publication, or
3. Such obligations are authorized in violation of the provisions of the Constitution.
Section 14. A summary of this resolution, which takes effect immediately, shall be
published in the official newspaper of said Town, together with a notice of the Town Clerk in
substantially the form provided in Section 81.00 of the Local Finance Law.
The foregoing was put to a vote which resulted as follows:
CHRISTOPHER COLSEY, SUPERVISOR
Voting:
AYE
WILLIAM H. BEALE, COUNCILMAN
Voting:
AYE
VINCENT F. BETTINA, COUNCILMAN
Voting:
AYE
ISMAY CZARNIECKI, COUNCILWOMAN
Voting:
AYE
JOSEPH P. PAOLONI, COUNCILMAN
Voting:
AYE
Dated: Wappingers Falls, New York
4/11/2011
The Resolution is hereby duly declared adopted.
{
J C. MASTERSON, TOWN CLERK
EXHIBIT A
PRELIMINARY REFUNDING FINANCIAL PLAN
TOWN OF WAPPINGER,
DUTCHESS COUNTY, NEW YORK
OHS East: 160849122.1
NEW ISSUE SERIAL BONDS MOODY'S INVESTORS SERVICE: Aaa
In the opinion of Bond Counsel, assuming continuing compliance by the District with its covenants relating to
certain requirements contained in the Intema/ Revenue Code of 1986, as amended (the 'Code-), interest on
the Bonds is not includable in the gross Income of the owners thereof for Federal income tax purposes under
existing statutes and court decisions. Moreover, interest on the Bonds is not an "Item Of Tax Preference" for
purposes of the individual and corporate aitemative minimum taxes imposed by the Code. Interest on the
Bonds is exempt from personal income taxes imposed by the State of New York or any pollLical subdivision
thereof (including the City of New York). See "Tax Exemption" herein for a "scussion of certain Federal
taxes applicable to corporate owners of the Bonds. The Bonds will be designated as "qualified tax-exempt
obligations" pursuant to Section 265 (b)(3) of the Intema/ Revenue Code of 1986
TOWN OF WAPPINGER
DUTCHESS COUNTY, NEW YORK
$2,085,000 PUBLIC IMPROVEMENT (SERIAL) BONDS, 2000
(The "Bonds")
Dated Date: October 1, 2000
Principal Due:
October 1, 2001-2020, as shown below.
Interest Due:
April 1 and
October 1 of each year until
maturity commencing April 1. 2001.
BOND MATURITY SCHEDULE
Yield
Yield
Year
Amount
Rate
Or Price
Year
Amount
Rate
Or Price
2001
$6
6.50%
4.10%
2011
$100,000
5.50%
4.90%
2002
65,000
6.50
4.20
2012
110,000
5.50
5.00
2003
65,000
6.50
4.30
2013
115,000
5.50
5.10
2004
70,000
6.00
4.40
2014
120,000
5.10
5.20
@100
2005
75,000
6.00
4.45
2015
125,000
5.25
2006
80,000
4.75
4.50
2016
135,000
5.25
5.30
2007
85,000
4.75
4.60
2017
140,000
5.25
5.35
2008
85,000
4.75
4.65
2018
150,000
5.375
5.40
2009
90,000
4.75
@100
2019
155,000
5.40
5.45
@100
2010
95,000
5.00
4.80
2020
165,000
5.50
Payment of the principal of and interest on the Bonds when due will be guaranteed by a municipal bond insurance policy issued
simultaneously with the delivery of the Bonds by Financial Guaranty Insurance Company.
Financial Guaranty Insurance
r VIU Company
FOCI@ -PW w aamw".M a" ILS 6wea�st aPaF
Security and Sources of Payment: The Bonds will constitute general obligations of the Town of Wappinger, Dutchess
County, New York and will contain a pledge of its faith and credit for the payment of the principal of and interest on the
Bonds, and all the taxable real property within the District will be subject to the levy of ad valorem taxes, without
limitation as to rate or amount, for such purposes.
Prior Redemption: The Bonds are subject to redemption prior to maturity. See "Optional Redemption" herein.
Form end Denomination: The Bonds will be issued as registered obligations, and when issued, will be registered in the
name of Cede & Co. as nominee of The Depository Trust Company ("DTC"), New York, New York, which will act as the
securities depository for the Bonds. Individual purchases of the Bonds may be made only in book -entry -only form in
denominations of $5,000 or integral multiples thereof. Bondowners will not receive certificates representing their
ownership interest in the Bonds purchased. See "Book -Entry -Only System," herein.
Payment. Payment of the principal of and interest on the Bonds to the Beneficial Owners of the Bonds will be made by
DTC Participants and Indirect Participants in accordance with standing instructions and customary practices, as is now the
case with municipal securities held for the accounts of customers in bearer form or registered in "street name." Payment
will be the responsibility of the DTC Participant or Indirect Participant and not of DTC or the District, subject to any
statutory and regulatory requirements as may be in effect from time to time. See "Book -Entry -Only System," herein.
The Bonds are offered when, as and if issued and received by the purchasers and subject to the respective
approval of legality by Willkie Farr & Gallagher, Bond Counsel, New York, New York and certain other
conditions. It is expected that delivery of the Bonds in book -entry -only form will be made on or about October
3, 2000 in New York, New York.
This revised cover page supplements the Official Statement of the Town of Wappinger, Dutchess County,
New York, dated September 18 2000 relating to the obligations thereof described therein and herein by
including certain information omitted from such Official Statement in accordance with Securities and
Exchange Commission Rule 15c2-12 (the "Rule-). Except for the revisions to the "Ratings" section and the
addition of Appendix C, there have been no revisions made to said Official Statement, other than as set forth
on this revised cover page.
REVISED COVER PAGE DATED: SEPTEMBER 26, 2000
ROOSEVELT & CROSS, INC. AND ASSOCIATES
NEW ISSUE SERIAL BONDS MOODY'S INVESTORS SERVICE:
In the opinion of Bond Counsel, assuming continuing compliance by the District with its covenants relating
to certain requirements contained in the Internal Revenue Code of 1986, as amended (the "Code"), interest
on the Bonds is not includable in the gross income of the owners thereof for Federal income tax purposes
under existing statutes and court decisions. Moreover, interest on the Bonds is not an "Item Of Tax
Preference" for purposes of the individual and corporate alternative minimum taxes imposed by the Code.
Interest on the Bonds is exempt from personal income taxes imposed by the State of New York or any
political subdivision thereof (including the City of New York). See "Tax Exemption" herein for a discussion
of certain Federal taxes applicable to corporate owners of the Bonds. The Bonds will be designated as
"qualified tax-exempt obligations" pursuant to Section 265 (b)(3) of the Internal Revenue Code of 1986.
TOWN OF WAPPINGER
DUTCHESS COUNTY, NEW YORK
$2,085,000 PUBLIC IMPROVEMENT (SERIAL) BONDS, 2000
(The "Bonds")
Dated Date: October 1, 2000 Principal Due: October 1, 2001-2020, as shown below.
Interest Due: April 1 and October 1 of each year until
maturity commencing April 1, 2001.
BOND MATURITY SCHEDULE
Yield Yield
Year Amount* Rate Or Price Year Amount* Rate Or Price
2001
$60,000 %
% 2011
$100,000 % %
2002
65,000
2012
110,000
2003
65,000
2013
115,000
2004
70,000
2014
120,000
2005
75,000
2015
125,000
2006
80,000
2016
135,000
2007
80,000
2017
140,000
2008
85,000
2018
150,000
2009
90,000
2019
155,000
2010
95,000
2020
170,000
* Principal amounts subject to change for compliance with the requirements of substantially level or declining annual debt
service.
Security and Sources of Payment: The Bonds will constitute general obligations of the Town of Wappinger,
Dutchess County, New York and will contain a pledge of its faith and credit for the payment of the principal of and
interest on the Bonds, and all the taxable real property within the District will be subject to the levy of ad valorem taxes,
without limitation as to rate or amount, for such purposes.
Prior Redemption: The Bonds are subject to redemption prior to maturity. See "Optional Redemption" herein.
Form and Denomination: The Bonds will be issued as registered obligations, and when issued, will be registered in
the name of Cede & Co. as nominee of The Depository Trust Company ("DTC"), New York, New York, which will act as
the securities depository for the Bonds. Individual purchases of the Bonds may be made only in book -entry -only form
in denominations of $5,000 or integral multiples thereof. Bondowners will not receive certificates representing their
ownership interest in the Bonds purchased. See "Book -Entry -Only System," herein.
Payment: Payment of the principal of and interest on the Bonds to the Beneficial Owners of the Bonds will be made by
DTC Participants and Indirect Participants in accordance with standing instructions and customary practices, as is now
the case with municipal securities held for the accounts of customers in bearer form or registered in "street name."
Payment will be the responsibility of the DTC Participant or Indirect Participant and not of DTC or the District, subject to
any statutory and regulatory requirements as may be in effect from time to time. See "Book -Entry -Only System," herein.
The Bonds are offered when, as and if issued and received by the purchasers and subject to the respective
approval of legality by Willkie Farr & Gallagher, Bond Counsel, New York, New York and certain other
conditions. It is expected that delivery of the Bonds in book -entry -only form will be made on or about
October 3, 2000 in New York, New York.
The District deems this Official Statement to be final for purposes of Securities and Exchange Commission
Rule 15c2-12 (The "Rule"), except that certain information that has been omitted herefrom in accordance with
said Rule and will be supplied when this Official Statement is updated following the sale of the obligations
herein described. This Official Statement will be so updated upon request of the successful bidder, as more
fully described in the Notices of Sale with respect to the obligations herein described. The District will
covenant in a continuing disclosure undertaking to provide notice of certain information (as defined in the
Rule) as required by the Rule (see "The Bonds, Continuing Disclosure Undertaking," herein).
DATED: SEPTEMBER 18, 2000
TOWN OF WAPPINGER
DUTCHESS COUNTY, NEW YORK
TOWN BOARD
CONSTANCE O. SMITH
VINCENT BETTINA
JOSEPH PAOLONI
JOSEPH RUGGIERO
ROBERT L. VALDATI
ELAINE H. SNOWDEN
ALBERT P. ROBERTS
BOND COUNSEL
Supervisor
Councilman
Councilman
Councilman
Councilman
Town Clerk
Town Attorney
WILLKIE FARR & GALLAGHER
New York, New York
FINANCIAL ADVISOR
PUBLIC FINANCE ASSOCIATES, INC.
Hopewell Junction, New York
No person has been authorized by the Town of Wappinger to give any information or to make any
representations not contained in this Official Statement and, if given or made, such information or
representations must not be relied upon as having been authorized. This Official Statement does not
constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of the Notes by any
person in any jurisdiction in which it is unlawful for such person to make such offer, solicitation or sale. The
information, estimates and expressions of opinion herein are subject to change without notice, and neither
the delivery of this Official Statement nor any sale made hereunder shall, under any circumstances, create
any implication that there has been no change in the affairs of the Town of Wappinger since the date hereof.
TABLE OF CONTENTS
PAGE
PAGE
THE BONDS
DISCUSSION OF FINANCIAL MATTERS
Continuing Disclosure Undertaking
1
Budgetary Procedure
16
Description of the Bonds
2
Investment Policy
16
Optional Redemption
2
Financial Operations
17
Book -Entry -Only System
3
Basis Of Accounting
17
Certificated Bonds
4
Fund Structure and Accounts
18
Authorization and Purpose
4
Revenues
18
Nature of the Obligation
4
State Aid
18
Remedies Upon Default
5
Pension Systems
18
THE TOWN
REAL PROPERTY TAX INFORMATION
General Information
6
Real Property Taxes Statistics
19
Form of Government
6
Major Taxpayers
19
Services
6
Tax Collection Procedures
19
Employee Contracts
6
20
LITIGATION
ECONOMIC AND DEMOGRAPHIC INFORMATION
Population
7
RISK FACTORS
20
Income
Employment
7
7
TAX EXEMPTION
21
Education
Financial Institutions
9
9
LEGAL MATTERS
21
Transportation
Utilities
9
9
RATINGS
22
Culture and Recreation
9
FINANCIAL ADVISOR
22
INDEBTEDNESS OF THE TOWN
ADDITIONAL INFORMATION
23
Constitutional Requirements
10
Statutory Procedure
10
APPENDIX A - Independent Auditors Report
-
Constitutional Debt Limit
11
Combined Financial Statements with Notes
Debt Contracting Power
12
Thereto - Year ended December 31, 1998
Short -Term Indebtedness
12
Prospective Capital Financings
12
APPENDIX B -Certain Financial Information
Debt Service Schedule
13
Obtained From Statements
Principal Amortization by Purpose
14
Trend of Bond Indebtedness
14
APPENDIX C - Summary of Adopted
Overlapping Debt
15
Budget - Year Ended December 31, 2000
Debt Ratios
15
APPENDIX D - Municipal Bond Insurance
OFFICIAL STATEMENT
RELATING TO
TOWN OF WAPPINGER
DUTCHESS COUNTY, NEW YORK
$2,085,000 PUBLIC IMPROVEMENT (SERIAL) BONDS, 2000
This Official Statement, which includes the cover page, presents certain information relating to the Town of
Wappinger, in Dutchess County, in the State of New York (the "Town", "County", and "State," respectively),
in connection with the sale of $2,085,000 Public Improvement (Serial) Bonds, 2000 (the "Bonds").
All quotations from and summaries and explanations of provisions of the Constitution and laws of the State
and acts and proceedings of the Town contained herein do not purport to be complete and are qualified in
their entirety by reference to the official compilations thereof and all references to the Bonds and the
proceedings of the Town relating thereto are qualified in their entirety by reference to the definitive form of
the Bonds and such proceedings.
The Bonds are general obligations of the Town and contain a pledge of the faith and credit of the Town for
the punctual payment of the principal of and interest on the Bonds. For the payment of the principal of and
interest on the Bonds the Town has the power to levy ad valorem taxes on all taxable real property in the
Town. See "Real Property Taxes and Assessments" below.
THE BONDS
CONTINUING DISCLOSURE UNDERTAKING
In accordance with the requirements of Rule 15c2-12, as the same may be amended or officially interpreted
from time to time, (the "Rule") promulgated by the Securities and Exchange Commission (the
"Commission"), the Town has agreed to provide, or cause to be provided:
(i) During any succeeding fiscal year in which the Bonds are outstanding, to each nationally recognized
municipal securities information repository ("NRMSIR") designated by the Commission in
accordance with the Rule, and to the New York State information depository ("SID"), if the New York
State creates a depository ('SID"), certain annual financial information and operating data for the
preceding fiscal year, in a form generally consistent with the information contained or cross-
referenced under the headings, "Indebtedness of the Town and all subheadings, Discussion of
Financial Matters and all subheadings, Real Property Tax Information and all subheadings, and
Litigation" and a copy of the audited financial statements (prepared in accordance with generally
accepted accounting principals in effect at the time of the audit) for the preceding year, if any, such
information, data and audit, if any, will be so provided on or prior to the later of either the end of the
sixth month of each such succeeding fiscal year or, if an audited financial statement is prepared,
sixty days following receipt by the Town of audited financial statements for the preceding fiscal year,
but, in no event, not later than the last business day of each such succeeding fiscal year.
(ii) In a timely manner, to each NRMSIR or to the Municipal Securities Rulemaking Board ("MSRB") and
to the SID, notice of the occurrence of any of the following events with respect to the Bonds, if such
event is material:
(a) Principal and interest payment delinquencies
(b) Non-payment related defaults
(c) Unscheduled draws on debt service reserves reflecting financial difficulties
(d) Unscheduled draws on credit enhancements reflecting financial difficulties
(e) Substitution of credit or liquidity providers, or their failure to perform
(f) Adverse tax opinions or events affecting the tax-exempt status of the Bonds
(g) Modifications to rights of Bondholders
(h) Bond calls
(i) Defeasances
Q) Release, substitution, or sale of property securing repayment of the Bonds
(k) Rating changes
The Town may from time to time choose to provide notice of the occurrence of certain other events, in
addition to those listed above, if the Town determines that any such other event is material with respect to
the Bonds; but the Town does not undertake to commit to provide any such notice of the occurrence of any
material event except those events listed above.
(iii) In a timely manner, to each NRMSIR or to the MSRB and to the SID, notice of its failure to provide the
aforedescribed annual financial information and operating data and such audited financial
statements, if any, on or before the date specified.
The Town reserves the right to terminate its obligations to provide the aforedescribed annual financial
information and operating data and such audited financial statement, if any, and notices of material events,
as set forth above, if and when the Town no longer remains an obligated person with respect to the Bonds
within the meaning of the Rule. The Town acknowledges that its undertaking pursuant to the Rule described
under this heading is intended to be for the benefit of the holders of the Bonds (including holders of
beneficial interests in the Bonds). The right of holders of the Bonds to enforce the provisions of the
undertaking will be limited to a right to obtain specific enforcement of the Town's obligations under its
continuing disclosure undertaking and any failure by the Town to comply with the provisions of the
undertaking will not be a default with respect to the Bonds.
The Town reserves the right to modify from time to time the specific types of information provided or the
format of the presentation of such information, to the extent necessary or appropriate in the judgment of the
Town; provided that, the Town agrees that any such modification will be done in a manner consistent with
the Rule. A Continuing Disclosure Certificate to this effect shall be provided to the purchaser of the closing.
The Town is in compliance with all prior undertakings made pursuant to the ruling.
DESCRIPTION OF THE BONDS
The Bonds will be dated October 1, 2000, will bear interest payable semiannually on April 1 and October 1 of
each year commencing April 1, 2001, and will serially mature on October 1 as shown on the cover page of
this Official Statement. The individual purchasers will determine the denomination of the Bonds which shall
be in denominations of five thousand dollars ($5,000) or integral multiples thereof. The Bonds will be issued
as registered bonds in book -entry form. See "Book -Entry -Only System," herein. Principal and interest will
be paid in lawful money of the United States of America (Federal Funds) by the Town to the securities
depository company.
THE RECORD DATE (THE "RECORD DATE") FOR THE BONDS IS THE FIFTEENTH DAY OF THE MONTH
IMMEDIATELY PRECEDING EACH INTEREST PAYMENT.
OPTIONAL REDEMPTION
The Bonds maturing on or before October 1, 2008 will not be subject to redemption prior to maturity. The
Bonds maturing on October 1, 2009, and thereafter, will be subject to redemption, at the option of the Town
prior to maturity, in whole or in part, on any interest payment date on or after October 1, 2008, at redemption
prices, expressed as a percentage of par as follows:
Redemption Price
Redemption Dates As a Percentage
All Dates Inclusive of Par Amount
October 1, 2008 and April 1, 2009 101.0%
October 1, 2009 and April 1, 2010 100.5
October 1, 2010 and thereafter 100.0
If less than all of the Bonds of any maturity are to be redeemed, the particular bonds of such maturity to be
redeemed shall be selected by lot in any customary manner of selection as determined by the Supervisor.
Notice of such call for redemption shall be given by mailing such notice to the registered holder not more
than sixty (60) days nor less than thirty (30) days prior to such date. Notice of redemption having been given
as aforesaid, the bonds so called for redemption shall, on the date for redemption set forth in such call for
redemption, become due and payable together with interest to such redemption date. Interest shall cease to
be paid thereon after such redemption date (See "Book -Entry -Only System" for additional information
concerning redemptions).
2
BOOK -ENTRY -ONLY SYSTEM
The Depository Trust Company ("DTC"), New York, New York, will act as securities depository for the Bonds.
The Bonds will be issued as fully -registered securities, registered in the name of Cede & Co. (DTC's
partnership nominee) or such other name as maybe requested by an authorized representative of DTC. One
fully registered bond certificate will be issued and deposited with DTC for each bond maturity.
DTC is a limited -purpose trust company organized under the New York Banking Law, a "banking
organization" within the meaning of the New York Banking Law, a member of the Federal Reserve System, a
,.clearing corporation" within the meaning of the New York Uniform Commercial Code, and a "clearing
agency registered pursuant to the provisions of Section 17A of the Securities Exchange Act of 1934. DTC
holds securities that its participants ("Participants") deposit with DTC. DTC also facilitates the settlement
among Participants of securities transactions, such as transfers and pledges, in deposited securities
through electronic computerized book -entry changes in Participants' accounts, thereby eliminating the need
for physical movement of securities certificates. Direct Participants include securities brokers and dealers,
banks, trust companies, clearing corporations, and certain other organizations. DTC is owned by a number
of its Direct Participants and by the New York Stock Exchange, Inc., the American Stock Exchange, Inc., and
the National Association of Securities Dealers, Inc. Access to the DTC system is also available to others
such as securities brokers and dealers, banks, and trust companies that clear through or maintain a
custodial relationship with a Direct Participant, either directly or indirectly ("Indirect Participants"). The
Rules applicable to DTC and its Participants are on file with the Securities and Exchange Commission.
Purchases of Bonds under the DTC system must be made by or through Direct Participants, which will
receive a credit for the Bonds on DTC's records. The ownership interest of each actual purchaser of each
Bond ("Beneficial Owner") is in turn to be recorded on the Direct and Indirect Participants' records.
Beneficial Owners will not receive written confirmation from DTC of their purchase, but Beneficial Owners
are expected to receive written confirmations providing details of the transaction, as well as periodic
statements of their holdings, from the Direct or Indirect Participant through which the Beneficial Owner
entered into the transaction. Transfers of ownership interests in the Bonds are to be accomplished by
entries made on the books of Participants acting on behalf of Beneficial Owners. Beneficial Owners will not
receive certificates representing their ownership interest in the Bonds, except in the event that use of the
book -entry -only system for the Bonds is discontinued.
To facilitate subsequent transfers, all Bonds deposited by Participants with DTC are registered in the name
of DTC's partnership nominee, Cede & Co., or such other name as may be requested by an authorized
representative of DTC. The deposit of the Bonds with DTC and their registration in the name of Cede & Co.
or such other DTC nominee will effect no change in beneficial ownership. DTC has no knowledge of the
actual Beneficial Owners of the Bonds; DTC's records reflect only the identity of the Direct Participants to
whose accounts such Bonds are credited, which may or may not be the Beneficial Owners. The Participants
will remain responsible for keeping accounts of their holdings on behalf of their customers.
Conveyance of notices and other communications by DTC to Direct Participants, by Direct Participants to
Indirect Participants, and by Direct Participants and Indirect Participants to Beneficial Owners will be
governed by arrangements among them, subject to any statutory or regulatory requirements as may be in
effect from time to time.
Beneficial Owners of the Bonds may wish to take certain steps to augment the transmission to them of
notices of significant events with respect to the Bonds, such as redemptions, tenders, defaults, and
proposed amendments to the Bond documents. Beneficial Owners of the Bonds may wish to ascertain that
the nominee holding the Bonds for their benefit has agreed to obtain and transmit notices to Beneficial
Owners, or in the alternative, Beneficial Owners may wish to provide their names and addresses to the
registrar and request that copies of notices be provided directly to them.
Redemption notices shall be sent to DTC. If less than all of the Bonds within an issue are being redeemed,
DTC's practice is to determine by lot the amount of the interest of each Direct Participant of such issue to be
redeemed.
Principal and interest payments on the Bonds will be made to Cede & Co. or such other name as may be
requested by an authorized representative of DTC. DTC's practice is to credit Direct Participants' accounts
upon DTC's receipt of funds and corresponding detail information from the Town on the payable date, in
accordance with their respective holdings shown on DTC's records. Payments by Participants to Beneficial
Owners will be governed by standing instructions and customary practices, as is the case with securities
held for the accounts of customers in bearer form or registered in "street name," and will be the
responsibility of such Participant and not of DTC (nor its nominee) or the Town, subject to any statutory or
regulatory requirements as may be in effect from time to time. Payment of principal and interest to Cede &
Co. or such other name as may be requested by an authorized representative of DTC is the responsibility of
3
the Town, disbursement of such payments to Direct Participants is the responsibility of DTC, and
disbursement of such payments to the Beneficial Owners is the responsibility of Direct and Indirect
Participants.
DTC may discontinue providing its service as the securities depository with respect to the Bonds, at any
time, by giving reasonable notice to the Town. Under such circumstances, in the event that a successor
securities depository is not obtained, bond certificates are required to be printed and delivered. The Town
may decide to discontinue use of the system of book -entry transfers through DTC (or a successor securities
depository). In that event, bond certificates will be printed and delivered.
Source: The Depository Trust Company, New York, New York.
THE INFORMATION CONTAINED IN THE ABOVE SECTION CONCERNING DTC AND DTC'S BOOK -ENTRY
SYSTEM HAS BEEN OBTAINED FROM SOURCES THAT THE TOWN BELIEVES TO BE RELIABLE BUT THE
TOWN TAKES NO RESPONSIBILITY FOR THE ACCURACY THEREOF. IN ADDITION, THE TOWN WILL NOT
HAVE ANY RESPONSIBILITY OR OBLIGATION TO PARTICIPANTS, TO INDIRECT PARTICIPANTS OR TO
ANY BENEFICIAL OWNER WITH RESPECT TO: (1) THE ACCURACY OF ANY RECORDS MAINTAINED BY
DTC, ANY PARTICIPANT OR ANY INDIRECT PARTICIPANT; (II) THE PAYMENTS BY DTC OR ANY
PARTICIPANT OR ANY INDIRECT PARTICIPANT OF ANY AMOUNT WITH RESPECT TO THE PRINCIPAL OF,
OR PREMIUM, IF ANY, OR INTEREST ON THE BONDS OR (III) ANY NOTICE WHICH IS PERMITTED OR
REQUIRED TO BE GIVEN TO BONDOWNERS.
CERTIFICATED BONDS
DTC may discontinue providing its services with respect to the Bonds, at any time, by giving notice to the
Town and discharging its responsibilities with respect thereto under applicable law or the Town may
terminate its participation in the system of book -entry -only transfers through DTC, at any time. In the event
that the book -entry -only system is discontinued, the following provisions will apply.
The Bonds will be issued in fully registered form in denominations of $5,000 each or any integral multiple
thereof. Principal of the Bonds when due would be payable upon presentation at the principal corporate
trust office of a fiscal agent (the "Fiscal Agent") to be appointed by the Town. Interest on the Bonds will be
payable as described herein. Such interest would be payable by check drawn on the Fiscal Agent and mailed
to the registered owner on each interest payment date at the address as shown on the registration books of
the Fiscal Agent as of the Record Date preceding each such interest payment date. Bonds could be
transferred or exchanged, at no cost to the registered owner, at any time prior to their maturity, at the
principal corporate trust office of the Fiscal Agent, for Bonds of the same or any other authorized
denomination or denominations in the same aggregate principal amount upon the terms set forth in the
consolidating resolution authorizing the sale of the Bonds and fixing the details thereof and in accordance
with the Local Finance Law. The Fiscal Agent would not be obligated to make any such transfer or exchange
of Bonds between Record Date and any such interest payment date.
AUTHORIZATION AND PURPOSE
The Bonds are issued pursuant to the State Constitution and statutes of the State, including among others,
the Town Law, the Local Finance Law, and other proceedings and determinations relating thereto, including
a bond resolution adopted by the Town Board on June 26, 2000 authorizing the issuance of $2,085,300 serial
bonds to pay the cost of the acquisition of a parcel of land of approximately 99.6 acres and the buildings
thereon (commonly known as the "Greystone Property").
The proceeds of the Bonds will be used to provide new money to finance the aforementioned project.
NATURE OF THE OBLIGATION
Each Bond when duly issued and paid for will constitute a contract between the Town and the holder thereof.
The Bonds will be general obligations of the Town and will contain a pledge of the faith and credit of the
Town for the payment of the principal thereof and the interest thereon. For the payment of such principal
and interest, the Town has the power and statutory authority to levy ad valorem taxes on all the taxable real
property within the Town without limitation as to rate or amount. Under Article VIII of the State Constitution,
the State Legislature is specifically precluded from restricting the power of the Town to levy taxes on real
estate for the payment of principal and interest on outstanding indebtedness.
4
REMEDIES UPON DEFAULT
NO PRINCIPAL OF OR INTEREST PAYMENT ON TOWN INDEBTEDNESS IS PAST DUE. THE TOWN HAS
NEVER DEFAULTED IN THE PAYMENT OF THE PRINCIPAL OF OR INTEREST ON ANY INDEBTEDNESS.
Section 3-a of the General Municipal Law provides, subject to exceptions not pertinent, that the rate of
interest to be paid by a Town upon any judgment or accrued claim against such Town shall not exceed 9%
per -annum. This provision might be construed to have application to the holders of the Bonds in the event of
a default in the payment of the principal of or interest on the Bonds.
In accordance with the general rule with respect to municipalities, judgments against the Town may not be
enforced by levy and execution against property owned by the Town.
The Federal Bankruptcy Code allows recourse to the protection of a Federal Court by public bodies such as
the Town for the purpose of adjusting outstanding indebtedness. Section 85.80 of the Local Finance Law
contains specific authorization for any municipality in the State (including the Town) to file a petition under
any provision of Federal bankruptcy law for the composition or adjustment of municipal indebtedness.
At the Extraordinary Session of the State Legislature held in November, 1975, legislation was enacted which
purported to suspend the right to commence or continue an action in any court to collect or enforce certain
short-term obligations of the City of New York. The effect of such act was to create a three-year moratorium
on actions to enforce the payment of such obligations. On November 19, 1976, the Court of Appeals, the
State's highest court, declared such act to be invalid on the grounds that it violates the provisions of the
State Constitution requiring a pledge by such city of its faith and credit for the payment of such obligation.
As a result of the Court of Appeals decision, the constitutionality of that portion of Title 6-A of the Local
Finance Law enacted at the 1975 Extraordinary Session of the State Legislature, authorizing any County,
City, Town or Village with respect to which the State has declared a financial emergency to petition the State
Supreme Court to stay the enforcement against such municipality of any claim for payment relating to any
contract, debt or obligation of the municipality during the emergency period, is subject to doubt. In any
event, no such emergency has been declared with respect to the Town.
THE TOWN
GENERAL INFORMATION
The Town of Wappinger, classified as a First Class Town, encompasses 28.8 square miles within the
southwestern part of the County of Dutchess, New York. The Town includes the major portion of the Village
of Wappingers Falls and the unincorporated communities of Chelsea, Hughsonville, and New Hackensack.
Wappinger is a suburban community and primarily residential in nature. Residences consist primarily of
single family homes. However, the Town has considerable shoreline on the east bank of the Hudson River
which has been utilized as a site for garden apartment complexes and condominiums. The Town also enjoys
substantial retail and commercial activity and some light industry. Commercial activity is located in the
Village of Wappingers Falls and along U.S. Route 9. The Castle Point Veterans Hospital and Dutchess
County Airport are within the Town borders.
FORM OF GOVERNMENT
The Town of Wappinger was established in 1875. The Town is a separate political entity vested with
independent taxing and debt authority. Situated within the Town's borders are portions of three
independent school Towns. The school Towns use the Town's assessment roll as the basis for taxation of
property within the Town. -
The legislative power of the Town is vested in the Town Board, which consists of five members, including
the Town Supervisor, who is the presiding member and chief fiscal officer of the Town, elected for a term of
two years. The four other members of the Town Board (Councilmen) are also elected to two-year terms.
Councilmen are elected in accordance with the ward system - 4 wards, one councilman per ward. There are
no limitations as to the number of terms which may be served.
The Town Clerk serves as custodian of the Town's legal documents and papers, maintains the minutes of
proceedings of the Town Board and is responsible for the publication and filing of all official notices. The
Clerk is elected to serve a four-year term; the number of terms is not limited. The Receiver of Taxes, unless
otherwise provided by law, has the duty to receive and collect all State, County, Town and school taxes and
all assessments that may be levied in the Town. The Receiver of Taxes serves a two-year term and the
number of terms is without limit. Other offices of the Town include: two Town Justices, each elected to a
four-yearterm; the Highway Superintendent, elected to a four-year term; and the Town Comptroller and the
Town Attorney who are appointed by and serve at the pleasure of the Town Board.
SERVICES
The Town is responsible for providing most governmental services to its residents.
Water and sewer services are furnished by various water and sewer districts which have been formed within
the Town.
Highway construction and maintenance is also a Town function. In addition, recreation is provided and
parks maintained through Town government. Other services performed at the Town level include: property
assessment, building inspection, zoning administration and the local justice court system. The County
Sheriffs Office and the New York State Police furnish police protection while fire protection is provided for
through the three fire districts located in the Town. Education is the responsibility of the three independent
school Towns serving the Town. The County of Dutchess provides various social and health services.
EMPLOYEE CONTRACTS
The Town employs approximately 50 full-time and 35 part-time workers. There is one collective bargaining
organization representing Town employees as follows:
Unit
Membership Contract Expiration Date
C.S.E.A. 17 12-31-99 *
Currently being negotiated.
11
ECONOMIC AND DEMOGRAPHIC INFORMATION
POPULATION
The population of the Town was 5,090 in 1950 and 9,577 in 1960. During the Sixties the Town experienced
rapid growth and by 1970 the population had reached 22,040. Population trends since 1980 are indicated in
the table below.
TABLE 1
POPULATION TREND
1980-1996
(a) Estimate as of July 1, 1998.
Source: U.S. Department of Commerce, Bureau of the Census; State Department of Economic Development
INCOME
The following table indicates comparative income statistics for the Town of Wappinger, Dutchess County,
and State.
14 =1K
PER CAPITA MONEY INCOME
1980
1990
% Increase
% Change
1980
1990
1998 (a)
80/90 90/98
Town 26,776
26,008
26,708
(2.9)% 2.7%
County 245,055
259,462
265,317
5.9 2.3
State 17,557,288
17,990,455
18,175,301
2.5 1.3
(a) Estimate as of July 1, 1998.
Source: U.S. Department of Commerce, Bureau of the Census; State Department of Economic Development
INCOME
The following table indicates comparative income statistics for the Town of Wappinger, Dutchess County,
and State.
14 =1K
PER CAPITA MONEY INCOME
1980
1990
% Increase
Town $8,336
$18,609
123.2%
County 7,559
17,420
130.5
State 7,496
16,501
120.1
Source: State Department of Economic Development.
EMPLOYMENT
The following four tables provide information about the labor force in the Town of Wappinger and Dutchess
County, unemployment trends and major employers.
TABLE 3
EMPLOYED CIVILIAN LABOR FORCE
1990-1999
% Increase
1990 1993
1999
90/93
93/99
Town 15,067 12,636
13,048
(16.1)%
3.3%
County 125,217 112,112
115,767
(10.5)
3.3
State 8,223,000 7,985,000
8,423,843
(2.9)
5.5
Source: State Department of Labor.
7
The following table lists major employers in Dutchess County which provide employment for County
residents, including residents of the Town.
TABLE 4
MAJOR EMPLOYERS IN THE COUNTY*
(400 or more employees)
* Some of the employment figures include part-time positions.
Source: Dutchess County Department of Planning (2/99).
TABLE 5
AVERAGE UNEMPLOYMENT RATES
Number
Name
Industry or Business
of Employees
International Business Machine Corp.
Manufacturing
10,350
State of New York
Government
7,700
St. Francis Hospital
Hospital
2,129
Federal Govt (incl. U.S. Postal Serv.)
Government
2,000
Vassar Brothers Hospital
Hospital
1,100
MiCrus
Manufacturing
1,000
Vassar College
Education
1,000
Shop Rite
Retail Shopping
779
Marist College
Education
754
Central Hudson Gas & Electric Corp.
Utility
575
Astor Home for Children
Social Services
575
Culinary Institute of America
Education
550
Grand Union
Retail
536
Ferncliff Nursing Home
Nursing Home
480
Wal Mart Stores, Inc.
Retail Shopping
465
Bard College
Education
456
Price Chopper
Retail Shopping
438
Manpower
Employment Services
434
Northern Dutchess Hospital
Hospital
400
* Some of the employment figures include part-time positions.
Source: Dutchess County Department of Planning (2/99).
TABLE 5
AVERAGE UNEMPLOYMENT RATES
(a) Monthly Rates.
Source: State Department of Labor.
1.1
Unite
d
Year
Town
-County
State
States
1995
4.7%
5.0%
6.3%
5.6%
1996
3.9
4.2
6.2
5.4
1997
3.8
4.1
6.4
4.9
1998
3.1
3.4
5.6
4.5
1999
3.2
3.5
5.2
4.2
2000: (a)
Jan
3.5
3.7
5.5
4.5
Feb
3.6
3.9
5.3
4.4
Mar
3.1
3.3
5.0
4.3
Apr
2.7
2.9
4.4
3.7
May
2.7
2.9
4.3
3.9
Jun
2.7
2.9
4.3
4.2
Jul
2.5
2.7
4.4
4.2
(a) Monthly Rates.
Source: State Department of Labor.
1.1
EDUCATION
Elementary and secondary education is the responsibility of the three independent school districts in the
Town. Children of the Town attend one of the three Towns, determined by geography. Dutchess County
Community College, a two-year co-educational college, offers four main programs of study leading to
associate degrees in the arts, science, applied science and a one year certificate. In addition, there are three
four-year colleges located in the County. These institutions are Bard College, Marist College and Vassar
College.
FINANCIAL INSTITUTIONS
Numerous banking facilities are available in and around the Town. Many of the State's major commercial
banks have branch offices located in the area. The Bank of New York, Premier National Bank, First Union
Bank, Fleet Bank, Key Bank of New York, HSBC (Marine Midland Bank) and M & T Bank are located within the
Town or nearby.
TRANSPORTATION
The Town maintains its own interior road network. Interstate 84 (providing access east to Danbury,
Connecticut and west to Scranton, Pennsylvania) and several U.S. and State Highways serve the Town
including U.S. Route 9 and N.Y.S. Routes 9D, 82, and 376. Frequent bus service is available by the Dutchess
County Loop System which provides intra -county service. Metro North Railroad provides a commuter
service to New York City via the Hudson Line, with stops at Poughkeepsie, New Hamburg and Beacon.
Commercial air transportation is available at nearby Stewart Airport located in Orange County.
UTILITIES
Electricity and natural gas are supplied throughout the Town by Central Hudson Gas & Electric Corp
Telephone service is provided by Verizon.
CULTURE AND RECREATION
Several libraries are available to residents of the Town of Wappinger. Grinnell Library, a member of the Mid -
Hudson Library System, located within the Town, offers a variety of services. The library at Dutchess County
Community College is open to the public for reference work.
The Town of Wappinger has several recreation areas open to residents. There are facilities for baseball,
soccer, tennis, skills and crafts and picnic areas. Activities for special groups including senior citizens are
available.
I7
INDEBTEDNESS OF THE TOWN
CONSTITUTIONAL REQUIREMENTS
The New York State Constitution limits the power of the Town (and other municipalities and school Towns of
the State) to issue obligations and to otherwise contract indebtedness. Such constitutional limitations
include the following, in summary form, and are generally applicable to the Town and its obligations.
Purpose and Pledge
Subject to certain enumerated exceptions, the Town shall not give or loan any money or property to or in aid
of any individual or private corporation or give or loan its credit to or in aid of any of the foregoing or any
public corporation.
The Town may contract indebtedness only for a Town purpose and shall pledge its faith and credit for the
payment of principal of and interest thereon.
Payment and Maturity
Except for certain short-term indebtedness contracted in anticipation of taxes or to be paid within three fiscal
year periods, indebtedness shall be paid in annual installments commencing no later than two years after the
date such indebtedness shall have been contracted and ending no later than the expiration of the period of
probable usefulness of the object or purpose as determined by statute or, in the alternative, the weighted
average period of probable usefulness of the several objects or purposes for which it is contracted. No
installment may be more than fifty per centum in excess of the smallest prior installment, unless the Town
determines to issue a particular debt obligation amortizing on the basis of substantially level or declining
debt service. The Town is required to provide an annual appropriation for the payment of interest due during
the year on its indebtedness and for the amounts required in such year for amortization and redemption of
its serial bonds and such required annual installments on its notes.
Debt Limit
The Town has the power to contract indebtedness for any Town purpose so long as the principal amount
thereof shall not exceed seven percentum of the average full valuation of taxable real estate of the Town and
subject to certain enumerated exclusions and deductions such as water and certain sewer facilities and cash
or appropriations for current debt service. The constitutional method for determining full valuation is by
taking the assessed valuation of taxable real estate for the last completed assessment roll and applying
thereto the ratio which such assessed valuation bears to the full valuation as determined by the State Board
of Real Property Services (the "State Board"). The State Legislature is required to prescribe the manner by
which such ratio shall be determined. Average full valuation is determined by taking the sum of the full
valuations of such last completed assessment roll and the four preceding assessment rolls and dividing
such sum by five.
STATUTORY PROCEDURE
In general, the State Legislature has authorized the powers and procedure for the Town to borrow and incur
indebtedness by the enactment of the Local Finance Law, subject, of course, to the constitutional provisions
set forth above. The power to spend money, however, generally derives from other law, including
specifically the General Municipal Law of New York State and the Town Law.
Pursuant to the Local Finance Law, the Town authorizes the issuance of bonds by the adoption of a
resolution, approved by at least two-thirds of the members of the Town Board, the finance board of the
Town. Customarily the Town has delegated to the Supervisor, as chief fiscal officer of the Town, the power
to authorize and sell bond anticipation notes in anticipation of authorized bonds.
The Local Finance Law also provides that where a bond resolution is published with a statutory form of
notice, the validity of the bonds authorized thereby, including bond anticipation notes issued in anticipation
of the sale thereof, may be contested only if:
10
1) Such obligations are authorized for a purpose for which the Town is not authorized to expend
money, or
2) There has not been substantial compliance with the provisions of law which should have been
complied with in the authorization of such obligations and an action contesting such validity is
commenced within twenty days after the date of such publication, or
3) Such obligations are authorized in violation of the provisions of the Constitution.
The Local Finance Law also provides an estoppel procedure whereby a bond resolution is published. Except
on rare occasions the Town complies with this estoppel procedure. It is a procedure that is recommended
by Bond Counsel, but it is not an absolute legal requirement.
Each bond resolution usually authorizes the construction, acquisition or installation of the object or purpose
to be financed, sets forth the plan of financing and specifies the maximum maturity of the bonds subject to
the legal (Constitution, Local Finance Law and case law) restrictions relating to the period of probable
usefulness with respect thereto. The Town has authorized bonds for a variety of Town objects or purposes.
Statutory law in New York permits bond anticipation notes to be renewed each year provided annual
principal installments are made in reduction of the total amount of such notes outstanding, commencing no
later than two years from the date of the first of such notes, and provided that such renewals do not extend
five years beyond the original date or borrowing (See Payment and Maturity under Constitutional
Requirements herein).
In general, the Local Finance Law contains provisions providing the Town with power to issue certain other
short-term general obligation indebtedness including revenue and tax anticipation notes and budget notes.
CONSTITUTIONAL DEBT LIMIT
Pursuant to Article VIII of the New York State Constitution, the debt limit of the Town is as follows:
TABLE 6
COMPUTATION OF DEBT CONTRACTING LIMITATION
AS OF SEPTEMBER 18, 2000
Assessment For Fiscal
Roll Year Ended Assessed Equalizatio Full
n
Completed in December 31 Valuation Rate (a) Valuation
1995
1996
$868,607,880
70.52%
$1,231,718,491
1996
1997
876,145,676
71.10
1,232,272,399
1997
1998
881,827,181
71.27
1,237,304,870
1998
1999
878,838,070
71.17
1,234,843,431
1999
2000
882,550,827
69.51
1,269,674,618
Total Five -Year Full Valuation
Average Five -Year Full Valuation
Debt Limit - 7% of Average Full Valuation
11
6,205,813,809
1,241,162,762
$ 86,881,393
TABLE 7
STATEMENT OF DEBT CONTRACTING POWER
AS OF SEPTEMBER 18, 2000
Debt Limit:
Gross Indebtedness:
Serial Bonds
Bond Anticipation Notes
Total Gross Indebtedness
Less Exclusions:
Water Serial Bonds
Water BANs
Budgetary Appropriations
Total Exclusions
Total Net Indebtedness
Amount Percentage
$86,881,393 100.00%
18,367,000 21.14
4,814,455 5.54
23,181,455 26.68
1,448,050
500,000
166,800
2,114,850
21,066,605
Net Debt Contracting Margin $65,814,788
SHORT-TERM INDEBTEDNESS
TABLE 8
BOND ANTICIPATION NOTES
AS OF SEPTEMBER 18, 2000
1.67
0.57
0.19
2.43
24.25
75.75%
$4,814,455
(a) Short-term loan issued through NYS Environmental Facilities Corp which will be permanently financed during 2001.
PROSPECTIVE CAPITAL FINANCINGS
After the sale of the Bonds the Town will have approximately $7.7 million remaining authorized but unissued
debt to pay for the cost of construction and installation of sewer improvements in the Town and
approximately $240,000 for highway equipment. The Town expects to issue this debt during the next year.
12
Original
Maturity
Amount
Purpose
Issue Date
Date
Outstanding (a)
Wappingers Sewer Transmission/Treatment
9-17-91
07-06-01
$785,000
Sewer #4
7-11-96
07-06-01
170,000
Castle Point Landfill
7-09-98
07-06-01
250,000
Purchase of Land
7-09-98
07-06-01
70,000
Wappingers Sewer (Phase 3A) (a)
7-22-99
N/A
2,676,455
Highway Equipment
12-23-99
12-23-00
363,000
Wappinger Emergency Water
07-06-00
07-06-01
500,000
$4,814,455
(a) Short-term loan issued through NYS Environmental Facilities Corp which will be permanently financed during 2001.
PROSPECTIVE CAPITAL FINANCINGS
After the sale of the Bonds the Town will have approximately $7.7 million remaining authorized but unissued
debt to pay for the cost of construction and installation of sewer improvements in the Town and
approximately $240,000 for highway equipment. The Town expects to issue this debt during the next year.
12
DEBT SERVICE SCHEDULE
The following Table shows the annual debt service requirements on all outstanding Town bonds.
(a)
TABLE 9
Outstanding Bonded Debt
Fiscal Year
Ending Total
December 31: Principal Interest* Debt Service
2000 (a)
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
Total
As of September 18, 2000.
$ 188,000
1,465,000
1,490,000
1,475,000
1,452,000
1,247,000
1,175,000
1,205,000
1,245,000
1,280,000
1,330,000
1,360,000
1,195,000
845,000
880,000
435,000
30,000
35,000
35,000
$181367,000
$ 364,083
1,107,730
1,022,266
934,516
848,957
767,372
692,286
618,991
542,691
463,246
380,073
293,308
203,763
125,285
69,940
24,215
5,142
3,605
1,802
$8,469,271
$ 552,083
2,572,730
2,512,266
2,409,516
2,300,957
2,014,372
1,867,286
1,823,991
1,787,691
1,743,246
1,710,073
1,653,308
1,398,763
970,285
949,940
459,215
35,142
38,605
36,802
$26,836,271
Includes interest on $13,685,000 outstanding serial bonds financed through NYS Environmental Facilities Corporation.
Pursuant to said financings, the Town expects to receive approximately $3,262,000 in interest subsidies over the remaining
life of the bonds. These subsidies are not reflected in the interest figures shown above.
13
PRINCIPAL AMORTIZATION BY PURPOSE
TABLE 10
OUTSTANDING BONDS
Fiscal Year
Ending
December 31:
General
Highway
Drainage
Water
Sewer
Total
2000 (a)
55,000
$ -0-
$ -0-
$ 21,200
$ 111,800
$ 188,000
2001
135,425
10,200
135,500
183,350
1,000,525
1,465,000
2002
135,425
10,200
135,500
183,350
1,025,525
1,490,000
2003
140,425
134,500
184,350
1,015,725
1,475,000
2004
145,425
120,500
171,650
1,014,425
1,452, 000
2005
150,425
113,500
70,650
912,425
1,247,000
2006
75,000
117,000
67,500
915,500
1,175,000
2007
80,000
120,000
68,000
937,000
1,205,000
2008
85,000
122,000
69,000
969,000
1,245,000
2009
90,000
126,000
69,000
995,000
1,280,000
2010
100,000
130,000
70,000
1,030,000
1,330,000
2011
105,000
130,000
70,000
1,055,000
1,360,000
2012
110,000
30,000
1,055, 000
1,195,000
2013
115,000
30,000
700,000
845,000
2014
125,000
30,000
725,000
880,000
2015
30,000
405,000
435,000
2016
30,000
30,000
2017
35,000
35,000
2018
35,000
35,000
Total $1,647,125 $20,400 $1,384,500 $1,448,050 $13,866,925 $18,367,000
(a) As of September 18, 2000.
TREND OF BOND INDEBTEDNESS
TABLE 11
BONDED DEBT HISTORY
Fiscal Year
Ended
December 31:
1992
1993
1994
1995
1996
1997
1998
1999
14
Gross
Bonded Debt
$14,618,000
13,930,000
23,051,786
24,549,054
23,191,000
21,793,000
20,860,000
19,427,000
OVERLAPPING DEBT
The real property taxpayers of the Town of Wappinger are responsible for a proportionate share of
outstanding debt obligations of Dutchess County, the Village of Wappingers Falls and the central schools
situated in the Town. Such taxpayers' share of this overlapping debt is based upon the amount of the
Town's equalized property values taken as a percentage of each separate units' total values. The following
table presents the amount of overlapping debt and the Town's estimated share of this debt. Authorized but
unissued debt has not been included.
TABLE 12
DEBT RATIOS
The following Table presents certain debt ratios relating to the Town's indebtedness as of September 18,
2000.
TABLE 13
DIRECT AND OVERLAPPING DEBT RATIOS
Per
Net
Amount
Percent
Applicable
Gross Direct Debt $23,181,455
Date of
Overlapping
Net Direct Debt 21,066,605
Applicable
Net
Overlapping Units
Report
Indebtedness
(a) The population of the Town, according to U.S. Census Data Estimate (1998) is 26,708.
To Town
Indebtednes
the State Board is 69.51 % yielding a full valuation of $1,269,674,618.
S
County of Dutchess
02-16-00
$ 79,160,000
(a)
9.10%
$ 7,203,560
Village of Wappingers Falls
05-31-98
678,700
(b)
85.00
576,895
Wappingers Central School District
06-30-99
9,336,000
(c)
30.18
2,817,605
Arlington Central School District
06-30-99
27,486,520
(c)
0.90
247,379
Beacon City School District
06-30-99
6,682,070
(c)
11.10
741,710
Total
$123,343,290
$11,587,149
(a) No exclusions.
(b) Net of $1,336,300 sewer debt.
(c) Net of State school building aid.
DEBT RATIOS
The following Table presents certain debt ratios relating to the Town's indebtedness as of September 18,
2000.
TABLE 13
DIRECT AND OVERLAPPING DEBT RATIOS
15
Per
Full
Amount
Capita (a)
Value (b)
Gross Direct Debt $23,181,455
$ 868
1.83%
Net Direct Debt 21,066,605
789
1.66
Net Direct and Overlapping Debt 32,653,754
1,223
2.57
(a) The population of the Town, according to U.S. Census Data Estimate (1998) is 26,708.
(b) Assessed real property valuation fortaxes levied in fiscal 2000 is $882,550,827. The Town's equalization rate established by
the State Board is 69.51 % yielding a full valuation of $1,269,674,618.
15
DISCUSSION OF FINANCIAL MATTERS
BUDGETARY PROCEDURE
The budget process, including preparation, approval and amendment thereof, is determined by Article 8 of
the Town Law. As noted, the Supervisor is the Town's budget officer and is required by law to file a tentative
budget with the Town Clerk on or before September 30 of each year. The tentative budget is submitted to the
Town Board not later than October 5; following review and modification, a preliminary budget hearing is held
by the 15th of November.
At this hearing, members of the public may express opinions which the Board may take under advisement.
Approval of the budget is not subject to a vote of the electorate and the Town Board may make changes
following the hearing process. The Board is required to adopt the final annual budget by November 20.
From time to time, the Town Board may make changes or modifications in the amount of annual
appropriations subject to legal provisions. The budget for fiscal 1999 may be found under Summary of
Adopted Budget herein.
INVESTMENT POLICY
Pursuant to Section 39 of the State's General Municipal Law, the Town has an investment policy applicable
to the investment of all moneys and financial resources of the Town. The responsibility for the investment
program has been delegated by the Board of Education to the Director of Financial Services who was
required to establish written operating procedures consistent with the Town's investment policy guidelines.
According to the investment policy of the Town, all investments must conform to the applicable
requirements of law and provide for: the safety of the principal; sufficient liquidity; and a reasonable rate of
return.
Authorized Investments
The Town has designated five banks or trust companies located and authorized to conduct business in the
State to receive deposits of money. The Town is permitted to invest in special time deposits or certificates of
deposit.
In addition to bank deposits, the Town is permitted to invest moneys in direct obligations of the United
States of America, obligations guaranteed by agencies of the United States where the payment of principal
and interest are further guaranteed by the United States of America and obligations of the State. Other
eligible investments for the Town include: revenue and tax anticipation notes issued by any municipality,
school Town or Town corporation other than the Town (investment subject to approval of the State
Comptroller); obligations of certain public authorities or agencies; obligations issued pursuant to Section
109(b) of the General Municipal Law (certificates of participation) and certain obligations of the Town but
only with respect to moneys of a reserve fund established pursuant to Section 6 of the General Municipal
Law. The Town may also utilize repurchase agreements to the extent such agreements are based upon
director guaranteed obligations of the United States of America. Repurchase agreements are subject to the
following restrictions, among others: all repurchase agreements are subject to a master repurchase
agreement; trading partners are limited to banks or trust companies authorized to conduct business in the
State or primary reporting dealers as designated by the Federal Reserve Bank of New York; securities may
not be substituted; and the custodian for the repurchase security must be a party other than the trading
partner. All purchased obligations, unless registered or inscribed in the name of the Town, must be
purchased through, delivered to and held in the custody of a bank or trust company located and authorized
to conduct business in the State.
Collateral Requirements
All Town deposits in excess of the applicable insurance coverage provide by the Federal Deposit Insurance
Act must be secured in accordance with the provisions of and subject to the limitations of Section 10 of the
General Municipal Law of the State. Such collateral must consist of the "eligible securities" "eligible surety
bonds," or "eligible letter of credit" as described in the law.
Eligible securities pledged to secure deposits must be held by the depository or third party bank or trust
company pursuant to written security and custodial agreements. The Town's security agreements provide
that the aggregate market value of pledged securities must equal or exceed the principal amount of deposit,
the agreed upon interest, if any, and any costs or expenses arising from the collection such deposits in the
event of a default. Securities not registered or inscribed in the name of the Town must be delivered, in a
form suitable for transfer or with an assignment in blank, to the Town or its designated custodial bank. The
16
custodial agreements used by the Town provide that pledged securities must be kept separate and apart
from the general assets of the custodian and will not, under any circumstances, be commingled with or
become part of the backing for any other deposit or liability. The custodial agreement must also provide that
the custodian shall confirm the receipt, substitution or release of the collateral, the frequency of revaluation
of eligible securities and the substitution of collateral when a change in the rating of a security may cause
ineligibility.
An eligible irrevocable letter or credit may be issued, in favor of the Town, by a qualified bank other than the
depository bank. Such letters may have a term not to exceed 90 days and must have an aggregate value
equal to 140% of the deposit obligations and the agreed upon interest. Qualified banks include those with
commercial paper or other unsecured or short-term debt ratings within one of the three highest categories
assigned by at least one nationally recognized statistical rating organization or a bank that is in compliance
with applicable Federal minimum risk-based capital requirements.
An eligible surety bond must be underwritten by an insurance company authorized to do business in the
State which has claims paying ability rated in the highest rating category for claims paying ability by at least
two nationally recognized statistical rating organizations. The surety bond must be payable to the Town in
an amount equal to 100% of the aggregate deposits and the agreed interest thereon.
FINANCIAL OPERATIONS
The Town Supervisor functions as the chief fiscal officer as provided in Section 2 of the Local Finance Law;
in this role, the Supervisor is responsible for the Town's accounting and financial reporting activities, which
are delegated to and carried out by the Town Comptroller. In addition, the Supervisor is also the Town's
budget officer and must therefore prepare the annual tentative budget for submission to the Town Board.
Budgetary control during the year is the responsibility of the Town Comptroller. Pursuant to Section 30 of
the Local Finance Law, the Supervisor has been authorized to issue or renew certain specified types of
bonds. As required by law, the Supervisor must execute an authorizing certificate which then becomes a
matter of public record.
The Town Board, as a whole, serves as the finance board of the Town and is responsible for authorizing, by
resolution, all material financial transactions such as operating and capital budgets and bonded debt.
The accounting system of the Town is maintained on a modified accrual basis. Under the modified accrual
basis, revenues are normally recognized in cash except those revenues which are susceptible to accrual,
meaning the revenue is measurable and available to finance current operations. Expenditures are generally
recognized as incurred except: prepaid items are not recorded and interest on long-term debt is recorded
when due. Employee pensions are not accounted for on the accrual method in that these plans are
administered by New York State who bills the Town each year.
Town finances are operated primarily through the General and Highway Funds. All real property taxes and
most of the other Town revenues are credited to these funds. Current operating expenditures are paid from
these funds subject to available appropriations. The Town also has water and sewer districts, which are
accounted for within separate funds. The primary sources of income for these Towns comes from special
assessments levied against district properties at the same time real estate taxes are levied. Capital projects
and equipment purchases are accounted for in special capital projects funds. The Town observes a calendar
year (January 1 through December 31) for operating and reporting purposes.
The Town prepares an annual financial report which must be filed with the State Comptroller. The Town also
retains a firm of independent auditors. The most recent completed audit is for the fiscal year ended
December 31, 1998 and is presented, with the approval of the auditors, in Appendix A hereto. Financial
statements for the fiscal years ended December 31, 1994 through 1998 may be found in Appendix B, hereto.
BASIS OF ACCOUNTING
The Town's governmental funds are accounted for on a modified accrual basis of accounting. Under the
modified accrual basis, revenues are recognized when they become susceptible to accrual - that is, when
they become "measurable" and "available" to finance expenditures of the current period. Revenues
susceptible to accrual include real property taxes and state aid. Expenditures are generally recognized when
the fund liability is incurred. Exceptions to this general rule are (1) certain payments to employee retirement
systems which are recorded in the General Long -Term Debt Account Group and recognized as an
expenditure when due (2) unmatured interest on general long-term debt which is recognized as an
expenditure when due and (3) compensated absences which are charged to expenditures when paid and
recorded in the General Long -Term Debt Account Group.
17
FUND STRUCTURE AND ACCOUNTS
The Town utilizes fund accounting to record and report its various service activities. A fund represents both
a legal and an accounting entity which segregates the transactions of specific programs in accordance with
special regulations, restrictions or limitations.
There are three basic fund types: (1) governmental funds that are used to account for basic services and
capital projects; (2) proprietary funds that account for operations of a commercial nature, and; (3) fiduciary
funds that account for assets held in a trustee capacity. Account groups, which do not represent funds, are
used to record fixed assets and long-term obligations that are not accounted for in a specific fund.
The Town presently maintains the following governmental funds: General Fund, Highway Fund, Water Town
Funds, Sewer Town Funds, Ambulance Town Fund, Lighting Town Fund and Capital Projects Fund.
Fiduciary funds consist of a Trust and Agency Fund. There are no proprietary funds. An account group is
maintained for general long-term debt. The Town also maintains an account group for fixed assets.
REVENUES
The Town derives its revenues, primarily from real property taxes and special assessments, State aid and
departmental fees and charges. A summary of such revenues for the years 1994-1998 is presented in
Appendix B, hereto. Information for the fiscal year ended December 31, 1995 through 1998 has been
obtained from audited financial statements, however, such presentation has not been audited. Information
for fiscal year 1999 is unaudited.
State Aid
The Town receives financial assistance from the State. In its budget for the current fiscal year,
approximately 13.9% of the General and Highway Fund revenues of the Town are estimated to be received in
the form of State aid. If the State should experience difficulty in borrowing funds in anticipation of the
receipt of State taxes in order to pay State aid to municipalities and school Towns in the State, including the
Town, in any year, the Town may be affected by a delay in the receipt of State aid until sufficient State taxes
have been received by the State to make State aid payments. Additionally, if the State should not adopt its
budget in a timely manner, municipalities and school Towns in the State, including the Town, may be
affected by a delay in the payment of State aid.
The State is not constitutionally obligated to maintain or continue State aid to the Town. No assurance can
be given that present State aid levels will be maintained in the future. In view of the State's continuing
budget problems, future State aid reductions are likely. State budgetary restrictions which eliminate or
substantially reduce State aid could have a material adverse effect upon the Town during its current fiscal
year as well as in the future, requiring either a counterbalancing increase in revenues from other sources to
the extent available, or a curtailment of expenditures (See also Risk Factors).
PENSION SYSTEM
See "Notes to the Financial Statements - Note 9" in Appendix A hereto.
18
REAL PROPERTY TAX INFORMATION
REAL PROPERTY TAXES AND ASSESSMENTS
The Town derives the largest portion of its annual revenues through ad valorem real property taxes and
special assessment taxes. The following table shows the trend during the last four fiscal years and the
current fiscal year for taxable assessed valuations, state equalization rates, full valuations, real property
taxes, special assessments and real property tax rates per $1,000 assessed valuation.
Fiscal year:
1996
1997
1998
1999
2000
Utility
$17,747,521
Taxable Value
$868,607,880
$876,145,676
$881,827,181
$878,838,070
$882,550,827
Equalization Rate
70.52%
71.10%
71.27%
71.17%
69.51%
Full Value
1,231,718,491
1,232,272,399
1,237,304,870
1,234,843,431
1,269,674,618
Town Tax Levy:
Utility
5,036,000
0.57
Shopping Center
5,020,000
General & Highway
2,560,026
2,566,042
2,609,740
2,584,500
2,619,000
Special Towns (a)
3,315,801
3,352,488
3,299,951
3,393,627
3,216,436
Amount Uncollected (b)
None
None
None
None
None
Tax Rate: (c)
General & Highway:
Homestead
$2.61
$2.51
$2.55
$2.55
$2.55
Non -Homestead
5.03
5.02
5.18
4.94
5.07
(a) Includes Water, Sewer, Lighting, Park, Ambulance and Fire Towns.
(b) See Tax Collection Procedures on the following page.
(c) Per $1,000 assessed value.
Source: Office of the Town Supervisor and the State Board.
MAJOR TAXPAYERS
The following table presents the taxable assessments of the ten largest taxpayers on the 1999 tax roll.
Taxpayer
Central Hudson Gas S Electric
Rosenberg & Silver (Chelsea Ridge)
Imperial Plaza
Pizzagalli Development Co.
Bell Atlantic
Alpine Company
Route 376 Associates
Con Edison
Wappingers Falls Plaza
A.R. Fuels (Village Crest Apts.)
Total of Ten Largest Taxpayers:
TAX COLLECTION PROCEDURES
% of Total
Nature of
Assessed
Assessed
Business
Valuation
Valuation
Utility
$17,747,521
2.02%
Apartments
17,700,000
2.01
Shopping Center
10,660,000
1.21
Offices
10,433,000
1.19
Utility
9,400,000
1.07
Shopping Center
9,200,000
1.05
Warehouse
5,332,500
0.61
Utility
5,036,000
0.57
Shopping Center
5,020,000
0.57
Apartments
4,449,000
0.51
$94,978,021 10.81%
Taxes may be paid in full or in three installments. No penalty is imposed on payments made by February
28th. Penalties on both delinquent taxes and installments paid subsequent to February 28th are imposed as
follows: 2% on payments made from March 1st to May 31st and 4% on payments made from June 1st to
August 31st. Unpaid tax bills are returned to the Dutchess County Commissioner of Finance in September.
At such time, the Town retains the total amount of Town, Highway and Special Town levies from the total
collections and returns the balance plus the uncollected items to the County, which assumes responsibility
for ultimate collection and enforcement of delinquent taxes and holds annual tax sales.
19
LITIGATION
The Town from time to time receives notices of claim and is party to litigation. In the opinion of the Town
Attorney, unless otherwise set forth herein and apart from matters provided for by applicable insurance
coverage, there are no claims or actions pending which, if determined against the Town, would have an
adverse material effect on the financial condition of the Town.
Certain property owners have filed certiorari petitions under Article 7 of the Real Property Tax Law. Such
petitions allege that property values as presently determined are excessive and request assessment
reductions and, in most actions, a refund of property taxes previously paid. According to the Town, the
expected liability, if any, is not substantial.
RISK FACTORS
There are various forms of risk associated with an investment in the Bonds. The following is a discussion of
certain events that could affect the risk of investing in the Bonds. In addition to the matter discussed herein,
there are other potential risk factors or conditions which a prospective investor must consider. In order to
make an informed investment decision, an investor should be thoroughly familiar with the entire Official
Statement, including its appendices, as well as all areas of potential risk.
The financial and economic condition of the Town, as well as the market for the Bonds, could be affected by
a variety of factors, some of which are beyond the Town's control. There can be no assurance that adverse
events in the State and in other jurisdictions in the country, including, for example, the seeking by a
municipality or large taxable property owner of remedies pursuant to the Federal Bankruptcy Code or
otherwise, will not occur which might affect the market price of and the market for the Bonds. If a significant
default or other financial crisis should occur in the affairs of the State or another jurisdiction, or of any of
their respective agencies or political subdivisions thereby further impairing the acceptability of obligations
issued by borrowers within the State, the ability of the Town to arrange for additional borrowings and the
market for and market value of outstanding debt obligations, including the Bonds, could be adversely
affected.
The Town's revenues are generated in large part by real property taxes and there can be no assurance that
such tax revenues over time will be maintained at any level or that such revenues will be received in a timely
fashion by the Town. General economic conditions affecting the Town, including, for example,
unemployment and inflation, and unusual or unexpected events such as the termination of major commercial
operations within the Town or a natural catastrophe could adversely affect both the assessed value of the
land within the Town and the ability of property owners to make timely payments of their taxes.
The Town receives a substantial amount of revenue from a distributive share of the County sales tax. For
1999, the Town received $829,849 from this source which represents 14.4% of the Town's General Fund
revenue. The current budget includes $660,000 as estimated revenue from the County sales tax. Sales tax
distributions to the Town depend on economic activity and general business conditions of the County, State
and national levels.
Another significant source of revenue for the Town is the State mortgage tax which is a fee assessed at the
time a mortgage is recorded. For the year ended December 31, 1999, the Town received $609,190 from the
State mortgage tax. The fee is based on $0.75 for each $100 of debt secured by a mortgage on real property.
Fifty cents of the tax is retained by the County and paid to each city, town and village in the County. If no
tax is collected within a community, no mortgage tax money is distributed to such community. The amount
of mortgage tax money paid to the Town is affected by conditions in real estate market as well as interest
rate levels.
The Town's expenditures may increase substantially in the future. For example, the Town could be required
to make substantial capital expenditures or could be required to refund substantial tax revenues as a result
of adverse tax certiorari proceedings (See "Litigation And Contingencies" herein). There can be no
assurance that the Town will not be required to issue additional debt to generate funds to pay these
expenditures (See "Capital Programs" herein) and that the Town's real property taxes and other revenues
will be sufficient to
pay both the Bonds and additional debt.
If and when a holder of any of the Bonds elects to sell a Bond prior to its maturity, there can be no assurance
that a market shall have been established, maintained and be in existence for the purchase and sale of any
20
Bonds. In addition, the price or principal value of the Bonds is dependent on the prevailing level of interest
rates. If interest rates increase, the price of a bond will decline causing the bondholder to incur a capital loss
upon the sale of such bond. (Also, See "Ratings" herein)
Amendments to Federal Internal Revenue Code could reduce or eliminate the favorable tax treatment granted
to municipal debt including the Bonds and other debt issued by the Town. Any such future legislation would
have an adverse effect on the market value of the Bond (See "Tax Exemption" herein).
TAX EXEMPTION
In the opinion of Bond Counsel, assuming continuing compliance by the Town with its covenants relating to
certain requirements contained in the Internal Revenue Code of 1986 (the "Code"), interest on the Bonds is
not includable in the gross income of the owners thereof for Federal income tax purposes under existing
statutes and court decisions. Moreover, interest on the Bonds is not an "item of tax preference" for
purposes of the individual and corporate alternative minimum taxes imposed by the Code. However, interest
on the Bonds is includable in the "adjusted current earnings" of a corporate owner of the Bonds and 75% of
the interest on the Bonds is thus includable in the tax base for computing a corporation's liability with
respect to the 20% alternative minimum tax. Moreover, interest on the Bonds may be subject to a branch
profits tax of up to 30% when owned by certain foreign corporations. Furthermore, interest on the Bonds
may be subject to a tax at ordinary income rates when owned by "S Corporations" in certain cases. Interest
on the Bonds is exempt from personal income taxes imposed by the State or any political subdivision
thereof, including the City of New York.
Among other things, the Code requires that, under certain circumstances, the yield on investments acquired
with the proceeds of obligations be restricted and that an amount equal to the net arbitrage earnings from
the investment of the proceeds thereof be paid to the Federal Government. If, in those circumstances, the
Town were to intentionally fail to restrict the yield on such investments, or to fail to make the required
payments to the Federal Government within the periods and in the manner specified by the Code, with
regard to both the Bonds and any obligations refunded with proceeds of the Bonds, or fail to comply with
certain other provisions of the Code, interest on the Bonds would be subject to Federal income taxes from
their date of issuance unless, in the case of a failure to make the required payments to the Federal
Government on a timely basis, such noncompliance was not due to willful disregard and relief was sought
from and granted by the Internal Revenue Service. The Town will covenant in its arbitrage certificate with
respect to the Bonds that it will take all actions on its part necessary under the Code to cause interest on the
Bonds not to be includable in the gross income of the owners thereof for Federal income tax purposes,
including compliance with the requirements set forth above, to the extent the same are applicable, and
refrain from taking any action which would cause interest on the Bonds to be includable in the gross income
of the owners thereof for Federal income tax purposes.
The opinion of Bond Counsel set forth above with respect to the Federal income tax treatment of interest
paid on the Bonds is based upon the current provisions of the Code. There can be no assurance that the
Code will not be amended in the future so as to reduce or eliminate such favorable Federal income tax
treatment on the Bonds. Any such future legislation would have an adverse effect on the market value of the
Bonds.
Bond Counsel expresses no opinion regarding other Federal income tax consequences arising with respect
to the Bonds.
LEGAL MATTERS
The legality of the authorization and issuance of the Bonds will be covered by the unqualified legal opinion of
Willkie Farr & Gallagher, Bond Counsel, New York, New York. Such legal opinion will state that in the
opinion of Bond Counsel (i) the Bonds have been authorized and issued in accordance with the Constitution
and statutes of the State and constitute valid and legally binding general obligations of the Town, all the
taxable real property within which is subject to the levy of ad valorem taxes to pay the Bonds and interest
thereon, without limitation as to rate or amount, (ii) the Town has the power to comply with its covenants
included in its arbitrage certificate with respect to the Bonds relating to compliance with the Code as it
relates to the Bonds provided, however, that the enforceability (but not the validity) of the Bonds: (a) may be
limited by any applicable existing or future bankruptcy, insolvency or other law (State or Federal) affecting
the enforcement of creditors' rights, and (b) may be subject to the exercise of judicial discretion in
appropriate cases; and (iii) assuming that the Town complies with such covenants, interest on the Bonds is
21
not includable in the gross income of the owners thereof for Federal income tax purposes under existing
statutes and court decisions. Moreover, interest on the Bonds is not an "item of tax preference" for
purposes of the individual and corporate alternative minimum taxes imposed by the Code. However, interest
on the Bonds is includable in the "adjusted current earnings" of a corporate owner of the Bonds and 75% of
the interest on the Bonds is thus includable in the tax base for computing a corporation's liability with
respect to the 20% alternative minimum tax. Moreover, interest on the Bonds may be subject to a branch
profits tax of up to 30% when held by certain foreign corporations. Furthermore, interest on the Bonds may
be subject to a tax at ordinary income rates when owned by "S Corporations" in certain cases. Interest on
the Bonds is exempt from personal income taxes imposed by the State or any political subdivision thereof,
including The City of New York. Bond Counsel will express no opinion regarding other Federal income tax
consequences arising with respect to the Bonds.
Such legal opinion will also state that (i) in rendering the opinion expressed therein, Bond Counsel has
assumed the accuracy and truthfulness of all public records, documents and proceedings examined by Bond
Counsel which have been executed or certified by public officials acting within the scope of their official
capacities, and has not verified the accuracy or truthfulness thereof, and Bond Counsel also has assumed
the genuineness of the signatures appearing upon such public records, documents and proceedings and
such certifications; (ii) the scope of Bond Counsel's engagement in relation to the issuance of the Bonds has
extended solely to the examination of the facts and law incident to rendering the opinions expressed therein;
(iii) the opinions expressed therein are not intended and should not be construed to express or imply any
conclusion that the amount of real property subject to taxation within the boundaries of the Town together
with other legally available sources of revenue, if any, will be sufficient to enable the Town to pay the
principal of and interest on the Bonds as the same respectively become due and payable; (iv) reference
should be made to the Official Statement for factual information which, in the judgment of the Town would
materially affect the ability of the Town to pay such principal and interest; and (v) while Bond Counsel has
participated in the preparation of the Official Statement, Bond Counsel has not verified the accuracy,
completeness or fairness of the factual information contained therein and, accordingly, no opinion is
expressed by Bond Counsel as to whether the Town, in connection with the sale of the Bonds, has made any
untrue statement of a material fact, or omitted to state a material fact necessary in order to make any
statements made, in the light of the circumstances under which they were made, not misleading.
RATINGS
The Bonds are rated Aaa by Moody's Investors Service ("Moody's") based upon a new issue municipal bond
insurance policy issued by the Financial Guaranty Insurance Company ("FGIC") simultaneously with the
delivery of the Bonds. The significance of such insurance as well as the terms and conditions thereof
should be obtained from FGIC, 115 Broadway, New York, New York 10006.
Moody's has assigned a rating of Al to the outstanding uninsured bonds of the Town. Such rating reflects
only the view of such organization and an explanation of the significance of such rating may be obtained
only from such rating agency. There can be no assurance that such rating will continue for any significant
period of time or that such rating will not be revised or withdrawn, if in the judgement of Moody's
circumstances so warrant. Any such change or withdrawal of such rating may have an adverse effect on the
market price of the Notes or the availability of a secondary market for the Notes.
FINANCIAL ADVISOR
Public Finance Associates, Inc., Hopewell Junction, New York, (914) 227-8678, has acted as the financial
advisor to the Town in connection with the sale of Bonds.
22
ADDITIONAL INFORMATION
Additional information may be obtained from the Office of the Town Supervisor, Town Hall, 20 Middlebush
Road, Wappingers Falls, New York 12590, telephone (914) 297-2744.
Any statements in this Official Statement involving matters of opinion or estimates, whether or not expressly
so stated, are intended as such and not as representations of fact. No representation is made that any of
such statements will be realized. This Official Statement is not to be construed as a contract or agreement
between the Town and the original purchasers or holders of any of the Bonds.
BY:
/s/ CONSTANCE O. SMITH
SUPERVISOR AND CHIEF
FISCAL OFFICER OF THE
TOWN OF WAPPINGER
DATED: SEPTEMBER 26, 2000
WAPPINGERS FALLS, NEW YORK
23
APPENDIX A
INDEPENDENT AUDITORS REPORT
COMBINED FINANCIAL STATEMENTS
WITH NOTES THERETO
YEAR ENDED
DECEMBER 31, 1998
Sedore & Company
Certified Public Accountants, P.C.
Armes L Sedorr. Jr.. CPA P D. Box 918 . 62 East Main Street • Wappingers Falls, NY 12590
IIlarF S. O Sullivan. C.P.A. (9141297-1111 . Fax (914)297-1432
.lmnei F. Learrio, Jr.. CPA
Teresa.. Banchi. CPA.
Linda X Hannigan. C.P 4
To the Supervisor and
Members of the Town Board
Town of Wappinger, New York
Wappingers Falls, New. York 12590
Bearon
191418.31-0.54l
Xt humh
1914/565-1373
We have audited the accompanying general purpose financial statements of the Town of
Wappinger, New York as of December 31, 1998, and for the year then ended as listed in the
foregoing Table of Contents. These general purpose financial statements are the responsibility of
the Town of Wappinger, New York's management. Our responsibility is to express an opinion
on these general purpose financial statements based on our audit.
We conducted our audit in accordance with generally accepted auditing standards, 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 general purpose financial statements are
free of material misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the general purpose financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by management, as well
as evaluating the overall general purpose financial statement presentation. We believe that our
audit provides a reasonable basis for our opinion.
In our opinion, the general purpose financial statements referred to above present fairly, in all
material respects, the financial position of the Town of Wappinger, New York as of December
31, 1998, and the results of its operations for the year then ended in conformity with generally
accepted accounting principles.
In accordance with Gbwrnment Auditing Standards, we have also issued our report dated
December 2, 1999 on our consideration of the Town of Wappinger, New York's internal control
over financial reporting and our tests of its compliance with certain provisions of laws,
regulations, contracts and grants.
Wappingers Falls, New York
December 2, 1999
Sedore & Com
pany
Certified Public Accountants, P.C.
Janiec L Sedore,, Jr. C.P.A.
P 0. Box 918 . 62 East .blain Street • WPPrngers Falls, NY 12590
.IlartS OSul/ican. C.PW
1amev F. L.raeno, Jr. C.PJ..
(914) 297-1111 • Fax (914) 297-1432
Braron
(914)831-054Z
Terera.l Banrdi, CPA.
www.sedoreandcompanycom
Linda ,IL Hannigan. CP.,1
�rr�6ure/i
(914)565-1373
REPORT ON COMPLIANCE AND ON INTERNAL CONTROL OVER
FINANCIAL REPORTING BASED ON AN AUDIT OF GENERAL
PURPOSE FINANCIAL STATEMENTS PERFORMW IN ACCORDANCE
To the Supervisor
and Members of the Town Board
Town of Wappinger
Wappingers Falls, New York
We have audited the general propose financial statements of the Town of Wappinger, New York,
as of and for the year ended December 31, 1998, and have issued our report thereon dated
December 2, 1999. We conducted our audit in accordance with generally accepted auditing
standards and the standards applicable to financial audits contained in Government Auditing
Standards, issued by the Comptroller General of the United States.
As part of obtaining reasonable assurance about whether the Town of wappinger, New York's
general purpose financial statements are free of material misstatement, we performed tests of its
compliance with certain ps+ovisions of laws, regulations, contracts and grants, noncompliance with
which could have a direct and material effort on thedetermination 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 that are required to be reported under Gownvnent Auditing Standards.
We also noted certain immaterial instances of noncompliance that we have reported to the
management of the Town of Wappinger, New York, in the Schedule of Findings and
Recommendations listed in the Table of Contents.
In planning and performing our audit, .we considered the Town of Wappinger, New York's
internal control over financial reporting in order to determine our auditing procedures for the
purpose of expressing our opinion on the general purpose financial statements and not to provide
assurance on the internal control over financial reporting. Our consideration of the internal
control over financial reporting would not necessarily disclose all matters in the internal control
H
over financial reporting that might be material weaknesses.
A mateoal wed is a condition in which the design or operation of one or more of the internal
control components does not reduce to a relatively low levd the risk that misstatements in amounts
that would be material in relation to the general purpose financial statements being audited may
occur and not be detected within a timely period by employee in the normal course of performing
their assigned functions. We noted no matters involving the internal control over financial
reporting and its operation that we consider to be material vmakusses. We noted other matters
invohring the internal control over financial reporting that we have reported to the management
of the Town of Wappinger, New York, in the Schedule of Findings and Recommendations listed
in the Table of Contents.
This report is intended for the information of the Supervisor, Town Board and Management.
However, this report is a matter of public record and its distribution is not limited.
Wappingers Falls, New York U
December 2, 1999
TOWN OF WA TINGER, NEW YORK
COMBINED BALANCE SHEET -
ALL FUND TYPES AND ACCOUNT GROUPS
DFAMMOM-318-M
Cash and cash equivalm
Cash from obligatiom - restricted
Investments
Receivables:
Charges for services
Other
Due from other fiords
Due from other govemtumpps
State and federal receivable
Property, building and equipment
Amounts to be provided for the payment of.
Compensated absence obligation
Long-term debt
Told Assets
GOVERNMENTAL FUND TYPES
SPECIAL. CAPITAL
GENERAL REVENUE PROJECTS
— FUND FUND FUND
$549,332
$1,332,102
$1,131,266
_
1,035,887
579,564
1,178,319
742,527
-
563,631
-
74,977
-
_
705,384
120,128
81,231
243,906
-
_
-
23,000
_
52.609.486 _ $2.619,425 53.133.343
The accompanying Notes to the Financial Statements
ate an integral part of this financial statement.
4
FIDUCIARY
FUND TYPE
ACCOUNT GROUPS
TRUST a LONG- GENERAL TOTALS
AGENCY TERM FIXED (MEMORANDUM
FUND DEBT ASSETS ONLY)
$252,469 S- S- $3,265,169
- - - 1,178,319
2,357,978
- 563,631
- - 74,977
- - - 906,743
- - - 243,906
- - - 23,000
- - 17,189,233 17,189,233
125,568 - 125,568
20,860,000 - 20,860,000
5252.469520.985.568 517.189.233 546.788.524
5
TOWN OF WAPPINGER, NEW YORK
COMBINED BALANCE SHEET, (CONT -D.) -
ALLL FUND TYPES AND ACCOUNT GROUPS
LIABILITIES AND FUND EQUITY
LIABILITIES
Accoutus payable and accnmd liabilities
Retainage payable
Bond anticipation notes payable
Due to other funds
Due to other governments
Deferred revenues
Other liabilities
Compensated absence obligations
Long-term debt
Total liabilities
FUND EQUITY
Investments in general fixed assets
Fund balance (deficit):
Reserved for:
Encumbrances
Miscellaneous
Unreserved:
Designated for:
Subsequent years' expenditures
Undesignated
Total fund equity
Total liabilities
and fund equity
GOVERNMENTAL FUND TYPES
SPECIAL CAPITAL
GENERAL REVENUE PROJECTS
FUND FUND FUND
$116,581 $47,205
$64,229
- 6,087
29,165
- -
2,8%,000
- 137,213
769,530
12,513 -
_
- 12,334
_
_ 129_ ,094202,839
3,758,924
35,679
459,714
997,041 1,305,283 -
987,958 1,110,303 (625,581)
2,480,392 2,415,586 (625,581)
$2.609.486_ 52.618.425 53.133.343
The accompanying Notes to the Financial Statements
are an integral part of this financial statement.
6
FIDUCIARY
FUND TYPE ACCOUNT GROUPS
TRUST do LONG- GENERAL TOTALS
AGENCY TERM FD(ED (MEMORANDUM
FUND DEBT ASSETS ONLY)
$228,015
35,252
2,896,000
• - 906,743
12,513
12,334
252,469 - - 252,469
125,568 - 125,568
20,860,000 - 20,860,000
252,469 20,985,568 0 25,328,894
- - 17,189,233 17,189,233
- 35,679
459,714
2.302,324
- 1.472.680
0 0 17,189,233 21,459,630
5252.469 520.985.568 $1� ---..-.$46.788j24
W
TOWN OF WAPPINGER, NEW YORK
COMBINED STATEMENTS OF REVENUES, EXPENDITURES AND CHANGES IN FUND EQUITY
ALL GOVERNMENTAL FUND TYPES
TIRE YEAR ENDED DFAMMOULnji"
The accompanying Notes to the Financial Statements
are an integral part of these financial statements.
8
GO FUND TYPES
GENERAL
FUND
SPECIAL
REVENUE
CAPITAL
PROJECT'S
TEALS
(MEMORANDUM
REVENUES
- FUND
FUND
- ONLY)
Real party des
Real property tax items
$1,143,764
$3,773,384
S.
$4,917,148
Non property tax items
91,488
925,,729
-
_
91,488
Departmental income
108,387
1,720,636-
925,729
Intergovernmental charges
1,620
2,334
1,829,023
Use of money and gym'
Licenses and permits
218,518
603,173
82,640
3,954
904,331
Fines and forfeitures
80,023
198,950
-
80,023
Sale of property and compensation for loss
2 566
3,900
198,950
Miscellaneous local sources
State aid
X960
25,277
43,855
6,466
70,092
684,311
118,949
-
503,260
TOW revenues
3.456,316
6,247,653126,495
9,830,46{
EXPENDITURES
General government support
Public safety
1,166,884
-
380,651
1,547,535
Health
240,440
1,590
-
231,700
240,440
233,290108,938
Transportation
Economic assistance and opportunity
6,826
1,332,977
-
-
1,441,915
Culture and recreation
527,150
-
-
-
6,826
527,150
Home and community services
Employee benefits
304,335
1,684,735
998,200
2,987,270
Debt service
258,001
627,917
215,911
2,474,416
-
-
473,912
3,102,333
TOW expenditures
3,242,081
5,939,7391,378,851
10,560,611
Excess (deficiency) of revenue over expendihoes
214,235
307,914
(1,252,356)
(730,207)
Other fivancing sources (ism):
Proceeds of debt
BANS redeemed from appropriations
-
-
510,000
510,000
-
-
245,000.
245,000
TOW Ott financing sources ( usm)
0
0
755,000
755,000
Excess (deficiency) of revenue and other sourced
over expenditurts asci other am
214,235
307,914
(497,356)
24,793
Fund Equity, December 31,1997
2,293,327
2,107,672 (128,225)
4,272,774
Fond Equity, December 31,1998
$2.480.392 52.415.586 ($625.581) $4,297,567
The accompanying Notes to the Financial Statements
are an integral part of these financial statements.
8
TOWN OF WAPPINGER, NEW YORK
COMBINED STATEMENTS OF REVENUES, EXPENDITURES AND ENCUMBRANCES - BUDGET AND ACTUAL -
GENERAL AND BUDGETED SPECIAL REVENUE FUNDS
REVENUES
Real Property taxes
Real property tax items
Non property tax items
Departmental income
Intergovernmental charges
Use of money and property
Licenses and permits
Fines and forfeitures
Sale of property and compensation for loss
Miscellaneous local sources
State aid
Federal aid
Total revenues
Appropriation of prior's year's fund balance
GENERAL FUND
VARIANCE
REVISED FAVORABLE
BUDGET ACTUAL (UNFAVORABLE)
$1,143,764
$1,143,764
$0
50,000
91,488
41,488
650,000
925,729
275,729
112,380
108,387
(3,993)
General government support
1,620
1,620
228,000
218,518
(9,482)
45,100
80,023
34,923
101,500
198,950
97,450
-
2,566
2,566
1,500
960
(540)
490,000
684,311
194,311
2,822,244
3,456,316
125,931
634,072
984,113
-
(984,113)
Total revenues and appropriation of
prior year's Mnd balance
3,806,357
3,456,316 _
(350,041)
EXI'ENDITURFS AND ENCUMBRANCES
General government support
1,409,050
1,192,053
216,997
Public safety
279,582
242,221
37,361
Health
Tn=p°WUtrKM
-
130,510
1,590
110,046
(1,590)
20,464
Economic assistance and opportunity
7,640
6,826
814
Culture and recreation
584,839
529,555
55,284
Home and community services
435,482
309,551
125,931
Employee benefits
331,335
258,001
73,334
Debt service
627,919
627,9I7
2
Totalexpenditnrrs and encambraoces
3,806,357
3,277,760
528,597
Em= (deffeleacy) of revenues and appropriation of
prior year's fond balance over (under)
exw fitures and encumbrances
40 $178.556
5178.556
The accompanying Notes to the Financial Statements
are an integral part of tbese financial statements.
9
BUDGETED SPECIAL REVENUE FUND
6,374,738
6,432,734
VARIANCE
REVISED
231,700
FAVORABLE
BUDGET
ACTUAL
(UNFAVORABLE)
$3,773,384
$3,773,384
S0
1,647,654
1,670,636
22,982
4,000
2,334
(1,666)
36,415
603,173
566,758
500
3,900
3,400
-
25,277
25,277
97,445
118,949
21,504
5,559,398
6,197,653
638,2SS
815,340
235,081
(580,259)
6,374,738
6,432,734
57,996
231,700
231,700
0
1,499,451
1,334,977
164,474
1,851,744
1,751,704
100,040
307,965
215,911
92,054
2,469,878
2,474,416
(4,538)
6,374,738
6,008,708
366,030
50 5424.026 5424.026
10
TOWN OF WAPPINGER, NEW YORK
NOTES TO TIE FINANC UL STATEMENTS
NM A - Somma KI of Aceminting
The Town of Wappingrr, New Yank ("the Town") was incorporated on May 20, 1875, under the
prvvisfons of the State of New York. The Town operates under a Town Board form of
govsmeut, consisting of a Supervisor and four Councilmen/Women. The Supervisor serves as
the Chief Executive Officer and as the Chief Fiscal Oi%r of the Town.
The Town provides theservices: highway maintimance, water, sewer, planning, Wig,
building and safety i"!! an culture and rexr+eation.
The financial statame nts of the Town have bm prepared in conformity with generally acxxpted
accounting principles (GAAP), as applied to government units. The Governmental Acxouating
Standards Beard (GASB) is the accepted standard-sebody for establishing gov maw
accounting and financial reporting principles, some of which are as follows:
L The Reporting Entity
The Town, for financial purposes, includes all of the funds and account groups rdevant
to the operations of the Town of Wappinger, New York. The financial statements
include organizations, functions and activitim that are controlled by ordependent upon
the Tows Control or dependence is determined on the basis of budget adoption, taxing
authority, finding and appointment of the respective governing board.
Z. Fund Adxonnting
The accosts of the Town arae organized on the basis of funds or account groups, each
of which is considered to be a separate accounting entity. The operations of each
find are accounted for by providing a separate set of self -balancing accounts, which
are comprised Of each fund's asses, lhabilitie s, fund equity, revenues and
expenditures. Gove[nu v& resources are allocated to and for individual funds based
upon the purposes for which they are to be spent and the mums by which spending
acdvda are controlled. The various funds are grouped, in the financial statements
in this report, into fund types and two account groups, as follows:
The accounting and reporting treatment applied to assets and IiWMtien associated
with a fund are determined by its Qusenuesndht focus. All governmental fund
types are accounted for oa a sppnding "finwicial flow" drht focus. This
merlins that only current asset and current liabilities are generally included on
their balance sheets. Their, reported fund balance (net currant assets) is
considered a measure of "available
11
TOWN OF WAPPI GER9 NEW YORK
NOTES TO THE FINANCIAL STATEMF m (CONT'D.)
DYWCEBIM 13L 1992
Summary of Accounting Policies (Continued)
spendable resources.' Governmental find operating statements present mcsrLfts
(revenues and other financing sources) and decease$ (expenditures and other
financing uses) in net current assets. A000nk*y, they are said to present a
summary of sou sm and uses of 'available spendable resources' during a period.
The General Fund is the general operating fund of. the Town. It is used to
account for all financial resources except those required to be accounted for in
another fund.
Special Revenue Fund
Special Revenue
than is used to account for the proceeds of specific revenue
sources (
its, expa►dab major capital
pmvjec ts) that are legally reshicted to ecpendihm for spa'11e I purposes.
Capital Prgjects Fund
This fund is used to account for finanaal resources to be used for the acquisition
and construction of major capital facilities.
FIDUCIARY FUND TYPE
Trust and Agency Hund
Trust and Agency Fund is used to account for assets held by tine Town in a
trustee capacity, or as an agent for individuate, other governments, and/or other
funds. Theseinclude- a4 enWT ble Trust and Agency Punch. Expendable Tnmsts
are accounted for in essentially the same manner as governmental funds.
Agency funds are custodial in nature (assets equal liabilities), and do not involve
measureanent of results of operations.
ACCOUNT GROUPS
Account groups are used to establish accounting control and accountability for
General Fenced Assets and General Long -Term The two account groups
are not 'funds.' They are concerned Daly with the measur+ememt of financial
position. They are not involved with the meawrement of the results of
operations.
12
TOWN OF WAPHNGER9 NEW YORK
NOTES TO THE, FINANCIAL STATEMENTS (CONT'D.)
UUMMER 31,1999
S any of Aecooatb g Policles (Continued]
General Fixed Assets Account Group
ply, Pug and equipment used in governmental fund type opeadons are
accounted for in the Gdneaal Faced Assets Account Group, rather than in
and No depredation has been provided on such property, plant
All PIPIPerty, pht and equipment are valued at historical cost or estimaated
hisocxW oat if actual histoslcal cost is not available. Donatedrty, Plant
and equipment are valued at their estimated fair value on the dm donated.
Interest costa incurred during option have not been capitalized, however.
The Town has adopted the a000cm" — - policy of not capitalizing "infrastructure"
general fixed assets (roads, bridges, curbs and gutters, streets and sidewalia,
drainage system, lighting systems and similar assets) that are immovable and of
value only to the Town.
General Long -Tam Debt Account Group
Long-term l abdit es txpeeted to be financed from governmental find types are
accounted for in the General L4009 -Tam Debt Account Group, not in the
governmental funds. They an recorded at the par value of the principal
amount. No liability is recorded for interest payable to maturity.
Because of their spending I focus, expendit me recognition for
governmental fund is limited to exclude amounts represented by non-
current liabilities. Sine they do not affect net current assetss, such long-term
amounts are not recognized as gumumentai fund type expenditures or fund
liabilities. They are instead reported as liabilities in the General Long -Term
Debt Account Group.
3. Basis of Aamnt og
Basis of accounting refers to when revmues and eupenftues ate recognized in the
accounts; and reported in the financial statements. Basis of accounting relates to the
timing of the messuriemmts made, regardless of the measurement focus applied.
All governmental and expendable trust fWds are accounted for using the "modified
accrual basis- of accounting. Their revenues are recognized when they become
measurable and available as net current assets. All major revenues are susceptible to
accrual.
13
TOWN OF WA�G NEW YORK
NOTES TO TSE InNANCIAL STAIThW 15 (CONT'D.)
Sm==7 of Accomdng Policies (Com
hum ate gem,
em y moopm' d under the "modified accrual basis* of accounting
when the related fund bilityr Is. WMTVd. Exceptions to this general rule ink:
accumuilated unpaid vacation, sick Pay, and other employee amounts which are not
accrued; C2) pdnchW and interest on general long-term debt which is recognized when
due; and ) 0PWituxes for inmtwy-type items which are recognized at the time of
purchase
Expenditures for judgments and settled claims are also recognized when the related
liability is irncuur+ed, that is who the judgment has been tendered or settlement has been
reached. Unsettled claims and cord --Mies, are recognized only. if it is probable that
an asset has been impaired or a liability has been incurred and the amount of the
impairment or liability can be reasonably estimated.
4. Budgets
The Town employs a formal budgetary accounting system yes rrecqquired by law. During
the year, a budget was adopted and modified by the Town Board for the General Fund
and Special Revenue Fund. However, for the Capitaljeta
eFuad, budgets are
established at the project level and continue until the project is completed. Unused
appropriations of the annually budgeted funds lapse at the end of the year.
S. Encmnbr ances
F�ncumbrance accounting, under which purchase orders, contracts and other
eomrrnimoent: for dee arpenditune of monies we recorded for budgetary control purposes
to reserve .that portion of thean0ficableis employed as a control in
preventing over expenditureo established appropeiations. Open eacumbrancxs are
reported an reservations of fund balance since they do not constitute expenditures or
liabilities and will be honored through budget appropriations in the subsequent year.
6. Budget and Actual Comparison
The budget and actual Comparison for Special Revenue Funds, included in the
Combined Statement of Revenues and tunes - Budget and Actual, reflects
fu
budgeted and actual amounts for nds with AY aunffiorized (app qwh t M budgets.
Cartgn Special Revenue Funds have not been included in the comparison because they
do not have legally authorized (appropriated) budgets. The actual activity of these
unbudgeted funds, as follows, is provided in order to reconcile to the total combined
balances of the Special Revenue Funds:
14
TOWN OF WAPPINGER, NEW YORK
NOTES TO THE FINANCIAL STATEMENTS (CONT'D.)
Simimilwassmar7 of Accounting poll do (ContbumM
JANUARY 1, REVENUES A ( RMrr ;ES DFCEBM 31,
Total for fimde --� - rSI --.-12"
7nduded is
Budget Compuiew $2.013,200 $6,197,653 $(5,889,739) $2,321,114
Pads we iWiuded
is Budget C,amparisas�—
Tow Special
Revenue Panda Odd= W u V
-321,114
7. Cash and hnisbuents
Cash includes amounts is demand and time deposits, as well as, short -tam investments.
Stags statutes and the Town's own written investment policy govern tlm investment
Policies of the Town. short-term investments consist of invests in repurchase
pmts. TW repurchase agreements involve purchases by a bmkw of portfolio
securities concurtmtly with an agrxrtnent by the broloer to sell the same securities at a
later date at a fixed price. Qenerally, the effect of such a mon is that the Town
can invest its excess cash balances at competitive interest rates. Marlow value of the
repurchase Weemelts approximafts cost plus accrued interest.
The cash and investments of the Town at December 31, 1998, are as follows:
SPILCLAL CAMAL -it dt
GSL REVENUE PROJECTS AGENCY
Non -later" ND .FUND_ FIIN "FUND_ -MMT.BowinS --
A $ Soo s - $ - $ - s goo
Bearbs
Accounts
Restricted -
Nm -latest Bandag
Atmenients
TOTAL
548,532 1,332,102 1,131,266
- - 1,178,319
11-�g? M-564 742-
31,595,219
gVWM
252,469 3,264,369
1,178,319
All of die Town's deposits were covered by Federal Deposit insurance or collatealizod
with securities meld by a third party custodian in the Town's name, enccept for approximately
$19,000 which was covered in the subsequent year.
Cash from obligations - restricted represents unspent bond proceeds whose use is limited to
funding certain construction projects. This restricted cash is more further described in Note
I - Commitments and Contingent Liabilities, Item 3 - Tri -Municipal Sewer plant gxp wdon.
15
TOWN OF WAPPINGER, NEW YORK
NOTES TO TBE FINANCIAL STATENWM (CONT'D.)
Summary of AccomdIng Policies (Coutinaed)
8. Aocumulatcd C fl -1- V' sated Absence,
It is the Town's POHCY to Permit employees of the Highway Department to accumulate
a limited amount of earned but unused vapton and sick leave, which will be paid to
uta upon separation fivra the Town's service. Other Town employees accumulate
M mod absences. Ebwftw, such earned, but =ned compaLsaW absences,
Must be used during their period of employment with the Town. No payment will be
made upon separation from the Town's service.
In governmental and fiduciary funds, the cost of vacation and sick leave is recognized
when payments are made to employees. A Ion tam liability of $125,568 of aocnmd
vacation and sick leave at December 31, 1998, has been recorded in the General Long -
Term Debt Account Group of Accounts, resting the Town's commitment to fund
mach costs from future operations.
9. Plendon plans
The Town of Wappinger participates in the New York State and Local Employees'
Retirement System (BRS), and the Public Employees' Croup Life Insurance Plan
(Systema). These are cost-sharing multiple -employes retirement systems. The Systems
provide retirement benefits as well as death and inability benefits. Obligations of
employers and employees to contribute and benefits to to ane governed by the
New York State Retirement and Social Law (NY� . As set forth in the
NYSRSSL, the Comptroller of the State of�ock () serves as sole trustee
and ve head of the Systems. The Comptroller shall adopt and may amend
ndes and reguladons for the adminiRratian and transaction of the business of the Systems
and for the custody and control of their funds. The Systems issue a publicly available
financial repeat dot includes financial statements and required supplementary information.
Tfiatrt may be obtained byug to the New York State and Lodi Retirement
Systems, Gov. Alfred E. Smith Saw*hOfisce Building, Albany, NY 12244.
The Systems are noncontributory, eaoept for who joined the Now York State
and Lodi �' System attar J , 1976 who contribute 3 S of their
salary the audwnty of the NYSRSS4 the Comptroller shall certify annually the
rate apvessed as props of payroll of members, which shall be used in computing
the contributions required to be made by employers to the pension accumulation fund.
16
TOWN OF WAPPINGER, NEW YORK
NOTES TO TSE FIIITANCIAL STAT,MTS (CONT'D.)
DMEban 310 1999
Smwn3X7 of Accounting Policies (Continued)
The Town of W is required to Bon o at an actuarially determined rate. The
required contributions far the oannnt year and two
. pzeeedirig years were:
The Town's contributions made to the Systems were equal to 100 percent of the
contributions required for each year.
10. Post Employment Benefits .
In addition to providing pension benefits, the Town provides health insurance coverage
and survivor benefits for retiredand their survivors. Substantially all of the
T employees may become eligible for benefits if they reach normal retirement
arge While wrodogg for the Town. Health care benefits and survivors benefit: are provided
through am MUM= company whose premiums are based on die benefits paid during the
year. The Towne recognizes the dost of providing benefits by recoeding its share of
msnrance premiums as an expenditure in the year paid. Employees contribute according
to a sliding scale based on years of service.
For the year of 1998, $17,369 was Fsid on behalf of eleven retirees and recorded as
expenditures in the General and Special Revenue Finds.
11. Property Taxes
The Town submits an approved budget to rho Dugs County Commissioner of Finance
by December Sth of the ps+eviqu year.The County then establishes the warrant for the
year which is due and payable on or about January 1 of each year. The Town collects
the taxes on behalf of the Town and County without penalty through February 28th and
with penalties and interest through August 31st. The Town's poirtion of the taxes is
eoilected and transSenced prig do the County's portion. Therefore, the Town receives its
entire tax levy, leaving the unpaid taxes to be collected by the Canty Commissioner of
Finance.
U. Long -Term Obi
Long Term Debt is recognized as a liability of a governmental find when due, of when
resources have been accumulated in the debt service find for payment early in the
following year. For other Long -Term Obligations, only that portion expected to be
financed from expendable available financial resources is reported as a fund liability of
a governmental fund. The remaining portion of such obligations is reported in the
General Lohg Term Debt Account Group:
17
TOWN OF WAPMNGER, NEW YORK
NOTES TO THE FINANCIAL STATEMENTS (CONT'D.)
F R 31 -IM
Simmmary of Accountingpops (Contioned)
13. Insurance
The Town of WappbW a the liability for moat risk including, but not limited to,
PmP�Y and Persond mlmy liability. Such risks an covered by the purchase of
commercial Munaoce. Judgements and claims are racmded when it is probable that an
and has been impaired or a liability has been. incurred and the amount of loss can be
reasonably estimated. Worimrs es m
m d f e is provided through a
win � ue rarordedbased on the ultimate cost of the
e aloe workers in similar
14. Reserves of mind Equity
The Town records indicate that portions of the fund equity are segrepted for a specific
Tfuture use. The following details the description and amounts of the rearm used by the
BALANCB AT
Il. 1999
cmeneml
Reserved for EA=mbmmcw $ 35,679
Reserved for 14i:oalanom:
hqudon Few 330,000
Tow Ufteataneons Reserve
459.714
TOTAL S49
.393
iS. Allowance for Uncollectible Accounts
An Allowance for Unowllecd* Accounts is not reflected in the Spatial Revenue Pbnd.
Accounts past due after one yrs are placid on thepe y tax IOUs for collection, and
reimbursed to the Town by the County of D Achess-i the *0perty taxes remain unpaid.
16. TOW Cohimns on Combined Statunents
Total Columns on the Combined Statements - 0VUView are captioned "Memorandum
Only" to indicate that they arcyresepw only to facilitate financial analysis. Data in
these columns do ty with
g� , results , or chs. S in
financial tion in y accepted ting principles, such
data is not curable to a idation. InterbW eliminations have not been made
in the agpgption of this data.
Is
TOWN OF WAPPINGEEt, NEW YORK
NOTES TO THE FINANCIAL STATIEd1 EMS (CONT'D.)
DECEMM 31- 19"
Summary, of Accoontng Polidies (Conte
Other Receivables at December 31, 1998 consist of the following:
Fa and Fane Receivable
The folio summary of
1998.8 a amounts due from and due to other fumds as of December 31,
_ � DQE F, TtOM
General Fund $705,384
ProjFund 69.530 81,231Rev�ue Fund -
und
W 3,24 11,267
Sewer Fund 9R-959 -161
TOTAL S906.743 $906-743
The following is a summary of changes and adjustments in the Owmai FixW AUM Account
G'ceP. for the Year ended December 31, 1998:
BALANCZ - BALANCE -
JANUARY 4 ------ DRCBII = 319
L=d $ 5,284,650 $ - _ - $ 5,284,6x50
BMUM
Outer 6,197.703 75,578 - 6,273,283
Thu BMIftpX058 - - 2,892.058
Ing I- at 2-690.993 10$,244 - 2-739-242
TOTAL UZMM X= ALLU=
19
TOWN OF WA�G NEW YORK
NOTES TO TIM FINANCIAL S'TATIZIENU (CONT'D.)
Bond Anticipation NOIN PAFJ* 810 Mewed MUNDY and to t�t�of 5ve
iemenq
fir WaW and sewer which may renewed ffoorth r�alewals,
life t
the
exceed twenty yeamthe
of Improvement not to
711e Bond dilation Notes owing
as of December 31 1998, are as fellows:
AMOUNT
OgTGUIALCRI�
OUTSTANDING
5gry MATURITYPug
- -
EWE= ' AMOUNT OF DBCB� 31,
IBM—
w.er 0917/91
Wader 07109/99
09/16/92 07/09/99
---12"
3.635 3 373,760 $ 233,000
3 09/17/91 07109/9!
Saw"
3.63% 30,500 8,000
3.63% 4,000,000
07/14/94
Seer 07!11/96 07/09/99
!,000,000
3.63 9i 375,000 300,000
Senear 07/09199
07/09/98 07/09/99
3.63 % 403,000 230,000
3.6391
� 07/09/98 07109/99
Pwpaty 07/09/98
180,000
3.63%Dan 580�0180'000
SS0,000
07109/99
3ubto
3.63% 155-0000D
6.094.260
y
Service Bids 07/09/98 07/09/99
3.74% ...344.E _.240-M
TOTAL
-- --- _ --
1.
The Town borrows money in order to acquire or
CousbW This enables the cost of plu improvements.
mceiving the benefit of the L"O to be borne by the p cent and future =p�,y�
ts. Tbese
credit debt of the Town, recorded in long -fin liabilida, which are full faith aad
opf ision to be made in future budges for capital inde,�b rig the amoL1149-Term Debt Account unt,
longWest,e to be collected in tuturt y from taxpayers cad others for '' �li9 of
T1e Serial Bonds payable, as of December 31, 1998, are as follows:
ORIGINAL
�ffiS6 ZWM MATOJUW VnZPJ 3T AMOUNT
Wow ATB- -DATE.- —BATE pip EM
Saar $ 66,000
Dmimp 104,000
09-01-71 03-01-99 5.0% 1.24
m
AMOUNT
OUTSTANDING
AT
DEER 31,
1993___
$ 2,600
4,000
so
TOWN OF WAFp>NG NEW YORK
NOTES TO THE FINANCIAL STATEMEM (CONT'D.)
NOTE F - TDnbl= Debt /Cuallnued.
Water
Sewer
Water
sewer
Dninap
Water
Sewer
Town Hall
ISSUE MATURITY Dnm
.DATIC -pAT]t _.RATE
02-15-73 ll -15-03 5.0%
0541-77 03-01-04 5.375%
12-01-85
Water
Machinery and Bgn4um
05-01-87
Water
Sewer
Dnimp
06-01-03 7.75%
05-01-M 6.3'4
08-13-91 09-15-11 .6.3 %
Sewer - Td Mudd 11-12-92 09-15-12 3% - 6.65%
148,070
AMOUNT
362.000
700.QOQ
1.210-070
OUTSTANDING
ORIGINAL
AT
AMOUNT
OF Is--_
DECEMBER 31,
36,800
6,000
_.-19
400,000
13
_.QOQ
80,000
5W.0W
375-
97,5W
72-
2,630,OW
591,000
3•005,OW
6 -035 -QM
672,000
1-350-
148,070
64,050
362.000
700.QOQ
1.210-070
156,973
52S-000
364,3W
364,500
207-
571-
99,200
40-
140_aoo
824,400
542,000
528,000
2-192-6nn
t tet rm
-,�..�..�
6-060-000
346,000
1-497-
Z__.3�5.00o
4-695-000
F.maxemy Servo m
BuRding
10-01-94
10-01-14
6.01% 11-30 om 1-320,000
Sewer - Td-Mndcipd
12-15-94
OS -15-15
Vaaable 9-519-786 13 -
sewer - Td-Moad*d
06.01-95
11 -1S -1S
3.70-5.53% 2-6� 2-305-000
Water - Fleetwood
07/30/98
1011S/18
4.W%% 510-000 tin rm
Tim amual n4 is 1D amaW= boa" debt, as of Decemba 31, 1998, are as follows:
21
The changes in the Town's indebtedness during the year ended December 31, 1998, are
summarized as follows:
BALANCE- BALANCE-
.JANUAItY 1- 199a
SUW Bonds $21,793,000 $ 510,000 $(1,443,000) $20,560,000
I.aadfiu Closure
and Pod-Cloam
Cosb - Nota I 530,000 _ (S0ADD)
Abtenoest -Nota A.51_ 2 s —UAM 12S -56g
Total = S 510_= ILWJM
NOTE CQXMdUv T
AM
The lbws is committed under various kases for Of[ioe equipment and unication equipment.
That lease, are eonside and for accounting purposes to be operating leases. Law a xpenditam
for the Year ended December 31, 1998 amounted to $26,912. At December 31, 1998, the
f6 flow us: mate annual operating lease eommilrne a, subject to tion of funds, were as
follow
YEAR ELIDING
TOWN OF WAj!?WGER, NEW YORK
DB 319
LgASM
NOTES TO THE FINANCIAL STATF1YL WTS (CONTD.)
31-1999
YEAR EMINTG
2001
23, 283
L
1999
2000
PBIDiCLPdL
1,433,000 1,259,520
2003
2,�
2001
1,405,000 1,179,900
2,587,900
2002
1,433,000 1,098,7262,531,M
2003
1,435,000 1,015,224
2,473,224
T>,a+aAer
� 1,443+O x,236
MUM -'moi -18.7M-391
2,373,236
2. CL80
XMJWM AULA= $31-37�:.;
The changes in the Town's indebtedness during the year ended December 31, 1998, are
summarized as follows:
BALANCE- BALANCE-
.JANUAItY 1- 199a
SUW Bonds $21,793,000 $ 510,000 $(1,443,000) $20,560,000
I.aadfiu Closure
and Pod-Cloam
Cosb - Nota I 530,000 _ (S0ADD)
Abtenoest -Nota A.51_ 2 s —UAM 12S -56g
Total = S 510_= ILWJM
NOTE CQXMdUv T
AM
The lbws is committed under various kases for Of[ioe equipment and unication equipment.
That lease, are eonside and for accounting purposes to be operating leases. Law a xpenditam
for the Year ended December 31, 1998 amounted to $26,912. At December 31, 1998, the
f6 flow us: mate annual operating lease eommilrne a, subject to tion of funds, were as
follow
YEAR ELIDING
OPERATING
DB 319
LgASM
1999 9
2W
25,962
2001
23, 283
22,6M2002
2003
19,158
-421
TOTAL NMMdum LLEAW PAYMENTS
S
TOWN OF WAPPINGER, NEW YORK
NOTES TO TSE FINANCIAL STATEMEIM (CONrD.)
RECENUM al. 1"s
Certain Capital Projects -had deficits of fund equity at the end of the
These deficits arose through the funding of ..tures by issuing
the notes are paid, revenue will be repo and the deficits will
Fleetwood Water S(57-5141
Oakwood Knolls water
urgency services Building UM=
Tri -Municipal Sewer Phase 3-A SL4,M-9251
Castle Point Landfill Wl=
Purchase - Dean Property S(52.306)
Tri -Municipal - Plant S(4
e '.nlu toM IIo`' i i #)7o M 7 wig !
year which are listed below.
bejimincipation nota. As
1. The Town is a defendant in various lawsuits and tax caadorari uses. The outcome of
these caw and lawsuits, as determined by the Town Attorney, should not result m
material unfavorable settlements. Any return of property fazes made as a result of the
settlement of a tax certiorari case is funded by an increase in the property taxa collected
in the year subsequent to payment.
2. The Town has received amounts from grantor agencies, principally the Department of
Housing and Urban Development. Any allowed claims, including amounts already
collected, may constitute a liability of the applicable funds. The amount, if any, of
e xpendibau which may be disallowed by the grantor agency cannot be determined at this
time.
An initial consent judgement was executed between the Town and the New York State
Department of Environmental Conservation dated Ap 18, 1988 regarding alleged
environmental violations. Due to numrto>, tochtical diffiuulties, the Town of Wappinger
was unable to meet the threshold dates contained in the consent judgement, and an
amended consent judgement was renegotiated and approved by both parties.
This amended consent judgement required the Town to construct a sewer line to the Tri -
Municipal Sewer Treatment Plant plus a one million gallon expansion of said plant. The
Town, however, does not own the plant nor does it have voting rights on the
Commission's governing bond. The plant is owned and operated by the Tri -Municipal
23
TOWN OF Y! Pj Il TGER, NEW YORK
NOTES TO TSE MNANCiAL 3TATEMEM (CONTD.)
DECENMIRR 31, 1ggg
Sewer Commis made yip of rqmespatat;v gg of the Town of Poughkeepsie and the Village
ofW�rViMun Sewer ad the Department
of �belwetshaMilt Of additional dilftultlis
delays have occurred and a Third Amended Judgement was agreed to,
�the date of to July 1, 1997. The Town was able to begun using the
Cp�ty as of 7 yl 1d, 1997, however, certain construction related costs
continue to be incurred.
Funding 01 o the Prqed has been � by two authorizations for a total cost of
$19,6Deceoft 1the, 1998, $17,189,840 in bonds have been ism tl�gh
Faacility Corporation and $2,060,414 in Bond Anticipation Notes have
bow issued.
TOW PCCOCt eosa toured throu;h December 31, 1998, amounted to $18,121,260. Under
the terms of - the amts with the Environmental Facility Corporation, serial bond
Proceeds are required to be deposited into a Construction Fund Account, be invested in U.S.
Treasury secunf= until drawn upon, and W subject to regulatory approvals before beind"nupaLg
as of December 311998, incl fiedC as a Restricted meted to 51,178,319
In May 1997, the Town entered into a contract with the Tri Munic 4W. Sewer Commission
with n9a d to the further ajonsion of the Commission's sewage treatment fac ilityfrom 2.4
mifunded byl>ion 8 Pa daj► tD 3.4 mr7lion gallon Pa day gsrpacity, the costs , of which will
be the Town. In January 1999 the Town Board authorized the Phase 3A Sewer
hqgOvenlent Project based on the May 1998 map, plan and report. The Town estimated
and related project cis to be $109400,000. The Town has incurred $645,578
in engineering and legal fides to date, Pertaining to the preparation of the map, Plan and
report, authorized in Prior yearn,
i. CMWR ERM .T u ditU
off 7%xmn � C,1� y Oar with the Now York State Department
and monitW the landfill at Castle Pokt. Ile
ung and capping Project was completed in with Pr Dject cgxmdkures amounting to
$571,720. The costs of monitoring, which could be required for up to thirty gears after
clostne, have not been estimated since an agreement with the Department of Environmental
Conservation has not yet been reached as to the nature and extent of required monitoring.
The costa of both closure and postelosure moni ag aordinarily recognized over the
cpxftd useful life of the landfill Howew, siaoe� re has slapped accepting refuse,
all costs are being recognized as the term: of closure and requirements are
determined. The actual costs may be higher due to inflation, changes in technology or
subsequent changes in regulatiou.
TOWN OF WApPWGER, NEW YORK
NOTES TO TSE FINANCIAL STA1EVWNW% ft.IFINTS (CONTD.)
DECENM
The Town has been notified drat it is dile to receNe up to $275,000 in grant funds dWWgh
die New York Stale Department of EnvironmentalLandfill Closure A►ssis
tan
Program, based on dig le expenditures. This aid is Cpx ted to be received in 1999.
1-.3 F % 1, 1V. I 'T 1111 I ��j1�
The Town has shared in the monitoring costs of a closed landfill
WaPPInger-LaC =0V Joint Landfill. This joint includes die dm Pou
.
Of
Pou`Sh
TOM ��� � Vi1la$e aRmgeca Falls andel the of UGIR �e as well as the
All associated with '
assessment the eft and cost of future monitoring are recognized as Allincy suc d. No
g costs has been made, An�r such costs
forwill
dared equally among the five municipalities. The Town's share of mo ing costs
year endod December 31, 1998 amounted to $2,500., Financial statements are
available from the Joint Landfill's Board.
Summarized vaa» diced financial infer is as follows:
Total Assets
Total Liabilities J
Total Fund Balance
The Town has autiwrized, but not issued, the following new debt:
ngtAuthorization Ammint
Refunding Bonds 02/01/99 $4,700,000
Highway Equipment 05/24/99 $363,544
Central Wappingers
Water its 09/13/99 $500,000
25
TOWN OF WAPPINGER, NEW YORK
REQUIItF.D SUPP EbIENTAL INFORMATION
__ 1101992
I&P Year 2000 MID lane
The GoNanmeatal Accounting Standards Bogard requhn slate and local goto disclose
information about the effects of the Y2K issue. IU Y2K issue is the result of s wrWomings in
many electronic data processing systema and other equipmmt that make operations beyond the
year 1999 troublesome. Pfoblems affecting a wide zange of governmental activities could result
if computers and otherdec�naic eft that aze dependent upon date -sensitive coding are not
%i r Pr M. These problems have tis potential for camping a disruption of government services and
an increased demand for government services. The Y2K issue is a wozldwide issue that alb
governments and the private sector whose operations are inert in many situations. The
Y2K issue could cause significant disruption of services.
At December 31, 1998 the Town had committed funds for Y2K compliance changes through its
1999 budget.
The Town has identified certain computer systema to be critical to operations, specifically those
penedia � to the processing of final transactions and mated repo t-keepini. The assessment,
remdiatwn and validation of these systems is expected to be performed during 1999.
The Town is dependent on outside processing of portions of its revenues, specifically property tae
and sales tax revenues, which are handled by Dutchess County. The Town would not be able to
collect these revenues in the short term if the County's systems were unable to perform these
services. The Town does have the legal authority to= funds in anticipation of the receipt
of these revenues, although the timing of such borrowings may not coincide with the need for
disbursements.
While tine Town is ma]ang an effort to obtain. Y2K compliance in critical areas, it cannot provide
cempleie assurarnoe that it wiIl be Y2K complant by January 1, 2000, nor can it provide complete
assurance that supplier's of essential services w. also be Y2K compliant by January 1, 2000
26
APPENDIX B
CERTAIN FINANCIAL INFORMATION OBTAINED
FROM FINANCIAL STATEMENTS
TOWN OF WAPPINGER
GENERAL FUND *
BALANCE SHEET
AS OF DECEMBER 31:
LIABILITIES AND FUND EQUITY
Liabilities:
(Unaudited)
Accounts Payable
1995
1996
1997
1998
1999
ASSETS
0
0
0
12,513
36,662
Cash and Equivients
$ 1,994,498
$ 2,128,734 $
1,397,561
$ 1,585,219 $
2,312,728
Other Receivables (Net)
226,132
64,596
64,453
243,906
315,413
Due From Other Governments
0
193,958
178,664
705,384
0
Due From Other Funds
361,541
29,838
689,838
74,977
477,706
Prepaid Expenses
0
0
0
0
878
Total Assets
$ 2,582,171
$ 2,417,126 $
2,330,616
$ 2,609,486 $
3,106,725
LIABILITIES AND FUND EQUITY
Liabilities:
Accounts Payable
$ 36,242
$ 98,400
$ 37,189
$ 116,681 $
20,461
Due To Other Governments
0
0
0
12,513
36,662
Deferred Revenues
61081
0
0
0
5,919
Total Liabilities
42,323
98,400
37,189
129,094
63,042
Fund Equity:
Reserved
563,005
571,034
605,423
495,393
434,776
Unreserved
1,976,843
1,747,692
1,687,904
1,984,999
2,608,907
Total Fund Equity
2,539,848
2,318,726
2,293,327
2,480,392
3,043,683
Total Liabilities and Fund Equity
S 2,582,171
$ 2,417,126
$ 2,330,516
$ 2,609,486 $
3,106,725
• Combined Townwide and Town Outside Village General Fund.
Source: The financial data presented on this page has been excerpted from the Town's Annual Audited Financial Reports for the fiscal years ended
December 31, 1995 through 1998 and the Annual Unaudited Financial report for the fiscal year ended December 31, 1999.
Such presentation, however, has not been audited. Complete copies of the Town's audited financial statements are available upon request to the Town.
B-1
TOWN OF WAPPINGER
GENERAL FUND *
STATEMENT OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCE
YEARS ENDED DECEMBER 31:
REVENUES:
Real Property Taxes
Real Property Tax Items
Non-PropertyTax hems • •
Departmental Income
intergovermental Charges
Use Of Money And Property
Licenses and Permits
Fines and Forfeitures
Sale Of Property And
Compensation For Loss
Miscellaneous
Federal Aid
State Aid
Total Revenues
EXPENDITURES:
Current:
General Government Support
Public Safety
Health
Transportation
Economic Assistance And Opportunity
Culture And Recreation
Home And Community Services
Employee Benefits
Debt Service
Total Expenditures
Excess of Revenues
Over Expenditures
1995 1996 1997(Unaudited)
1998 1999
$ 1,307,638 $ 1,156,927 $
59,032
67,445
842,718
812,707
172,309
113,626
11996
1,545
162,776
280,669
65,438
66,156
103,420
94,863
1,018,609
S 1,143,764
5 1,381,354
49,808
91,488
67,368
811,953
926,729
1,004,419
173,883
108,387
148,373
11185
1,620
0
235,959
218,518
236,324
64.009
80,023
124,629
127,917
171,780
191,381
655
45,617
4,680
2,566
2,208
3,222
4,622
- 960
0
19,471
0
0
495,346
507,007
648,381
684,311
3,213,435
3,169,145
3,041,006
1,429,146
11180,959
1,345,869
1,202,768
1,166,884
185,591
234,511
225,325
240,440
0
0
2,581
11590
118,972
106,162
104,460
108,938
2,390
1,428
1,102
6,826
518,305
450,079
455,779
527,150
282,439
312,718
270,356
304,335
268,213
259,119
260,184
258,001
551,131
676,381
603,850
627,917
3,108,000
3,286,267
3,126,405
3,242,081
105,435
(127,122)
(85,399)
187,065
OTHER FINANCING SOURCES (USES):
Operating Transfers - In 135,285 p
Operating Transfers - Out 0 (94,000) p 0
0
Total Other Financing Sources (Uses) 136,286 (94,000) 0
s p
Excess (Deficiency) of Revenues
and Other Sources Over
Expenditures and Other Uses
Fund Equity - Beginning of Year
Residual Equity Transfer
Fund Equity - End of Year
0
4,444
863,187
4,021,479
1,276,269
253,487
3,376
114,694
1,100
647,113
335,695
263,141
711,610
3,506,385
515,094
0
0
0
240,720
(221,122)
(85,399)
187,065
515,094
2,299,128
2,539,848
2,318,726
2,293,327
2,528,589
0
0
60,000
0
p
$ 2,539,848
$ 2,318,726 3
2,293,327
2,480,392
3,043,683
' Combined Townwide and Town outside village General Fund.
' Primarily includes a distdbutive share of the County sales tax .
Source: The financial data presented on this page hes been excerpted from the Town's Annual Audited Financial Reports for the fiscal years ended
December 31, 1995 through 1998 and the Annual Unaudited Financial report for the fiscal Year ended December 31, 1999.
Such presentation, however, has not been audited. Complete copies of the Town's audited financial statements are available upon rerluest to the Town.
B-2
TOWN OF WAPPINGER
SPECIAL REVENUE FUND*
BALANCE SHEET
AS OF DECEMBER 31:
LIABILITIES AND FUND BALANCES
Liabilities:
1995
1996
1997
1998
(Unaudited)
1999
ASSETS
$ 20,460 S
119,258
$ 99,235 S
47,205
�_.
Cash and Equivalents
$ 1,244,976 $
1,429,496
$ 1,515,386 $
1,911,666
$ 1,627,345
State and federal Receivables
0
72,182
71,998
23,000
0
Receivables:
0
12,334
12,334
12,334
12,334
Charges For Services
0
0
583,539
563,631
0
Other Receivables (Net)
514,029
568,219
0
0
661,721
Prepaid Expenses
0
0
0
202,839
90,646
Due From Other Funds
84,243
289,907
0
0
0
52,982
94,956
Due From Other Governments
4,045
0
110,388
120,128
1
0
Total Assets
$ 1,847,293 S
2,359,804
$ 2,281,311 $
2,618,425
$ 2,437,004
LIABILITIES AND FUND BALANCES
Liabilities:
Accounts Payable
$ 20,460 S
119,258
$ 99,235 S
47,205
$ 34,471
Accrued Expenses
6,430
0
0
0
Retainage Payable
796
0
6,087
6,087
0
6,087
Deferred Revenues
0
12,334
12,334
12,334
12,334
Due To Other Governments
0
0
O
137,213
0
Due To Other Funds
326,541
235,502
55,983
0
37,754
Total Liabilities
354,217
367,094
173,639
202,839
90,646
Fund Balances:
Reserved
63,599
0
118,969
0
46,723
Unreserved
1,429,477
1,992,710
1,988,703
2,415,686
2,299,636
Total Fund Balances
1,493,076
1,992,710
2,107,672
2,416,586
2,346,358
Total Liabilities and Fund Balances
S 1,847,293 S
2,359,804
$ 2,281,311 $
2,618,425
$ 2,437,004
• Special Revenue Funds Include: Highway, Lighting, Ambulance, Water and Sewer Fund.
Source: The financial data presented on this page has been excerpted from the Town's Annual Audited Financial Reports for the fiscal years ended
December 31, 1995 through 1999 and the Annual unaudited Financial report for the fiscal year ended December 31, 1999.
Such presentation, however, has not been audited. Complete copies of the Town's audited Rnendal statements are available upon request to the Town.
B-3
TOWN OF WAPPINGER
SPECIAL REVENUE FUNDS*
STATEMENT OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCE
YEARS ENDED DECEMBER 31:
REVENUES:
Real Property Taxes
Real Property Taxe items
Non -Property Tax hems
Departmental Income
Intergovernmental Charges
Use Of Money And Property
Sale Of Property And
Compensation For Loss
Miscellaneous
State Aid
Federal Aid
Total Revenues
EXPENDITURES:
Currant:
General Government Support
Health
Transportation
Home And Community Services
Employee Benefits
Debt Service
Total Expenditures
Excess of Revenues
Over (Under) Expenditures
S 3,407,472 S
37
3,250
1,561,799
0
715,453
(Unaudited)
1996 1997 1998 1999
3,756,987 $ 3,915,665
39
0
0
0
1,722,137
1,750,300
5,436
3,588
715,406
643,830
$ 3,773,384 $ 3,368,710
0
0
0
0
1,720,636
1,678,563
2,334
4,502
603,173
596,105
4,554
3,439
4,153
3,900
6,461
11,324
210,425
2,134
25,277
0
108,336
147,566
328,409
118,949
115,380
0
33,909
13,177
0
0
5,812,225
6,595,344
6,661,256
6,247,653
5,768,721
15,143
0
0
0
0
196,700
231,700
231,700
231,700
231,700
1,244,235
1,349,417
1,649,466
1,332,977
1,359,448
1,517,061
1,663,173
1,618,832
1,684,735
1,584,942
222,637
244,945
207,998
215,911
239,260
2,234,145
2,669,725
2,973,874
2,474,416
2,423,436
6,429,921
6,058,960
6,681,870
5,939,739
5,838,786
382,304
536,384
(20,614)
307,914
(70,065)
OTHER FINANCING SOURCES (USES):
Operating Transfers - in 0 0 118,000 0 0
Operating Transfers - Out 0 (36,750) (1181000) 0 0
Total Other Financing Sources (Uses) 0 (36,750) 0 0 0
Excess (Deficiency) of Revenues
and Other Sources Over
Expenditures and Other Uses 382,304 499,634 (20,614) 307,914 (70,065)
Fund Balances - Beginning of Year 1,110,772 1,493,076 1,992,710 2,107,672 2,416,423
Adjustments 0 0 135,576 0 0
Fund Balances - End of Year $ 1,493,076 1,992,710 2,107,672 2,415,586 2,346,358
• Special Revenue Funds Include: Highway, Lighting, Ambulance, Water and Sewer Fund.
Source: The financial data presented on this peg* has been excerpted from the Town's Annual Audited Financial Reports for the fiscal years ended
December 31, 1995 through 1996 and the Amaral Unaudited Financial report for the fiscal year ended December 31, 1999.
Such presentation, however, has not been audited. Complete copies of the Town's audited financial statements are available upon request to the Town.
B-4
ESTIMATED REVENUES:
Real Property Taxes
Real Property Tax Items
Non -Property Taxes
Departmental Income
Intergovernmental Charges
Use Of Money And Property
Licenses And Permits
Fines And Forfeitures
Sale Of Property And
Compensation For Loss
State Aid
Miscellaneous
Total Estimated Revenues
APPROPRIATIONS:
Current:
General Government Support
Public Safety
Health
Transportation
Economic Assistance And Opportunity
Culture And Recreation
Home And Community Services
Employee Benefits
Debt Service
Total Appropriations
TOWN OF WAPPINGER
2000 OPERATING BUDGET
General Highway Combined Combined Lighting Ambulance Combined
Fund In) Fund Water Sewer Fund Fund Totals
$ 1,150,000 $ 1,469,000 $ 262,549 $ 1,534,024 $ 24,543 $ 226,700 $ 4,666,816
55,000
0
0
0
0
0
55,000
745,000
0
0
0
0
0
745,000
95,600
0
581,080
999,585
0
0
1,676,165
0
4,000
0
O
0
0
207,200
30,000
10,817
269,250
362
3,000
510,629
60,000
0
0
0
0
0
60,000
142,000
0
0
0
0
0
142,000
0
0
300
0
0
0
300
565,092
0
0
0
0
0
565,092
11500
0
0
0
0
0
11500
3,021,292
1,503,000
854,746
2,792,859
24,905
229,700
8,426,502
1,463,248
0
0
13,000
0
0
1,476,248
261,211
0
0
0
0
0
261,211
3,000
0
0
0
0
231,700
234,700
133,100
1,307,235
0
0
28,005
0
1,468,340
4,100
0
0
0
0
0
4,100
668,338
0
0
0
0
0
668,338
288,149
0
612,003
1,065,906
0
0
1,966,058
356,085
277,700
2,893
1,167
0
0
637,835
746,309
86,807
489,144
2,062,849
0
0
3,385,109
3,923,540
1,671,742
1,104,040
3,142,912
28,005
231,700
10,101,939
Excess Of Estimated
Revenues Over Appropriations (902,248) (168,742) (249,294) (350,053) (3,100) (2,000) 11,675,437)
OTHER FINANCING SOURCES (USES):
Operating Transfers - In 220,950 12,000 221,021 1,875 0 0 455,846
Total Other Financing Sources (Uses) 220,950 12,000 221,021 1,875 0 0 455,846
APPROPRIATED FUND BALANCE $ 681,298 $ 156,742 S 28,273 S 348,178 $ 3,100 $ 2,000 $ 1,219,591
(a) Combined Townwide and Town Outside Village General Funds.
C-1
BOND INSURANCE
Concurrently with the issuance of the Bonds, Financial Guaranty Insurance Company" ("Financial
Guaranty") will issue its Municipal Bond New Issue Insurance Policy for the Bonds (the "Policy"). The
Policy unconditionally guarantees the payment of that portion of the principal of and interest on the Bonds
which has become due for payment, but shall be unpaid by reason of nonpayment by the issuer of the
Bonds (the "Issuer"). Financial Guaranty will make such payments to State Street Bank and Trust
Company, N.A., or its successor as its agent (the "Fiscal Agent"), on the later of the date on which such
principal and interest is due or on the business day next following the day on which Financial Guaranty
shall have received telephonic or telegraphic notice, subsequently confirmed in writing, or written notice
by registered or certified mail, from an owner of Bonds or the Paying Agent of the nonpayment of such
amount by the Issuer. The Fiscal Agent will disburse such amount due on any Bond to its owner upon
receipt by the Fiscal Agent of evidence satisfactory to the Fiscal Agent of the owner's right to receive
payment of the principal and interest due for payment and evidence, including any appropriate instruments
of assignment, that all of such owner's rights to payment of such principal and interest shall be vested in
Financial Guaranty. The term "nonpayment" in respect of a Bond includes any payment of principal or
interest made to an owner of a Bond which has been recovered from such owner pursuant to the United
States Bankruptcy Code by a trustee in bankruptcy in accordance with a final, nonappealable order of a
court having competent jurisdiction.
The Policy is non -cancellable and the premium will be fully paid at the time of delivery of the Bonds. The
Policy covers failure to pay principal of the Bonds on their respective stated maturity dates or dates on
which the same shall have been duly called for mandatory sinking fund redemption, and not on any other
date on which the Bonds may have been otherwise called for redemption, accelerated or advanced in
maturity, and covers the failure to pay an installment of interest on the stated date for its payment.
This Official Statement contains a section regarding the ratings assigned to the Bonds and reference
should be made to such section for a discussion of such ratings and the basis for their assignment to the
Bonds. Reference should be made to the description of the issuer for a discussion of the ratings, if any,
assigned to such entity's outstanding parity debt that is not secured by credit enhancement.
The Policy is not covered by the Property/Casualty Insurance Security Fund specified in Article 76 of the
New York Insurance Law.
Financial Guaranty is a wholly-owned subsidiary of FGIC Corporation (the "Corporation"), a Delaware
holding company. The Corporation is a subsidiary of General Electric Capital Corporation ("GE Capital").
Neither the Corporation nor GE Capital is obligated to pay the debts of or the claims against Financial
Guaranty. Financial Guaranty is a monoline financial guaranty insurer domiciled in the State of New York
and subject to regulation by the State of New York Insurance Department. As of June 30, 2000, the total
capital and surplus of Financial Guaranty was approximately $1.293 billion. Financial Guaranty prepares
financial statements on the basis of both statutory accounting principles and generally accepted
accounting principles. Copies of such financial statements may be obtained by writing to Financial
Guaranty at 115 Broadway, New York, New York 10006, Attention: Communications Department
(telephone number: 212-312-3000) or to the New York State Insurance Department at 25 Beaver Street,
New York, New York 10004-2319, Attention: Financial Condition Property/Casualty Bureau (telephone
number: 212-480-5187) .
D-1
Financial Guaranty Insurance
Company
115 Broadway
New York, NY 10006
(212) 312-3000
(800)352-0001
A GE Capital Company
Municipal Bond
New Issue Insurance Policy
Issuer. Policy Number.
Control Number. 0010001
Bonds:
Exhibit A
FDIC.
Financial Guaranty Insurance Company ("FinI G ty"), a New York stock insurance company, in
consideration of the payment of the premi sect to the terms of this Policy, hereby unconditionally
and irrevocably agrees to pay to State St and Trust Company, N.A., or its successor, as its agent (the
"Fiscal Agent"), for the benefit of Bon 1 ers, that portion of the principal and interest on the above-
described debt obligations (the "Bonds') which shall become Due for Payment but shall be unpaid by reason of
Nonpayment by the Issuer.
Financial Guaranty will make such payments to the Fiscal Agent on the date such principal or interest
becomes Due for Payment or on the Business Day next following the day on which Financial Guaranty shall
have received Notice of Nonpayment, whichever is later. The Fiscal Agent will disburse to the Bondholder the
face amount of principal and interest which is then Due for Payment but is unpaid by reason of Nonpayment
by the Issuer but only upon receipt by the Fiscal Agent, in form reasonably satisfactory to it, of (i) evidence of
the Bondholder's right to receive payment of the principal or interest Due for Payment and (ii) evidence,
including any appropriate instruments of assignment, that all of the Bondholder's rights to payment of such
principal or interest Due for Payment shall thereupon vest in Financial Guaranty. Upon such disbursement,
Financial Guaranty shall become the owner of the Bond, appurtenant coupon or right to payment of principal
or interest on such Bond and shall be fully subrogated to all of the Bondholder's rights thereunder, including
the Bondholder's right to payment thereof.
This Policy is non -cancellable for any reason. The premium on this Policy is not refundable for any reason,
including the payment of the Bonds prior to their maturity. This Policy does not insure against loss of any
prepayment premium which may at any time be payable with respect to any Bond.
As used herein, the term "Bondholder" means, as to a particular Bond, the person other than the Issuer who, at
the time of Nonpayment, is entitled under the terms of such Bond to payment thereof. "Due for Payment"
means, when referring to the principal of a Bond, the stated maturity date thereof or the date on which the
same shall have been duly called for mandatory sinking fund redemption and does not refer to any earlier date
on which payment is dire by reason of call for redemption (other than by mandatory sinking fund redemption),
acceleration or other advancement of maturity and means, when referring to interest on a Bond, the stated date
FDIC is a retistered service mark used by Financial Guarantv Insurance Comvanv under license from its parent company. FGIC Comontion
Form 9000 (10/93) Page I of 2
D-2
r'inancial Guaranty Insurance
Company5BraCC— -C
i 15 Broadway 1 (T1l.i
New York, NY 10006
1212) 312-3000
,300) 352-0001
4 GE Capital Canpany
Municipal Bond
New Issue Insurance Policy
for payment of interest. "Nonpayment" in respect of a Bond means the failure of the Issuer to have provided
sufficient funds to the paying agent for payment in full of all principal d interest Due for Payment on such
Bond. "Notice" means telephonic or telegraphic notice, subsequen �ed in writing, or written notice by
registered or certified mail, from a Bondholder or a payin r Bonds to Financial Guaranty.
"Business Day" means any day other than a Saturday, Sue T
on which the Fiscal Agent is authorized
by law to remain closed 'I \
In Witness Whereof, Financial Guaranty hs Policy to be affixed with its corporate seal and to be
signed by its duly authorized officer in le to become effective and binding upon Financial Guaranty by
virtue of the countersignature of its duly a 5oozed representative.
President
Effective Date:
Authorized Representative
State Street Bank and Trust Company, N.A., acknowledges that it has agreed to perform the duties of Fiscal
Agent under this Policy.
Authorized Officer
FGTC is a retina service marls used by Financial Guaranty insurance Comparry under tieense From its parent comoarm. FGIC Corporation.
Form 9000 (10/93) Page 2 of 2
D-3
Financial G=anty Insurance
Company
115 Broadway
New York, NY 10006
(212) 312-3000
(800)352-900
A GE Capdal Cofvany
Endorsement
To Financial Guaranty Insurance Company
Insurance Policy
Policy Number. Control Amber 0010001
It is further understood that the term "Nonpayment"
interest made to a Bondholder by or on behalf of
pursuant Bondholder to the United States B
final, nonappealable order of a court ha%iak
Li a normo Includes any payment of principal or
sue such Bond which has been recovered from such
,�de by a trustee in bankruptcy in accordance with a
jurisdiction.
NOTHING HEREIN SHALL BE CONS'IRfJED TO WAIVE, ALTER, REDUCE OR AMEND COVERAGE"
IN ANY OTHER SECTION OF THE POLICY. IF FOUND CONTRARY TO THE POLICY LANGUAGE,
THE TERMS OF THIS ENDORSEMENT SUPERSEDE THE POLICY LANGUAGE.
In Witness Whereof, Financial Guaranty has caused this Endorsement to be affixed with its corporate seal and
to be signed by its duly authorized officer in facsimile to become effective and binding upon Financial
Guaranty by virtue of the countersignature of its duly authorized representative.
President
Effective Date:
Acknowledged as of the Effective Date written above:
Authorized Representative
Authorized Officer
State Street Bank and Trust Companv, N.A, as Fiscal Agent
FGIC is a iy iaered service mark teed by Financial Guaranty Irmwance Company under license from its Parent conyany, FG1C Corporation
Form F.-0002 (10/93)
Page I of I
D-4
Financial Guaranty Insurance !-
Company
115 Broadway �, C.
New York, NY 10006
(212) 312-3000
(800) 352 -OW I
A GE Cap'tal Company
Mandatory New York State
Amendatory Endorsement
To Financial Guar%nty Insurance Company
Insurance Policy
Policy Number: Control mber: 0010001
\�
The insurance provided by this Policy is not covered York Property/Casualty Insurance Security
Fund (New York Insurance Code, Article 76).
NOTHING HEREIN SHALL BE CON WAIVE, ALTS, REDUCE OR AMEND CO
1N ANY OTHER SECTION OF THE �Y. IF FOUND CONTRARY TO THE POLICY L AGE
THE TERMS OF THIS ENDORS ERSEDE THE POLICY LANGUAGE. LANGUAGE,
In Witness Whereof, Financial Guaranty has caused this Endorsement to be affixed with its corporate seal and
to be signed by its duly authorized officer in facsimile to become effective and binding upon Financial
Guaranty by virtue of the countersignature of its duly authorized representative.
President
Effective Date:
Authorized Representative
Acknowledged as of the Effective Date written above:
Autborized Officer
State Street Bank and Trust Company, N.A., as Fiscal Agent
FGTC is a registered service mark used by Financial Guaramv Insuranet Cornomv under license Gom its parent company. FGIC Coryomion
Fonn E-0037 (10/93)
Page 1 of 1
D-5