HomeMy WebLinkAbout2019 Comprehensive Annual Financial Report
TOWN OF COHASSET, MASSACHUSETTS
Comprehensive Annual Financial Report
Cunningham Bridge
For the Year Ended June 30, 2019
Prepared By:
The Fiscal Team
TOWN OF COHASSET, MASSACHUSETTS
COMPREHENSIVE ANNUAL FINANCIAL REPORT
For the Year Ended June 30, 2019
Prepared by:
The Fiscal Team
Town of Cohasset, Massachusetts
TOWN OF COHASSET, MASSACHUSETTS
COMPREHENSIVE ANNUAL FINANCIAL REPORT
JUNE 30, 2019
TABLE OF CONTENTS
Introductory Section ...................................................................................................................................................... 1
Letter of Transmittal ..................................................................................................................................................... 3
GFOA Certificate of Achievement ................................................................................................................................ 7
Organizational Chart .................................................................................................................................................... 8
Principal Town Officials ................................................................................................................................................ 9
Financial Section ......................................................................................................................................................... 11
Independent Auditor’s Report .................................................................................................................................... 13
Management’s Discussion and Analysis ................................................................................................................... 15
Basic Financial Statements ........................................................................................................................................ 25
Statement of Net Position ....................................................................................................................................... 27
Statement of Activities ............................................................................................................................................ 28
Governmental Funds – Balance Sheet .................................................................................................................. 30
Reconciliation of the Governmental Funds Balance Sheet Total Fund Balances to the Statement of Net
Position .............................................................................................................................................................. 31
Governmental Funds – Statement of Revenues, Expenditures and Changes in Fund Balances ......................... 32
Reconciliation of the Statement of Revenues, Expenditures, and Changes in Fund Balances of Governmental
Funds to the Statement of Activities ................................................................................................................. 33
Proprietary Funds – Statement of Net Position ...................................................................................................... 34
Proprietary Funds – Statement of Revenues, Expenses and Changes in Net Position ........................................ 35
Proprietary Funds – Statement of Cash Flows ...................................................................................................... 36
Fiduciary Funds – Statement of Fiduciary Net Position ......................................................................................... 37
Fiduciary Funds – Statement of Changes in Fiduciary Net Position ...................................................................... 38
Notes to Basic Financial Statements ..................................................................................................................... 39
Required Supplementary Information ........................................................................................................................ 75
General Fund Budgetary Comparison Schedule ................................................................................................... 77
General Fund Schedule of Revenues, Expenditures and Changes in Fund Balance – Budget and Actual ...... 78
Pension Plan Schedules ........................................................................................................................................ 80
Schedule of the Town’s Proportionate Share of the Net Pension Liability ......................................................... 81
Schedule of the Town’s Contributions ................................................................................................................ 82
Schedule of the Special Funding Amounts of the Net Pension Liability ............................................................. 83
Other Postemployment Benefits Plan Schedules .................................................................................................. 84
Schedule of Town’s net OPEB Liability and Related Ratios .............................................................................. 85
Schedule of Town’s Contributions ...................................................................................................................... 86
Schedule of Investment Returns ........................................................................................................................ 87
Notes to Required Supplementary Information ...................................................................................................... 88
Combining and Individual Fund Statements .............................................................................................................. 93
Nonmajor Governmental Funds ............................................................................................................................. 94
Nonmajor Governmental Funds – Combining Balance Sheet............................................................................ 96
Nonmajor Governmental Funds – Combining Statement of Revenues, Expenditures, and Changes in Fund
Balances ........................................................................................................................................................... 100
Agency Fund ........................................................................................................................................................ 104
Agency Fund – Statement of Changes in Assets and Liabilities ...................................................................... 105
Statistical Section ...................................................................................................................................................... 107
Net Position By Component ..................................................................................................................................... 108
Changes in Net Position .......................................................................................................................................... 109
Fund Balances, Governmental Funds ..................................................................................................................... 110
Changes in Fund Balances, Governmental Funds .................................................................................................. 111
Assessed Value and Actual Value of Taxable Property by Classification and Tax Rates ....................................... 112
Principal Taxpayers ................................................................................................................................................. 113
Property Tax Levies and Collections ....................................................................................................................... 114
Ratios of Outstanding Debt and General Bonded Debt ........................................................................................... 115
Direct and Overlapping Governmental Activities Debt............................................................................................. 116
Computation of Legal Debt Margin .......................................................................................................................... 117
Demographic and Economic Statistics .................................................................................................................... 118
Principal Employers ................................................................................................................................................. 119
Full-Time Equivalent Town Employees by Function ................................................................................................ 120
Operating Indicators by Function/Program .............................................................................................................. 121
Capital Asset Statistics by Function/Program .......................................................................................................... 122
Introductory Section
Town Common
Town of Cohasset, Massachusetts 1 Comprehensive Annual Financial Report
Introductory Section
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Town of Cohasset, Massachusetts 3 Comprehensive Annual Financial Report
Letter of Transmittal
Letter of Transmittal
December 20, 2019
To the Honorable Members of the Board of Selectmen and the Citizens of the Town of Cohasset:
It is with pleasure that the Comprehensive Annual Financial Report (CAFR) for the fiscal year ended June 30,
2019 for the Town of Cohasset, Massachusetts is hereby presented for review.
This report is the primary means of reporting the Town’s financial activities, and the financial reports contained
within have been prepared and presented in conformity with generally accepted accounting principles (GAAP).
Management assumes full responsibility for the accuracy of the presented data and the completeness and
fairness of the presentation, including all disclosures, based upon an internal control framework that has been
established for this purpose. Recognizing that the cost of a system of internal control should not exceed its
anticipated benefits, this system has been designed to provide reasonable rather than absolute assurance that
the financial statements are free of any material misstatements. To the best of management’s knowledge and
belief, this report is complete and reliable in all material respects.
The Town’s financial statements have been audited by Powers & Sullivan, LLC, a firm of licensed certified public
accountants. The goal of the independent audit was to provide reasonable assurance that the financial
statements of the Town for the fiscal year ended June 30, 2019, are free of material misstatement. The
independent audit involved examining, on a test basis, evidence supporting the amounts and disclosures in the
financial statements; assessing the accounting principles used and significant estimates made by management;
and evaluating the overall financial statement presentation. The independent auditor concluded, based upon the
audit, that there was a reasonable basis for rendering an unmodified opinion that the Town of Cohasset’s financial
statements for the fiscal year ended June 30, 2019 are fairly presented in conformity with GAAP. The
independent auditors report is presented as the first component of the financial section of this report.
GAAP require that management provide a narrative introduction, overview, and analysis to accompany the basic
financial statements in the form of Management’s Discussion and Analysis (MD&A). This letter of transmittal is
designed to complement MD&A and should be read in conjunction with it. The Town’s MD&A can be found
immediately following the report of the independent auditors.
Profile of the Town
The Town of Cohasset was incorporated in 1770, some 150 years after its first recorded mention in the logs of
English explorer Captain John Smith, and its early development as part of the Town of Hingham.
Located in Norfolk County (as a non-geographically contiguous member community, along with the Town of
Brookline), Cohasset is a coastal community 20 miles south of Boston, and is bordered by Hull to the north,
Hingham to the west, Scituate to the south, and Massachusetts Bay to the east. Cohasset’s 9.89 square miles
were home to 7,542 residents according to the 2010 US Census, and 7,765 residents according to the 2019
census conducted by the Cohasset Town Clerk.
CHRISTOPHER G. SENIOR
TOWN MANAGER
EMAIL: csenior@cohassetma.org
OFFICE: 781-383-4105 x 109
FAX: 781-383-0228
OFFICE OF THE TOWN MANAGER
COHASSET TOWN HALL
41 HIGHLAND AVENUE
COHASSET, MA 02025
Town of Cohasset, Massachusetts 4 Comprehensive Annual Financial Report
While the Town remains home to an active fishing fleet, it is primarily a residential community. The main
highways include State routes 3A and 228, with connecting access to Route 3, the primary north-south highway
on the South Shore. The Massachusetts Bay Transportation Authority (MBTA) provides easy access to Boston
through a commuter rail station in Cohasset, a subway station in Braintree, and commuter boat service in
Hingham. Logan International Airport, which can be reached via all three MBTA mass transit options, is
approximately 22 miles away by car.
The Town operates under an Open Town Meeting form of government, which is vested with all legislative and
budgetary approval authority. A five-member Board of Selectmen is responsible for general policy
implementation, and appoints a Town Manager who directs all day-to-day governmental operations, other than
schools, as Chief Administrative and Chief Financial Officer. A five-member School Committee oversees a K-12
school system, and appoints a full-time Superintendent. Elected Water and Sewer boards oversee the water and
sewer enterprise funds, respectively.
General governmental services provided within the Town’s boundaries include police and fire protection,
collection and treatment of sewage, water distribution, public works (including roads, cemeteries, and tree and
park maintenance), harbor management, recreation, health, veteran’s services, aging support services, and a
public library. The water and sewer enterprise funds are self-supporting. The Town also maintains a solid waste
recycling and transfer station.
Local Economy
Cohasset’s unemployment rate of 2.7% in June, 2019 was 12% lower than the statewide average (according to
data from the Mass. Department of Labor and Workforce Development), a figure influenced by a highly-educated
workforce (73.3% of residents have a Bachelor’s degree or higher according to US Census Data), and proximity
to high tech, higher education, health care and financial sector employers in metropolitan Boston. The Town’s per
capita income of $115,169 is more than two-and-a-half times the statewide average, according to the Mass.
Department of Revenue.
While many of the Town’s residents work in other communities, Cohasset is home to a diverse mix of local
businesses, including the South Shore Music Circus, the South Shore Arts Center, branch offices of five regional
banks, an active fishing fleet, the Sunrise assisted living facility, and the Work Station, a co-working location. The
Cohasset Village district, which includes a mix of small businesses including restaurants, shops and realtors,
continues to thrive, with a new general store and three new retailers opening during the past year. Thirteen new
housing units and three business condominiums were recently completed, further enhancing the vibrancy of the
Village district.
The community’s natural beauty and abundant opportunities for outdoor activities, including a picturesque harbor,
two beaches, the Whitney Woods Reservation, and Wompatuck State Park, have not only attracted active
residents drawn to hiking, running, biking, swimming and sailing, but also influence the local economy. Cohasset
now plays host to more than a dozen charitable and for-profit road race events, among them the Cohasset
Triathlon which attracts 1,200 racers and supporters to Town, the Road Race by the Sea, a pre-Boston Marathon
10K event run since 1975, and a Town-sponsored Thanksgiving Day 5K which draws some 750 annual racers. In
addition, the annual South Shore Arts Festival (sponsored by the South Shore Arts Center) brings thousands to
the Town Common over a long weekend every June.
The Town’s transit-oriented development complex adjacent to the Cohasset Commuter Rail Station continues to
thrive. Anchored by the above-mentioned Work Station, which provides office and meeting space as well as
support services to the burgeoning local population that work from home, the center also includes a juice bar, a
fitness center, a gourmet wine store, a restaurant, a clothing store, a tutoring center, and sixteen living units.
Town of Cohasset, Massachusetts 5 Comprehensive Annual Financial Report
Plans for a new mixed-use building with 20 qualifying affordable rental units and ground floor commercial space
on state route 3A are currently working through the approval process. Proposals for the redevelopment of
another prime site on the 3A corridor which once housed a nursing home are also under discussion.
Financial Planning and Management
Policy and Program Development
The Town retained its AAA rating from the Standard & Poor’s rating agency during the fiscal year, as the Town’s
financial management team, with strong support from volunteer boards and commissions, continued to update
and adopt a series of financial policies, improving day-to-day management practices, and increasing
transparency.
Cohasset was awarded the GFOA Budget Award for its FY20 budget document, the first such award for the
Town. This recognition underscores the community’s commitment to both sound financial practices and fiscal
transparency for all its residents. The budget book includes detailed departmental narratives, a comprehensive
executive summary, all the Town financial management policies, and a detailed glossary.
The Massachusetts Interlocal Insurance Association also recognized Cohasset as one of its signature municipal
partners in 2019. MIIA is an insurance consortium made up of hundreds of units of local government from across
Massachusetts, and Cohasset has been an active member (with representatives on both the Health Trust board
and the overall Advisory Board) and leader in such areas as employee wellness, training, and risk management
policy development.
Technology Planning and Implementation
Massachusetts awarded Cohasset a total of $130,000 in grants for three major projects: an upgraded student
information system; a technology master plan update; and a public information access portal, all through the 2019
Community Compact grant program.
The Planning, Permits and Inspections Department also continued its technology roll-out, with a complete
transition to e-filing of building permits, as well as the introduction of tablets for field inspectors. New modules for
the Health and Planning Departments will turn paper applications into e-filing opportunities in the coming year.
Planning and Infrastructure
The Cohasset Planning Board unanimously adopted the Town’s first-ever Comprehensive Master Plan in June of
2019. The Master Plan is a policy guide that provides a framework for the physical development of the
community, including how it looks today and in what direction it wants to go in the future. While the emphasis is
on buildings and infrastructure, it also includes important social, natural resource and economic values of the
community. The plan is a method of translating the community's values into specific actions over a period of 10 -
20 years.
Work continues on a Municipal Harbor Plan, which will identify similar goals and objectives as the Master Plan for
Cohasset’s historic and vibrant waterfront. An updated Open Space and Recreation Plan has won preliminary
approval from the State, with a focus on open space, conservation areas and recreational facilities.
Cohasset also took major strides to address the need for affordable housing, reactivating its Affordable Housing
Trust, as well as beginning work on a Housing Production Plan which will identify local housing needs, constraints
and opportunities.
Town of Cohasset, Massachusetts 6 Comprehensive Annual Financial Report
A formal ribbon-cutting of the new Cunningham Bridge took place in 2019, completing a more than $6 million
state-funded project with significant local participation in design. Cohasset also received a more than $250,000
Complete Streets grant to improve pedestrian and traffic safety around the historic Town Common, a timely
project with the community’s 250th anniversary coming in 2020.
Awards and Acknowledgments
The Government Finance Officers Association (GFOA) awarded a Certificate of Achievement for Excellence in
Financial Reporting to the Town of Cohasset for its CAFR for the fiscal year ended June 30, 2018. This was the
sixth time that the Town submitted a CAFR to the GFOA. The Town was awarded this Certificate in each year. In
order to receive this prestigious award, a government had to publish an easily readable and efficiently organized
CAFR that satisfied both generally accepted accounting principles and applicable legal requirements.
A Certificate of Achievement is valid for a period of one year only. We believe that our current CAFR continues to
meet the Certificate of Achievement Program’s requirements and we are submitting it to the GFOA to determine
its eligibility for another certificate.
The preparation of this report on a timely basis could not be accomplished without efficient and dedicated staff. I
would like to express my appreciation to all members of the Town’s staff who assisted and contributed to the
preparation of this report. I would particularly like to thank Director of Finance Don Piatt, Treasurer-Collector
Paula Linhares, and the staff at Powers & Sullivan, LLC. I would also like to thank the Board of Selectmen and
the Advisory Committee for their strong interest and support in planning and conducting the financial operations of
the Town.
Respectfully Submitted
Christopher Senior
Cohasset Town Manager
Town of Cohasset, Massachusetts 7 Comprehensive Annual Financial Report
GFOA Certificate of Achievement
Town of Cohasset, Massachusetts 8 Comprehensive Annual Financial Report
Organizational Chart
Town of Cohasset, Massachusetts 9 Comprehensive Annual Financial Report
Principal Town Officials
Elected Officials Term Expires
Board of Selectmen Kevin McCarthy, Chairman 2020
Paul Schubert, Vice Chairman 2021
Diane Kennedy, Clerk 2020
Jack Creighton, Selectman 2022
Keri Thompson, Selectman 2022
Moderator Daniel Evans 2020
Town Clerk Carol L. St. Pierre 2020
Board of Assessors Alyson A. Silvia 2020
Debra J. Krupczak 2021
Melissa Browne 2022
School Committee Ellen M. Maher 2021
Jennifer Madden 2020
Paul Kearney, Jr. 2021
Ashley Colleary 2022
Craig J. MacLellan 2022
Sewer Commission William B. McGowan, Jr. 2022
Wayne Sawchuk 2020
John Beck 2021
Water Commission Rolf N. Gjesteby 2020
Leonora C. Jenkins 2021
John W. Steinmetz 2022
Appointed Officials
Town Manager Christopher G. Senior 2023
Director of Finance/Town Accountant Donald Piatt
Treasurer/Collector Paula M. Linhares
Director of Assessing Mary Quill
Superintendent of Schools Louise L. Demas
School Business Manager Michael MacMillan
Police Chief William Quigley
Fire Chief Robert Silvia
Director of Public Works Brian Joyce
Town of Cohasset, Massachusetts 10 Comprehensive Annual Financial Report
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Financial Section
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Financial Section
Financial Section
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13
Independent Auditor’s Report
To the Honorable Board of Selectmen
Town of Cohasset, Massachusetts
Report on the Financial Statements
We have audited the accompanying financial statements of the governmental activities, the business-type
activities, each major fund, and the aggregate remaining fund information of the Town of Cohasset,
Massachusetts as of and for the year ended June 30, 2019, and the related notes to the financial statements,
which collectively comprise the Town of Cohasset’s basic financial statements as listed in the table of contents.
Management’s Responsibility for the Financial Statements
Management is responsible for the preparation and fair presentation of these financial statements in accordance
with accounting principles generally accepted in the United States of America; this includes the design,
implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial
statements that are free from material misstatement, whether due to fraud or error.
Auditor’s Responsibility
Our responsibility is to express opinions on these financial statements based on our audit. We conducted our
audit in accordance with auditing standards generally accepted in the United States of America and the standards
applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of
the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance
about whether the financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the
financial statements. The procedures selected depend on the auditor’s judgment, including the assessment of the
risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk
assessments, the auditor considers internal control relevant to the entity’s preparation and fair presentation of the
financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the
purpose of expressing an opinion on the effectiveness of the entity’s internal control. Accordingly, we express no
such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the
reasonableness of significant accounting estimates made by management, as well as evaluating the overall
presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit
opinions.
Opinions
In our opinion, the financial statements referred to above present fairly, in all material respects, the respective
financial position of the governmental activities, the business-type activities, each major fund, and the aggregate
remaining fund information of the Town of Cohasset, Massachusetts, as of June 30, 2019, and the respective
changes in financial position and, where applicable, cash flows thereof for the year then ended in accordance with
accounting principles generally accepted in the United States of America.
14
Other Matters
Required Supplementary Information
Accounting principles generally accepted in the United States of America require that the management’s
discussion and analysis and required supplementary information, as listed in the table of contents, be presented
to supplement the basic financial statements. Such information, although not a part of the basic financial
statements, is required by the Governmental Accounting Standards Board who considers it to be an essential part
of financial reporting for placing the basic financial statements in an appropriate operational, economic, or
historical context. We have applied certain limited procedures to the required supplementary information in
accordance with auditing standards generally accepted in the United States of America, which consisted of
inquiries of management about the methods of preparing the information and comparing the information for
consistency with management’s responses to our inquiries, the basic financial statements, and other knowledge
we obtained during our audit of the basic financial statements. We do not express an opinion or provide any
assurance on the information because the limited procedures do not provide us with sufficient evidence to
express an opinion or provide any assurance.
Other Information
Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise
the Town of Cohasset, Massachusetts’ basic financial statements. The introductory section, combining and
individual fund statements, and statistical section are presented for purposes of additional analysis and are not a
required part of the basic financial statements.
The combining and individual fund statements are the responsibility of management and were derived from and
relate directly to the underlying accounting and other records used to prepare the basic financial statements.
Such information has been subjected to the auditing procedures applied in the audit of the basic financial
statements and certain additional procedures, including comparing and reconciling such information directly to the
underlying accounting and other records used to prepare the basic financial statements or to the basic financial
statements themselves, and other additional procedures in accordance with auditing standards generally
accepted in the United States of America. In our opinion, the combining and individual fund statements are fairly
stated, in all material respects, in relation to the basic financial statements as a whole.
The introductory and statistical sections have not been subjected to the auditing procedures applied in the audit of
the basic financial statements, and accordingly, we do not express an opinion or provide any assurance on them.
Other Reporting Required by Government Auditing Standards
In accordance with Government Auditing Standards, we have also issued our report dated December 20, 2019,
on our consideration of the Town of Cohasset, Massachusetts’ internal control over financial reporting and on our
tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and other
matters. The purpose of that report is to describe the scope of our testing of internal control over financial
reporting and compliance and the results of that testing, and not to provide an opinion on the internal control over
financial reporting or on compliance. That report is an integral part of an audit performed in accordance with
Government Auditing Standards in considering the Town of Cohasset, Massachusetts’ internal control over
financial reporting and compliance.
December 20, 2019
Town of Cohasset, Massachusetts 15 Comprehensive Annual Financial Report
Management’s Discussion and Analysis
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Town of Cohasset, Massachusetts 17 Comprehensive Annual Financial Report
Management’s Discussion and Analysis
As management of the Town of Cohasset, Massachusetts (Town), we offer readers of these financial statements
this narrative overview and analysis of the financial activities of the Town for the year ended June 30, 2019. We
encourage readers to consider the information presented in this report in conjunction with additional information
that we have furnished in our letter of transmittal.
The Governmental Accounting Standards Board (GASB) is the authoritative standard setting body that provides
guidance on how to prepare financial statements in conformity with generally accepted accounting principles
(GAAP). Users of these financial statements (such as investors and rating agencies) rely on the GASB to
establish consistent reporting standards for all governments in the United States. This consistent application is
the only way users (including citizens, the media, legislators and others) can assess the financial condition of one
government compared to others.
Governments must adhere to GASB pronouncements in order to issue their financial statements in conformity
with GAAP. The users of financial statements also rely on the independent auditor’s opinion. If the Town’s
financial statements have significant departures from GAAP the independent auditors may issue a qualified
opinion or a disclaimer (where no opinion is given). These types of opinions may have an adverse effect on the
Town’s bond rating and our ability to borrow money at favorable interest rates. The Town has enjoyed an
unmodified opinion on its financial statements for many years.
Overview of the Financial Statements
This discussion and analysis is intended to serve as an introduction to the Town’s basic financial statements. The
Town’s basic financial statements comprise three components: 1) government-wide financial statements 2) fund
financial statements, and 3) notes to the financial statements. This report also contains other supplementary
information in addition to the basic financial statements.
Government-wide financial statements. The government-wide financial statements are designed to provide
readers with a broad overview of the Town’s finances, in a manner similar to private-sector businesses.
The statement of net position presents information on all of the Town’s assets, deferred outflows of resources,
liabilities and deferred inflows of resources, with the difference reported as net position. Over time, increases or
decreases in net position may serve as a useful indicator of whether the financial position of the Town is
improving or deteriorating.
The statement of activities presents information showing how the Town’s net position changed during the most
recent year. All changes in net position are reported as soon as the underlying event giving rise to the change
occurs, regardless of the timing or the related cash flows. Thus, revenues and expenses are reported in this
statement for some items that will only result in cash flows in future periods (e.g., uncollected taxes and earned
but unused vacation leave).
Both of the government-wide financial statements distinguish functions that are principally supported by taxes and
intergovernmental revenues (governmental activities) from other functions that are intended to recover all or a
significant portion of their costs through user fees and charges (business-type activities). The governmental
activities include administrative services, public safety, education, public works, health and welfare, culture and
recreation, community preservation, and interest. The business-type activities include the activities of the sewer
and water enterprise funds.
Town of Cohasset, Massachusetts 18 Comprehensive Annual Financial Report
Fund financial statements. A fund is a grouping of related accounts that is used to maintain control over
resources that have been segregated for specific activities or objectives. The Town, like other state and local
governments, uses fund accounting to ensure and demonstrate compliance with finance-related legal
requirements. All of the funds of the Town can be divided into three categories: governmental funds, proprietary
funds, and fiduciary funds.
Governmental funds. Governmental funds are used to account for essentially the same functions reported as
governmental activities in the government-wide financial statements. However, unlike the government-wide
financial statements, governmental fund statements focus on near-term inflows and outflows of spendable
resources, as well as on balances of spendable resources available at the end of the year. Such information may
be useful in evaluating a government’s near-term financing requirements.
Because the focus of governmental funds is narrower than that of government-wide financial statements, it is
useful to compare the information presented for governmental funds with similar information presented for
governmental activities in the government-wide financial statements. By doing so, readers may better understand
the long-term impact of the government’s near-term financing decisions. Both the governmental fund balance
sheet and the governmental fund statement of revenues, expenditures, and changes in fund balances provide a
reconciliation to facilitate this comparison between governmental funds and governmental activities.
The Town adopts an annual appropriated budget for its general fund. A budgetary comparison schedule has
been provided for the general fund to demonstrate compliance with this budget.
Proprietary funds. The Town maintains one type of proprietary fund.
Enterprise funds are used to report the same functions as business-type activities in the government-wide
financial statements. The Town uses enterprise funds to account for its sewer and water activities.
Proprietary funds provide the same type of information as the government-wide financial statements, only in more
detail. The proprietary fund financial statements provide separate information for sewer and water activities, all of
which are considered major funds of the Town.
Fiduciary funds. Fiduciary funds are used to account for resources held for the benefit of parties outside the
government. Fiduciary funds are not reflected in the government-wide financial statements because the
resources of those funds are not available to support the Town’s own programs. The accounting used for
fiduciary funds is much like that used for proprietary funds.
Notes to financial statements. The notes provide additional information that is essential to a full understanding
of the data provided in the government-wide and fund financial statements.
Government-wide Financial Analysis
Governmental Activities
As noted earlier, net position may serve over time as a useful indicator of a government’s financial position. For
governmental activities, assets and deferred outflows of resources exceeded liabilities and deferred inflows of
resources by $12.0 million at the close of year 2019.
Town of Cohasset, Massachusetts 19 Comprehensive Annual Financial Report
Governmental net position of $51.5 million reflects its investment in capital assets (e.g., land, buildings,
machinery, and equipment), less any related debt used to acquire those assets that are still outstanding. The
Town uses these capital assets to provide services to citizens; consequently, these assets are not available for
future spending. Although the investment in its capital assets is reported net of its related debt, it should be noted
that the resources needed to repay this debt must be provided from other sources, since the capital assets
themselves cannot be used to liquidate these liabilities.
An additional portion of the net position, $8.6 million represents resources that are subject to external restrictions
on how they may be used. The remaining balance of unrestricted net position has a year-end deficit balance of
$48.2 million. This deficit balance is primarily due to the recognition of a $23.3 million net pension liability, and a
$56.2 million net OPEB liability.
The governmental net position decreased by $1.7 million during the current year due to several offsetting factors.
Net position increased due to a $347,000 increase in the governmental funds, as well as due to the receipt of
$465,000 of capital grant revenue. This was offset by a $3.2 million increase in the net OPEB liability and related
deferred inflows/outflows of resources. The increase in the net OPEB liability and related deferred
inflows/outflows was the result of changes in assumptions included in the most recent actuarial valuation.
The governmental expenses totaled $59.1 million of which $14.8 million (25%) was directly supported by program
revenues. General revenues totaled $42.6 million, primarily coming from property taxes, motor vehicle excise and
non-restricted state aid.
Condensed financial data for years 2019 and 2018 is presented below.
2019 2018
Assets:
Current assets…………………………………………$ 24,972,330 $ 24,610,385
Noncurrent assets (excluding capital)……………… 1,371,262 2,229,800
Capital assets, nondepreciable……………………… 7,847,974 8,945,655
Capital assets, net of accumulated depreciation…… 54,988,209 54,109,089
Total assets………………………………………… 89,179,775 89,894,929
Deferred outflows of resources……………………… 16,242,066 4,092,419
Liabilities:
Current liabilities (excluding debt)…………………… 1,196,377 1,289,499
Noncurrent liabilities (excluding debt)……………… 79,567,285 62,180,602
Current debt…………………………………………… 3,952,188 4,160,239
Noncurrent debt………………………………………… 7,839,318 10,562,106
Total liabilities…………………………………… 92,555,168 78,192,446
Deferred inflows of resources………………………… 903,730 2,098,655
Net position:
Net investment in capital assets…………………… 51,546,419 49,209,259
Restricted……………………………………………… 8,638,617 7,938,855
Unrestricted…………………………………………… (48,222,093) (43,451,867)
Total net position…………………………………$11,962,943 $13,696,247
Town of Cohasset, Massachusetts 20 Comprehensive Annual Financial Report
2019 2018
Program Revenues:
Charges for services…………………………………………$ 3,549,823 $ 3,410,058
Operating grants and contributions……………………… 10,775,829 10,140,592
Capital grants and contributions…………………………… 464,453 442,734
General Revenues:
Real estate and personal property taxes,
net of tax refunds payable……………………………… 38,591,651 37,184,773
Motor vehicle and other excise taxes…………………… 1,975,254 1,872,697
Community preservation tax……………………………… 516,781 498,257
Penalties and interest on taxes…………………………… 164,731 136,889
Grants and contributions not restricted to
specific programs……………………………………… 549,025 513,968
Unrestricted investment income…………………………… 816,026 165,440
Total revenues………………………………………… 57,403,573 54,365,408
Expenses:
Administrative services……………………………………… 5,242,598 4,434,854
Public safety………………………………………………… 9,608,463 8,527,016
Education…………………………………………………… 35,137,381 32,995,136
Public works………………………………………………… 5,263,972 4,511,473
Health and welfare…………………………………………… 947,288 811,904
Culture and recreation……………………………………… 2,321,582 2,252,810
Community preservation…………………………………… 243,389 255,886
Interest……………………………………………………… 372,204 505,479
Total expenses………………………………………… 59,136,877 54,294,558
Change in net position……………………………………… (1,733,304) 70,850
Net position, be ginning of year…………………………… 13,696,247 13,625,397
Net position, end of year……………………………………$11,962,943 $13,696,247
Business-type Activities
The Town’s business-type activities include water and sewer services. They are self-supporting and each fund
maintained their financial condition in year 2019.
Business-type water net position of $13.2 million (83%) represents the net investment in capital assets, while $2.6
million (17%) is unrestricted. Net position increased by $1.4 million which is primarily due to principal payments
on long-term debt exceeding depreciation by $850,000, and better than anticipated user charges collections
Business-type sewer net position of $17.2 million (63%) represents the net investment in capital assets, while
$10.0 million (37%) is unrestricted. Net position decreased by $635,000 which was primarily due to depreciation
expense recognized on capital assets.
At the end of the current year all business-type activities were able to report positive balances in all categories of
net position. The same situation held true for the prior year.
Town of Cohasset, Massachusetts 21 Comprehensive Annual Financial Report
Condensed financial data for years 2019 and 2018 is presented below.
2019 2018
Assets:
Current assets………………………………………………$7,547,326 $ 7,772,076
Noncurrent assets (excluding capital)…………………… 5,575,509 6,219,818
Capital assets, nondepreciable…………………………… 1,394,803 1,582,860
Capital assets, net of accumulated depreciation………… 59,149,436 60,141,491
Total assets……………………………………………… 73,667,074 75,716,245
Deferred outflows of resources…………………………… 473,043 516,802
Liabilities:
Current liabilities (excluding debt)………………………… 385,535 513,637
Noncurrent liabilities (excluding debt)…………………… 183,077 145,640
Current debt………………………………………………… 2,859,220 2,810,199
Noncurrent debt……………………………………………… 27,709,529 30,568,749
Total liabilities………………………………………… 31,137,361 34,038,225
Deferred inflows of resources……………………………… 2,601 6,649
Net position:
Net investment in capital assets………………………… 30,410,288 28,848,754
Unrestricted………………………………………………… 12,589,867 13,339,419
Total net position………………………………………$43,000,155 $42,188,173
Program Revenues:
Charges for services…………………………………………$ 6,877,667 $ 7,131,701
General Revenues:
Unrestricted investment income…………………………… 179,066 (18,727)
Total revenues………………………………………… 7,056,733 7,112,974
Expenses:
Water………………………………………………………… 3,616,818 3,559,738
Sewer………………………………………………………… 2,627,933 2,234,247
Total expenses………………………………………… 6,244,751 5,793,985
Change in net position……………………………………… 811,982 1,318,989
Net position, beginning of year…………………………… 42,188,173 40,869,184
Net position, end of year……………………………………$43,000,155 $42,188,173
Financial Analysis of the Government’s Funds
As noted earlier, the Town uses fund accounting to ensure and demonstrate compliance with finance-related legal
requirements.
Governmental funds. The focus of governmental funds is to provide information on near-term inflows, outflows
and balances of spendable resources. Such information is useful in assessing financing requirements. In
Town of Cohasset, Massachusetts 22 Comprehensive Annual Financial Report
particular, unassigned fund balance may serve as a useful measure of a government’s net resources available for
spending at the end of the year.
The General Fund is the chief operating fund. At the end of the current year, unassigned fund balance of the
General Fund was $8.1 million, assigned fund balance was $202,000, committed fund balance was $558,000 and
total fund balance was $8.9 million. Unassigned fund balance represents 16.1% of total general fund
expenditures, while total fund balance represents 17.6% of that same amount. The General Fund’s fund balance
increased by $438,000 primarily due to positive budgetary results.
Massachusetts General Law Ch.40 §5B allows for the establishment of Stabilization funds for one or more
different purposes. The creation of a fund requires a two-thirds vote of the legislative body and must clearly
define the purpose of the fund. Any changes to the purpose of the fund along with any additions to or
appropriations from the fund required a two-thirds vote of the legislative body. At year end the balance of the
General Stabilization fund is $4.0 million, the Facilities Stabilization fund is $2,700, the Special Education
Stabilization fund is $327,000, and the Capital Stabilization fund is $1.2 million. All stabilization balances have
been reported as unassigned fund balance within the General Fund.
General Fund Budgetary Highlights
The Town has adopted a budget for the General Fund. Actual revenues exceeded budget amounts by $1.1
million. Unexpended appropriations totaled $1.4 million of which $219,000 was carried forward to year 2020.
During 2019, $1.4 million of supplemental appropriations were approved primarily for transfers to stabilization,
capital project funds, and a land purchase.
Capital Asset and Debt Administration
In conjunction with the operating budget, the Town annually prepares a capital budget for the upcoming year.
Governmental capital assets, net of accumulated depreciation, at year end amounted to $62.8 million which
represented a net decrease of $219,000 from the prior year. Major additions include roadway improvements, the
completion of the Bound Brook culvert replacement project, and the purchase of a new fire truck. Depreciation
expense for 2019 totaled $3.0 million.
Enterprise capital assets, net of accumulated depreciation, were valued at $60.5 million at year end. Major
additions during the year primarily included various water system upgrades. Depreciation of $1.8 million was
recorded in 2019.
Outstanding long-term debt of governmental activities, as of June 30, 2019, totaled $10.5 million, a decrease of
$3.1 million over the prior year which was entirely due to budgeted principal payments.
The Water Enterprise fund had $20.7 million of long-term debt outstanding at year-end, a decrease of $2.0 million
from the prior year due to anticipated principal payments.
The Sewer Enterprise fund had $9.8 million of long-term debt outstanding at year-end, a decrease of $760,000
from the prior year which was due to anticipated principal payments.
Please refer to footnotes 4, 7, and 8 for further discussion of the major capital asset and debt activity.
Town of Cohasset, Massachusetts 23 Comprehensive Annual Financial Report
Requests for Information
This financial report is designed to provide a general overview of the Town of Cohasset’s finances for all those
with an interest in the government’s finances. Questions concerning any of the information provided in this report
or requests for additional financial information should be addressed to the Office of the Finance Director, Town
Hall, 41 Highland Avenue, Cohasset, Massachusetts 02025.
Town of Cohasset, Massachusetts 24 Comprehensive Annual Financial Report
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Town of Cohasset, Massachusetts 25 Comprehensive Annual Financial Report
Basic Financial Statements
Town of Cohasset, Massachusetts 26 Comprehensive Annual Financial Report
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Governmental Business-type
Activities Activities Total
ASSETS
CURRENT:
Cash and cash equivalents…………………………………………$ 13,684,942 $ 3,366,137 $ 17,051,079
Investments………………………………………………………… 8,512,092 1,887,179 10,399,271
Receivables, net of allowance for uncollectibles:
Real estate and personal property taxes……………………… 453,451 - 453,451
Tax liens……………………………………...…………………… 942,661 - 942,661
Motor vehicle and other excise taxes………………………… 98,065 - 98,065
User charges……………………………………………………… - 1,687,791 1,687,791
Departmental and other………………………………………… 208,217 - 208,217
Intergovernmental….…………………………………………… 871,696 - 871,696
Special assessments…………………………………………… 201,206 606,219 807,425
Total current assets………………………………………… 24,972,330 7,547,326 32,519,656
NONCURRENT:
Receivables, net of allowance for uncollectibles:
Intergovernmental……………………………………………… 430,433 - 430,433
Special assessments…………………………………………… 940,829 5,575,509 6,516,338
Capital assets, nondepreciable…………………………………… 7,847,974 1,394,803 9,242,777
Capital assets, net of accumulated depreciation………………… 54,988,209 59,149,436 114,137,645
Total noncurrent assets……………………………………… 64,207,445 66,119,748 130,327,193
TOTAL ASSETS………………………………………………………… 89,179,775 73,667,074 162,846,849
DEFERRED OUTFLOWS OF RESOURCES
Deferred outflows for refunding debt……………………………… 172,015 434,798 606,813
Deferred outflows related to pensions…………………………… 5,428,371 19,036 5,447,407
Deferred outflows related to OPEB……………………………… 10,641,680 19,209 10,660,889
TOTAL DEFERRED OUTFLOWS OF RESOURCES……………… 16,242,066 473,043 16,715,109
LIABILITIES
CURRENT:
Warrants payable…………………………………………………… 812,727 149,801 962,528
Accrued payroll……………………………………………………… 273,425 691 274,116
Accrued interest……………………………………………………… 83,725 235,043 318,768
Capital lease obligations…………………………………………… 37,740 - 37,740
Landfill closure……………………………………………………… 26,500 - 26,500
Notes payable……………………………………………………… 1,229,400 - 1,229,400
Bonds payable……………………………………………………… 2,685,048 2,859,220 5,544,268
Total current liabilities……………………………………… 5,148,565 3,244,755 8,393,320
NONCURRENT:
Capital lease obligations…………………………………………… 39,232 - 39,232
Landfill closure……………………………………………………… 106,726 - 106,726
Net pension liability………………………………………………… 23,297,475 81,700 23,379,175
Net OPEB liability…………………………………………………… 56,163,084 101,377 56,264,461
Bonds payable……………………………………………………… 7,800,086 27,709,529 35,509,615
Total noncurrent liabilities…………………………………… 87,406,603 27,892,606 115,299,209
TOTAL LIABILITIES…………………………………………………… 92,555,168 31,137,361 123,692,529
DEFERRED INFLOWS OF RESOURCES
Taxes paid in advance……………………………………………… 17,225 - 17,225
Deferred inflows related to pensions……………………………… 588,306 2,063 590,369
Deferred inflows related to OPEB………………………………… 298,199 538 298,737
TOTAL DEFERRED INFLOWS OF RESOURCES………………… 903,730 2,601 906,331
NET POSITION
Net investment in capital assets………………………………..…… 51,546,419 30,410,288 81,956,707
Restricted for:
Debt service………………………………………………………… 304,470 - 304,470
Permanent funds:
Expendable……….……………………………………………… 2,249,994 - 2,249,994
Nonexpendable………………………………………………… 442,525 - 442,525
Gifts and grants……………………………………………………… 2,130,599 - 2,130,599
Community preservation…………………………………………… 3,511,029 - 3,511,029
Unrestricted……………………………………………………………… (48,222,093) 12,589,867 (35,632,226)
TOTAL NET POSITION…………………………………………………$ 11,962,943 $ 43,000,155 $ 54,963,098
See notes to basic financial statements.
Primary Government
STATEMENT OF NET POSITION
JUNE 30, 2019
Town of Cohasset, Massachusetts 27 Comprehensive Annual Financial Report
Operating Capital
Charges for Grants and Grants and Net (Expense)
Functions/Programs Expenses Services Contributions Contributions Revenue
Primary Government:
Governmental Activities:
Administrative services……………………… $ 5,242,598 $ 473,419 $ 515,430 $ - $ (4,253,749)
Public safety…………………………………… 9,608,463 1,105,008 291,450 101,412 (8,110,593)
Education……………………………………… 35,137,381 1,348,914 8,863,713 - (24,924,754)
Public works…………………………………… 5,263,972 293,889 143,371 219,761 (4,606,951)
Health and welfare…………………………… 947,288 50,609 221,931 - (674,748)
Culture and recreation………………………… 2,321,582 277,984 620,533 - (1,423,065)
Community preservation……………………… 243,389 - - 143,280 (100,109)
Interest………………………………………… 372,204 - 119,401 - (252,803)
Total Governmental Activities……………… 59,136,877 3,549,823 10,775,829 464,453 (44,346,772)
Business-Type Activities:
Water…………………………………………… 3,616,818 5,045,770 - - 1,428,952
Sewer…………………………………………… 2,627,933 1,831,897 - - (796,036)
Total Business-Type Activities…………… 6,244,751 6,877,667 - - 632,916
Total Primary Government…………………$ 65,381,628 $ 10,427,490 $ 10,775,829 $ 464,453 $(43,713,856)
See notes to basic financial statements.(Continued)
STATEMENT OF ACTIVITIES
YEAR ENDED JUNE 30, 2019
Program Revenues
Town of Cohasset, Massachusetts 28 Comprehensive Annual Financial Report
Governmental Business-Type
Activities Activities Total
Changes in net position:
Net (expense) revenue from previous page………… $(44,346,772) $632,916 $(43,713,856)
General revenues:
Real estate and personal property taxes,
net of tax refunds payable………………………… 38,591,651 - 38,591,651
Motor vehicle and other excise taxes……………… 1,975,254 - 1,975,254
Community preservation tax………………………… 516,781 - 516,781
Penalties and interest on taxes…………………… 164,731 - 164,731
Grants and contributions not restricted to
specific programs…………………………………… 549,025 - 549,025
Unrestricted investment income…........................ 816,026 179,066 995,092
Total general revenues ….......................................... 42,613,468 179,066 42,792,534
Change in net position…………………………… (1,733,304) 811,982 (921,322)
Net position:
Beginning of year…........................................……… 13,696,247 42,188,173 55,884,420
End of year…………………………………………… $ 11,962,943 $ 43,000,155 $ 54,963,098
See notes to basic financial statements. (Concluded)
Primary Government
STATEMENT OF ACTIVITIES
YEAR ENDED JUNE 30, 2019
Town of Cohasset, Massachusetts 29 Comprehensive Annual Financial Report
Nonmajor Total
Governmental Governmental
General Funds Funds
ASSETS
Cash and cash equivalents……………………………………$ 4,317,899 $ 9,367,043 $ 13,684,942
Investments…………………………………………………… 5,347,302 3,164,790 8,512,092
Receivables, net of uncollectibles:
Real estate and personal property taxes……………… 453,451 - 453,451
Tax liens……………………………………...…………… 932,392 10,269 942,661
Motor vehicle and other excise taxes…………………… 98,065 - 98,065
Departmental and other…………………………………… 202,999 5,218 208,217
Intergovernmental………………………………………… 948,553 353,576 1,302,129
Special assessments……………………………………… 386,826 755,209 1,142,035
TOTAL ASSETS………………………………………………$ 12,687,487 $ 13,656,105 $ 26,343,592
LIABILITIES
Warrants payable………………………………………… $ 717,072 $ 95,655 $ 812,727
Accrued payroll…………………………………………… 238,428 34,997 273,425
Notes payable……………………………………………… - 1,229,400 1,229,400
TOTAL LIABILITIES…………………………………………… 955,500 1,360,052 2,315,552
DEFERRED INFLOWS OF RESOURCES
Taxes paid in advance…………………………………… 17,225 - 17,225
Unavailable revenue……………………………………… 2,818,021 1,121,453 3,939,474
TOTAL DEFERRED INFLOWS OF RESOURCES……… 2,835,246 1,121,453 3,956,699
FUND BALANCES
Nonspendable……………………………………………… - 442,525 442,525
Restricted…………………………………………………… - 11,481,748 11,481,748
Committed………………………………………………… 557,948 - 557,948
Assigned…………………………………………………… 201,701 - 201,701
Unassigned………………………………………………… 8,137,092 (749,673) 7,387,419
TOTAL FUND BALANCES…………………………………… 8,896,741 11,174,600 20,071,341
TOTAL LIABILITIES, DEFERRED INFLOWS OF
RESOURCES, AND FUND BALANCES…………………$ 12,687,487 $ 13,656,105 $ 26,343,592
See notes to basic financial statements.
GOVERNMENTAL FUNDS
BALANCE SHEET
JUNE 30, 2019
Town of Cohasset, Massachusetts 30 Comprehensive Annual Financial Report
Total governmental fund balances………………………………………………………………… $ 20,071,341
Capital assets (net) used in governmental activities are not financial resources
and, therefore, are not reported in the funds………………………………………………… 62,836,183
Accounts receivable are not available to pay for current-period
expenditures and, therefore, are unavailable in the funds………………………………… 3,939,474
The statement of net position includes certain deferred inflows of resources
and deferred outflows of resources that will be amortized over future periods.
In governmental funds, these amounts are not deferred…………………………………… 15,355,561
In the statement of activities, interest is accrued on outstanding long-term debt,
whereas in governmental funds interest is not reported until due………………………… (83,725)
Long-term liabilities are not due and payable in the current period and, therefore,
are not reported in the governmental funds:
Bonds payable……………………………………………………………………………… (10,485,134)
Net pension liability………………………………………………………………………… (23,297,475)
Net OPEB liability…………………………………………………………………………… (56,163,084)
Landfill closure……………………………………………………………………………… (133,226)
Capital lease obligations…………………………………………………………………… (76,972)
Net effect of reporting long-term liabilities…………………………………………… (90,155,891)
Net position of governmental activities…………………………………………………………… $ 11,962,943
See notes to basic financial statements.
RECONCILIATION OF THE GOVERNMENTAL FUNDS BALANCE SHEET
TOTAL FUND BALANCES TO THE STATEMENT OF NET POSITION
JUNE 30, 2019
Town of Cohasset, Massachusetts 31 Comprehensive Annual Financial Report
Nonmajor Total
Governmental Governmental
General Funds Funds
REVENUES:
Real estate and personal property taxes,
net of tax refunds……………………………………………$ 38,728,934 $ - $ 38,728,934
Motor vehicle and other excise taxes………………………… 1,955,662 - 1,955,662
Charges for services…………………………………………… - 2,178,394 2,178,394
Penalties and interest on taxes……………………………… 169,605 2,073 171,678
Fees and rentals………………………………………………… 858,948 - 858,948
Licenses and permits…………………………………………… 715,459 - 715,459
Fines and forfeitures…………………………………………… 21,102 - 21,102
Intergovernmental - Teachers Retirement…………………… 4,594,495 - 4,594,495
Intergovernmental……………………………………………… 4,179,108 2,442,394 6,621,502
Departmental and other………………………………………… 199,972 145,801 345,773
Community preservation taxes………………………………… - 513,604 513,604
Special assessments…………………………………………… 357,264 116,447 473,711
Contributions and donations…………………………………… - 295,705 295,705
Investment income……………………………………………… 597,490 267,168 864,658
TOTAL REVENUES…………………………………… 52,378,039 5,961,586 58,339,625
EXPENDITURES:
Current:
Administrative services……………………………………… 3,315,611 930,426 4,246,037
Public safety………………………………………………… 5,509,132 1,021,904 6,531,036
Education…………………………………………………… 19,656,866 2,962,488 22,619,354
Public works………………………………………………… 3,255,194 1,178,303 4,433,497
Health and welfare………………………………………… 540,670 108,146 648,816
Culture and recreation……………………………………… 751,558 939,888 1,691,446
Community preservation…………………………………… - 243,389 243,389
Pension benefits…………………………………………… 2,506,749 - 2,506,749
Pension benefits - Teachers Retirement………………… 4,594,495 - 4,594,495
Employee benefits…………………………………………… 6,548,658 - 6,548,658
State and county charges……………………………………… 527,772 - 527,772
Debt service:
Principal……………………………………………………… 2,991,290 - 2,991,290
Interest……………………………………………………… 409,646 - 409,646
TOTAL EXPENDITURES……………………………… 50,607,641 7,384,544 57,992,185
EXCESS (DEFICIENCY) OF REVENUES
OVER (UNDER) EXPENDITURES…………………………… 1,770,398 (1,422,958) 347,440
OTHER FINANCING SOURCES (USES):
Transfers in……………………………………………………… 216,845 1,789,050 2,005,895
Transfers out…………………………………………………… (1,548,935) (456,960) (2,005,895)
TOTAL OTHER FINANCING SOURCES (USES)…… (1,332,090) 1,332,090 -
NET CHANGE IN FUND BALANCES…………………………… 438,308 (90,868) 347,440
FUND BALANCES AT BEGINNING OF YEAR………………… 8,458,433 11,265,468 19,723,901
FUND BALANCES AT END OF YEAR………………………… $ 8,896,741 $ 11,174,600 $ 20,071,341
See notes to basic financial statements.
GOVERNMENTAL FUNDS
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES
YEAR ENDED JUNE 30, 2019
Town of Cohasset, Massachusetts 32 Comprehensive Annual Financial Report
Net change in fund balances - total governmental funds………………………………………………………… $ 347,440
Governmental funds report capital outlays as expenditures. However, in the
Statement of Activities the cost of those assets is allocated over their
estimated useful lives and reported as depreciation expense.
Capital outlay……………………………………………………………………………………………… 2,786,708
Depreciation expense……………………………………………………………………………………… (3,005,269)
Net effect of reporting capital assets……………………………………………………………… (218,561)
Revenues in the Statement of Activities that do not provide current financial
resources are unavailable in the Statement of Revenues, Expenditures and
Changes in Fund Balances. Therefore, the recognition of revenue for various
types of accounts receivable differ between the two statements. This amount
represents the net change in unavailable revenue………………………………………………………… (957,576)
The issuance of long-term debt provides current financial resources to governmental
funds, while the repayment of the principal of long-term debt consumes the
financial resources of governmental funds. Neither transaction has any effect
on net position. Also, governmental funds report the effect of premiums,
discounts, and similar items when debt is first issued, whereas these amounts
are unavailable and amortized in the Statement of Activities.
Principal payments on capital leases…………………………………………………………………… 36,306
Net amortization of premium from issuance of bonds………………………………………………… 85,242
Net change in deferred charge on refunding…………………………………………………………… (83,214)
Debt service principal payments………………………………………………………………………… 2,991,290
Net effect of reporting long-term debt…………………………………………………………… 3,029,624
Some expenses reported in the Statement of Activities do not require the use of
current financial resources and, therefore, are not reported as expenditures
in the governmental funds.
Net change in accrued interest on long-term debt……………………………………………………… 35,418
Net change in deferred outflow/(inflow) of resources related to pensions…………………………… 2,716,652
Net change in net pension liability………………………………………………………………………… (3,528,323)
Net change in deferred outflow/(inflow) of resources related to OPEB……………………………… 10,700,382
Net change in net OPEB liability………………………………………………………………………… (13,884,860)
Net change in landfill closure…………………………………………………………………….……… 26,500
Net effect of recording long-term liabilities……………………………………………………… (3,934,231)
Change in net position of governmental activities………………………………………………………………… $ (1,733,304)
See notes to basic financial statements.
RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES,
AND CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS
TO THE STATEMENT OF ACTIVITIES
YEAR ENDED JUNE 30, 2019
Town of Cohasset, Massachusetts 33 Comprehensive Annual Financial Report
Business-type Activities - Enterprise Funds
Water Sewer Total
ASSETS
CURRENT:
Cash and cash equivalents………………………………………………$ 1,688,311 $ 1,677,826 $ 3,366,137
Investments………………………………………………………………… 5,635 1,881,544 1,887,179
Receivables, net of allowance for uncollectibles:
User charges…………………………………………………………… 1,187,237 500,554 1,687,791
Special assessments………………………………………………… - 606,219 606,219
Total current assets………………………………………………… 2,881,183 4,666,143 7,547,326
NONCURRENT:
Receivables, net of allowance for uncollectibles:
Special assessments………………………………………………… - 5,575,509 5,575,509
Capital assets, nondepreciable…………………………………………… 1,393,794 1,009 1,394,803
Capital assets, net of accumulated depreciation……………………… 32,121,621 27,027,815 59,149,436
Total noncurrent assets…………………………………………… 33,515,415 32,604,333 66,119,748
TOTAL ASSETS……………………………………………………………… 36,396,598 37,270,476 73,667,074
DEFERRED OUTFLOWS OF RESOURCES
Deferred loss on refunding……………………………………………… 434,798 - 434,798
Deferred outflows related to pensions…………………………………… - 19,036 19,036
Deferred outflows related to OPEB……………………………………… - 19,209 19,209
TOTAL DEFERRED OUTFLOWS OF RESOURCES…………………… 434,798 38,245 473,043
LIABILITIES
CURRENT:
Warrants payable………………………………………………………… 117,423 32,378 149,801
Accrued payroll…………………………………………………………… - 691 691
Accrued interest…………………………………………………………… 147,428 87,615 235,043
Bonds payable……………………………………………………………… 2,084,387 774,833 2,859,220
Total current liabilities……………………………………………… 2,349,238 895,517 3,244,755
NONCURRENT:
Net pension liability………………………………………………………… - 81,700 81,700
Net OPEB liability…………………………………………………..……… - 101,377 101,377
Bonds payable……………………………………………………………… 18,663,996 9,045,533 27,709,529
Total noncurrent liabilities………………………………………… 18,663,996 9,228,610 27,892,606
TOTAL LIABILITIES…………………………………………………………… 21,013,234 10,124,127 31,137,361
DEFERRED INFLOWS OF RESOURCES
Deferred inflows related to pensions…………………………………… - 2,063 2,063
Deferred inflows related to OPEB…………………….………………… - 538 538
TOTAL DEFERRED INFLOWS OF RESOURCES……………………… - 2,601 2,601
NET POSITION
Net investment in capital assets………………………………..…………… 13,201,830 17,208,458 30,410,288
Unrestricted…………………………………………………………………… 2,616,332 9,973,535 12,589,867
TOTAL NET POSITION………………………………………………………$ 15,818,162 $ 27,181,993 $ 43,000,155
See notes to basic financial statements.
PROPRIETARY FUNDS
STATEMENT OF NET POSITION
JUNE 30, 2019
Town of Cohasset, Massachusetts 34 Comprehensive Annual Financial Report
Business-type Activities - Enterprise Funds
Water Sewer Total
OPERATING REVENUES:
Charges for services………………………………………………… $ 5,045,770 $ 1,831,897 $ 6,877,667
OPERATING EXPENSES:
Cost of services and administration………………………………… 2,000,592 1,614,722 3,615,314
Depreciation…………………………………………………………… 1,059,769 783,783 1,843,552
TOTAL OPERATING EXPENSES……………………………… 3,060,361 2,398,505 5,458,866
OPERATING INCOME (LOSS)………………………………… 1,985,409 (566,608) 1,418,801
NONOPERATING REVENUES (EXPENSES):
Investment income…………………………………………………… 17,641 161,425 179,066
Interest expense……………………………………………………… (556,457) (229,428) (785,885)
TOTAL NONOPERATING
REVENUES (EXPENSES), NET……………………………… (538,816) (68,003) (606,819)
CHANGE IN NET POSITION…………………………………… 1,446,593 (634,611) 811,982
NET POSITION AT BEGINNING OF YEAR….................................… 14,371,569 27,816,604 42,188,173
NET POSITION AT END OF YEAR…………………………………… $ 15,818,162 $ 27,181,993 $ 43,000,155
See notes to basic financial statements.
PROPRIETARY FUNDS
STATEMENT OF REVENUES, EXPENSES AND CHANGES IN NET POSITION
YEAR ENDED JUNE 30, 2019
Town of Cohasset, Massachusetts 35 Comprehensive Annual Financial Report
Business-type Activities - Enterprise Funds
Water Sewer Total
CASH FLOWS FROM OPERATING ACTIVITIES:
Receipts from customers and users………………………………………………$ 5,180,173 $ 1,880,507 $ 7,060,680
Payments to vendors……………………………………………………………… (2,137,151) (1,538,197) (3,675,348)
Payments to employees…………………………………………………………… - (36,271) (36,271)
NET CASH FROM OPERATING ACTIVITIES……………………………………… 3,043,022 306,039 3,349,061
CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES:
Special assessments……………………………………………………………… - 655,037 655,037
Acquisition and construction of capital assets…………………………………… (663,440) - (663,440)
Principal payments on bonds and notes………………………………………… (1,909,335) (760,306) (2,669,641)
Interest expense…………………………………………………………………… (645,007) (236,085) (881,092)
NET CASH FROM CAPITAL AND RELATED FINANCING ACTIVITIES………… (3,217,782) (341,354) (3,559,136)
CASH FLOWS FROM INVESTING ACTIVITIES:
Sale (purchase) of investments…………………………………………………… (5,635) (184,801) (190,436)
Investment income………………………………………………………………… 17,641 161,425 179,066
NET CASH FROM INVESTING ACTIVITIES……………………………………… 12,006 (23,376) (11,370)
NET CHANGE IN CASH AND CASH EQUIVALENTS…………………………… (162,754) (58,691) (221,445)
CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR………………… 1,851,065 1,736,517 3,587,582
CASH AND CASH EQUIVALENTS AT END OF YEAR……………………………$ 1,688,311 $ 1,677,826 $ 3,366,137
RECONCILIATION OF OPERATING INCOME (LOSS) TO NET CASH
FROM OPERATING ACTIVITIES:
Operating income (loss)……………………………………………………………$ 1,985,409 $ (566,608) $ 1,418,801
Adjustments to reconcile operating income to net
cash from operating activities:
Depreciation……………………………………………………………………… 1,059,769 783,783 1,843,552
Deferred (outflows)/inflows related to pensions……………………………… - (9,526) (9,526)
Deferred (outflows)/inflows related to OPEB………………………………… - (19,316) (19,316)
Changes in assets and liabilities:
User charges………………………………………………………………… 134,403 48,610 183,013
Warrants payable…………………………………………………………… (136,559) 31,878 (104,681)
Accrued payroll……………………………………………………………… - (219) (219)
Net pension liability………………………………………………………… - 12,374 12,374
Net OPEB liability…………………………………………………………… - 25,063 25,063
Total adjustments………………………………………………………… 1,057,613 872,647 1,930,260
NET CASH FROM OPERATING ACTIVITIES………………………………………$ 3,043,022 $ 306,039 $ 3,349,061
See notes to basic financial statements.
PROPRIETARY FUNDS
STATEMENT OF CASH FLOWS
YEAR ENDED JUNE 30, 2019
Town of Cohasset, Massachusetts 36 Comprehensive Annual Financial Report
Other
Postemployment Private
Benefit Purpose Agency
Trust Fund Trust Funds Funds
ASSETS
Cash and cash equivalents…………………………………………$ 504,107 $ 18,331 $ 521,566
Investments:
Investments in Pension Reserve Investment Trust………… 1,519,962 - -
Mutual funds……………………………………………………… 1,304,538 - -
Equity securities………………………………………………… - 954,524 -
Receivables, net of allowance for uncollectibles:
Departmental and other………………………………………… - - 396,205
TOTAL ASSETS………………………………………………………… 3,328,607 972,855 917,771
LIABILITIES
Warrants payable…………………………………………………… - - 418,042
Liabilities due depositors…………………………………………… - - 358,076
Other liabilities……………………………………………………… - - 141,653
TOTAL LIABILITIES…………………………………………………… - - 917,771
NET POSITION
Restricted for OPEB benefits……………………………………… 3,328,607 - -
Held in trust for other purposes…………………………….……… - 972,855 -
TOTAL NET POSITION……………………………………………… $ 3,328,607 $ 972,855 $ -
See notes to basic financial statements.
FIDUCIARY FUNDS
STATEMENT OF FIDUCIARY NET POSITION
JUNE 30, 2019
Town of Cohasset, Massachusetts 37 Comprehensive Annual Financial Report
Other
Postemployment Private
Benefit Purpose
Trust Fund Trust Funds
ADDITIONS:
Contributions:
Employer contributions……………………………………………………… $ 500,000 $ -
Employer contributions for OPEB payments……………………………… 1,726,106 -
Private donations……………………………………………………………… - 300
Total contributions………………………………………………………… 2,226,106 300
Net investment income:
Interest………………………………………………………………………… 159,174 105,601
Less: investment expense…………………………………………………… (10,507) -
Net investment income…...............................………………………………… 148,667 105,601
TOTAL ADDITIONS……………………………………………………… 2,374,773 105,901
DEDUCTIONS:
OPEB benefit payments……………………………………………………… 1,726,106 -
Educational scholarships…………………………………………………… - 11,900
TOTAL DEDUCTIONS…………………………………………………… 1,726,106 11,900
NET INCREASE (DECREASE) IN NET POSITION…………………… 648,667 94,001
NET POSITION AT BEGINNING OF YEAR…………………………………… 2,679,940 878,854
NET POSITION AT END OF YEAR……………………………………………$ 3,328,607 $ 972,855
See notes to basic financial statements.
FIDUCIARY FUNDS
STATEMENT OF CHANGES IN FIDUCIARY NET POSITION
YEAR ENDED JUNE 30, 2019
Town of Cohasset, Massachusetts 38 Comprehensive Annual Financial Report
Notes to Basic Financial Statements Year Ended June 30, 2019
Town of Cohasset, Massachusetts 39 Comprehensive Annual Financial Report
NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Notes to Basic Financial Statements
The accompanying basic financial statements of the Town of Cohasset, Massachusetts (Town) have been
prepared in accordance with accounting principles generally accepted in the United States of America (GAAP).
The Governmental Accounting Standards Board (GASB) is the recognized standard-setting body for establishing
governmental accounting and financial reporting principles. The significant accounting policies are described
herein.
A. Reporting Entity
The Town of Cohasset, Massachusetts, was incorporated in 1770, and has an open Town Meeting form of
government with administrative authority vested in a five member Board of Selectmen and an appointed Town
Manager. The Town’s major operations include police and fire protection, parks, library, recreation, public works,
education, and general administrative services. In addition, the Town owns and operates a water system and
sewer system.
For financial reporting purposes, the Town has included all funds, organizations, agencies, boards, commissions
and institutions. The Town has also considered all potential component units for which it is financially
accountable as well as other organizations for which the nature and significance of their relationship with the
Town are such that exclusion would cause the basic financial statements to be misleading or incomplete. As
required by GAAP, these basic financial statements present the Town (the primary government) and its
component units. Pursuant to these criteria, the Town includes one entity, The Cohasset Library Trust, as a
blended component unit within the basic financial statements.
Blended Component Unit
Chapter 368, of the Acts of 2006, of the Massachusetts General Court granted the Cohasset Board of Library
Trustees the right to establish a nonprofit corporation to be called the Cohasset Library Trust, Inc. under chapter
180 of the General Laws. Chapter 368 requires the Town Treasurer to serve as ex officio Treasurer of the Trust.
The criteria used to determine the Trust being reported as a blended component unit within the permanent funds
include the following. The legislation granted the Trustees the power to appoint the board of directors and
remove any director with or without cause. The Town is financially accountable for the Trust as it has access to
the resources and a financial benefit exists. Upon establishment of the Trust, the legislation required the Town
Treasurer to turn over the Town Library Endowment funds. The Board of Library Trustees solicits donations to
increase the endowment and directs the donors to make the donations directly to the Trust. The Trust’s purpose
is to invest endowment funds and ultimately provide resources to support the capital and operating needs of the
Town Library as determined by the Trustees. This support can be in the form of a transfer to the Town or minor
expenses made directly from the Trust. The Trust is blended primarily due to the fact the directors of the Trust
provide services exclusively to the Town Treasurer to assist in management of the endowment fund of the Paul
Pratt Memorial Library, the public library of the Town. The legislation states that the Trust shall have no role in
the governance of the Library. The Trust does not issue publicly available financial statements.
Joint Venture
The Town is a member of the South Shore Vocational Technical High School that provides educational services
to eight area communities. This joint venture assesses each community its share of operating and debt service
costs based on student population and other factors. In 2019, Cohasset’s share of the operating and debt
expenses was $53,251. There is no equity interest reported in these financial statements. Complete audited
financial statements can be obtained directly from the School’s administrative office located at 476 Webster
Street, Hanover, MA 02339.
Notes to Basic Financial Statements Year Ended June 30, 2019
Town of Cohasset, Massachusetts 40 Comprehensive Annual Financial Report
The Town has also entered into a joint venture for the South Shore Regional Emergency Communications Center
(SSRECC) along with the Town of Hingham, Hull, and Norwell to pool resources and share costs, risks, and
rewards of operating a regional 911 call center. The Center became operational as of January 1, 2012, and the
Town’s 2019 assessment totaled $322,848. Since the assets of the SSRECC were acquired with State grants,
there is currently no significant equity interest accruing to the member communities. The annual assessments are
based on and equal to the operating costs of the Center. The SSRECC issues a publicly available financial report
that includes its financial statements. Copies of these financial statements may be obtained by writing to the
SSRECC’s Executive Director, 210 Central Street, Hingham, MA 02043.
B. Government-Wide and Fund Financial Statements
Government-Wide Financial Statements
The government-wide financial statements (i.e., statement of net position and the statement of changes in net
position) report information on all of the non-fiduciary activities of the primary government and its component
units.
Governmental activities, which are primarily supported by taxes and intergovernmental revenues, are reported
separately from business-type activities, which are supported primarily by user fees and charges.
Fund Financial Statements
Separate financial statements are provided for governmental funds, proprietary funds, and fiduciary funds, even
though fiduciary funds are excluded from the government-wide financial statements. Major individual
governmental funds and major individual enterprise funds are reported as separate columns in the fund financial
statements. Non-major funds are aggregated and displayed in a single column.
Major Fund Criteria
Major funds must be reported if the following criteria are met:
If total assets and deferred outflows of resources, liabilities and deferred inflows of resources,
revenues, or expenditures/expenses of an individual governmental or enterprise fund are at least
10 percent of the corresponding element (assets and deferred outflows of resources, liabilities
and deferred inflows or resources, etc.) for all funds of that category or type (total governmental
or total enterprise funds), and
If the total assets and deferred outflows of resources, liabilities and deferred inflows of resources,
revenues, or expenditures/expenses of the individual governmental fund or enterprise fund are at
least 5 percent of the corresponding element for all governmental and enterprise funds combined.
Additionally, any other governmental or enterprise fund that management believes is particularly
significant to the basic financial statements may be reported as a major fund.
Fiduciary funds are reported by fund type.
C. Measurement Focus, Basis of Accounting and Financial Statement Presentation
Government-Wide Financial Statements
The government-wide financial statements are reported using the economic resources measurement focus and
the accrual basis of accounting. Under this method, revenues are recorded when earned and expenses are
Notes to Basic Financial Statements Year Ended June 30, 2019
Town of Cohasset, Massachusetts 41 Comprehensive Annual Financial Report
recorded when the liabilities are incurred. Real estate and personal property taxes are recognized as revenues in
the year for which they are levied. Grants and similar items are recognized as revenue as soon as all eligibility
requirements imposed by the provider have been met.
The statement of activities demonstrates the degree to which the direct expenses of a particular function or
segment are offset by program revenues. Direct expenses are those that are clearly identifiable with a specific
function or segment. Program revenues include the following:
Charges to customers or applicants who purchase, use, or directly benefit from goods, services, or
privileges provided by a given function or segment.
Grants and contributions that are restricted to meeting the operational requirements of a particular
function or segment.
Grants and contributions that are restricted to meeting the capital requirements of a particular function or
segment.
Taxes and other items not identifiable as program revenues are reported as general revenues.
For the most part, the effect of interfund activity has been removed from the government-wide financial
statements. Exceptions are charges between the general fund and sewer and water funds. Elimination of these
charges would distort the direct costs and program revenues reported for the functions affected.
Fund Financial Statements
Governmental fund financial statements are reported using the flow of current financial resources measurement
focus and the modified accrual basis of accounting. Under the modified accrual basis of accounting, revenues
are recognized when susceptible to accrual (i.e., when measurable and available). Measurable means the
amount of the transaction can be determined and available means collectible within the current period or soon
enough thereafter to pay liabilities of the current period. Expenditures are recorded when a liability is incurred, as
under accrual accounting. However, debt service expenditures, as well as expenditures related to compensated
absences, and claims and judgments are recorded only when payment is due. General capital asset acquisitions
are reported as expenditures in governmental funds. Issuance of long-term debt and acquisitions under capital
leases are reported as other financing sources.
Real estate and personal property tax revenues are considered available if they are collected within 60 days after
year-end. Investment income is susceptible to accrual. Other receipts and tax revenues become measurable
and available when the cash is received and are recognized as revenue at that time.
Entitlements and shared revenues are recorded at the time of receipt or earlier if the susceptible to accrual criteria
is met. Expenditure driven grants recognize revenue when the qualifying expenditures are incurred and all other
grant requirements are met.
The following major governmental fund is reported:
The General fund is the primary operating fund. It is used to account for all financial resources, except those that
are required to be accounted for in another fund.
The nonmajor governmental funds consist of special revenue and permanent funds that are aggregated and
presented in the nonmajor governmental funds column on the governmental funds financial statements. The
following describes the general use of these fund types:
Notes to Basic Financial Statements Year Ended June 30, 2019
Town of Cohasset, Massachusetts 42 Comprehensive Annual Financial Report
The special revenue fund is used to account for and report the proceeds of specific revenue sources that are
restricted or committed to expenditure for specified purposes other than permanent funds or capital projects.
The capital projects fund is used to account for financial resources that are restricted, committed or assigned to
expenditures for capital outlays.
The permanent fund is used to account for and report financial resources that are legally restricted to the extent
that only earnings, not principal, may be used for purposes that support the governmental programs.
Proprietary fund financial statements are reported using the flow of economic resources measurement focus and
use the accrual basis of accounting. Under this method, revenues are recorded when earned and expenses are
recorded when the liabilities are incurred.
Proprietary funds distinguish operating revenues and expenses from nonoperating items. Operating revenues
and expenses generally result from providing services and producing and delivering goods in connection with the
proprietary funds principal ongoing operations. All revenues and expenses not meeting this definition are
reported as nonoperating revenues and expenses.
The following major proprietary funds are reported:
The Sewer enterprise fund is used to account for sewage treatment operations that are financed and operated in
a manner similar to private business enterprises where the intent of the governing body is that the costs
(expenses, including depreciation) of providing goods and services to the general public on a continuing basis be
financed or recovered primarily through user charges.
The Water enterprise fund is used to account for water distribution operations that are financed and operated in a
manner similar to private business enterprises where the intent of the governing body is that the costs (expenses,
including depreciation) of providing goods and services to the general public on a continuing basis be financed or
recovered primarily through user charges.
Fiduciary fund financial statements are reported using the flow of economic resources measurement focus and
use the accrual basis of accounting. Fiduciary funds are used to account for assets held in a trustee capacity for
others that cannot be used to support the governmental programs.
The following fiduciary fund types are reported:
The other postemployment benefit trust fund is used to accumulate resources to provide funding for future OPEB
liabilities.
The private purpose trust fund is used to account for trust arrangements that exclusively benefit individuals,
private organizations, or other governments. Some of these trusts have donor restrictions and trustee policies
that do not allow the endowment portion and any unrealized appreciation to be spent. The restrictions and trustee
policies only allows the trustees to approve spending of the realized investment earnings. The Town’s mainly
uses this fund to account for educational scholarships.
The agency fund is used to account for assets held in a purely custodial capacity. The Town’s agency accounts
consist of off-duty work details, performance bonds, and fees collected on behalf of other governments. The
Agency fund applies the accrual basis of accounting but does not have a measurement focus.
Notes to Basic Financial Statements Year Ended June 30, 2019
Town of Cohasset, Massachusetts 43 Comprehensive Annual Financial Report
D. Cash and Investments
Government-Wide and Fund Financial Statements
Cash and cash equivalents are considered to be cash on hand, demand deposits and short-term investments with
an original maturity of three months or less from the date of acquisition.
Investments are carried at fair value. The fair values were determined by the closing price for those securities
traded on national stock exchanges and the average bid-and-ask quotation for those securities traded in the over-
the-counter market.
E. Fair Value Measurements
The Town reports required types of financial instruments in accordance with the fair value standards. These
standards require an entity to maximize the use of observable inputs (such as quoted prices in active markets)
and minimize the use of unobservable inputs (such as appraisals or valuation techniques) to determine fair value.
Fair value standards also require the government to classify these financial instruments into a three-level
hierarchy, based on the priority of inputs to the valuation technique or in accordance with net asset value practical
expedient rules, which allow for either Level 2 or Level 3 depending on lock up and notice periods associated with
the underlying funds.
Instruments measured and reported at fair value are classified and disclosed in one of the following categories:
Level 1 – Quoted prices are available in active markets for identical instruments as of the reporting date.
Instruments, which are generally included in this category, include actively traded equity and debt securities, U.S.
government obligations, and mutual funds with quoted market prices in active markets.
Level 2 – Pricing inputs are other than quoted in active markets, which are either directly or indirectly observable
as of the reporting date, and fair value is determined through the use of models or other valuation methodologies.
Certain fixed income securities, primarily corporate bonds, are classified as Level 2 because fair values are
estimated using pricing models, matrix pricing, or discounted cash flows.
Level 3 – Pricing inputs are unobservable for the instrument and include situations where there is little, if any,
market activity for the instrument. The inputs into the determination of fair value require significant management
judgment or estimation.
In some instances the inputs used to measure fair value may fall into different levels of the fair value hierarchy
and is based on the lowest level of input that is significant to the fair value measurement.
Market price is affected by a number of factors, including the type of instrument and the characteristics specific to
the instrument. Instruments with readily available active quoted prices generally will have a higher degree of
market price observability and a lesser degree of judgment used in measuring fair value. It is reasonably possible
that change in values of these instruments will occur in the near term and that such changes could materially
affect amounts reported in these financial statements. For more information on the fair value of the Town’s
financial instruments, see Note 2 – Cash and Investments.
F. Accounts Receivable
Government-Wide and Fund Financial Statements
The recognition of revenue related to accounts receivable reported in the government-wide financial statements
and the proprietary funds and fiduciary funds financial statements are reported under the accrual basis of
Notes to Basic Financial Statements Year Ended June 30, 2019
Town of Cohasset, Massachusetts 44 Comprehensive Annual Financial Report
accounting. The recognition of revenue related to accounts receivable reported in the governmental funds
financial statements are reported under the modified accrual basis of accounting.
Real Estate, Personal Property Taxes and Tax Liens
Real estate and personal property taxes are levied and based on values assessed on January 1st of every year.
Assessed values are established by the Board of Assessor’s for 100% of the estimated fair market value. Real
estate and personal property taxes are billed on a quarterly basis. The first two quarters (August 1st and
November 1st) are preliminary tax bills based upon the previous year’s total annual tax. The second two quarters
(February 1st and May 1st) are actual tax, reflecting the current year assessment and the current tax rate. Taxes
due and unpaid are subject to penalties and interest if they are not paid by the respective due date. The Town
has an ultimate right to foreclose on property for which taxes have not been paid. Real estate and personal
property taxes levied are recorded as receivables in the year of the levy and are recorded under the modified
accrual basis of accounting.
Real estate tax liens are processed after the tax bills are sent and are recorded as receivables in the year they
are processed.
Real estate receivables are secured via the tax lien process and are considered 100% collectible. Accordingly,
an allowance for uncollectible accounts is not reported.
Personal property taxes cannot be secured through the lien process. The allowance of uncollectible accounts is
estimated based on historical trends and specific account analysis.
Motor Vehicle and Other Excise Taxes
Motor vehicle excise taxes are assessed annually for each vehicle registered and are recorded as receivables in
the year of the levy. The Commonwealth is responsible for reporting the number of vehicles registered and the
fair values of those vehicles. The tax calculation is the fair value of the vehicle multiplied by $25 per $1,000 of
value.
Boat excise taxes are assessed annually for each boat registered and are recorded as receivables in the year of
the levy. The Commonwealth is responsible for reporting the number of boats registered and the fair value of
those boats. The tax calculation is the fair value of the boat multiplied by $10 per $1,000 of value. The allowance
for uncollectible accounts is estimated based on historical trends and specific account analysis.
User Charges
User fees are levied quarterly based on individual meter readings and are subject to penalties and interest if they
are not paid by the respective due date. Unbilled user fees are estimated at year-end and are recorded as
revenue in the current period. Water and Sewer liens are processed in December of every year and included as
a lien on the property owner’s tax bill. Water and Sewer charges and liens are recorded as receivables in the
year of the levy. Since the receivables are secured via the lien process, these accounts are considered 100%
collectible and therefore do not report an allowance for uncollectible accounts.
Departmental and Other
Departmental and other receivables consist primarily of ambulance charges and veterans benefits and are
recorded as receivables in the year accrued. The allowance of uncollectible accounts is estimated based on
historical trends and specific account analysis.
Notes to Basic Financial Statements Year Ended June 30, 2019
Town of Cohasset, Massachusetts 45 Comprehensive Annual Financial Report
Special Assessments
Special assessments consist of sewer construction and particular apportioned street and water line betterments.
These receivables are considered to be 100% collectible and therefore do not report an allowance for
uncollectible accounts.
Intergovernmental
Various federal and state grants for operating and capital purposes are applied for and received annually. For
non-expenditure driven grants, receivables are recorded as soon as all eligibility requirements imposed by the
provider have been met. For expenditure driven grants, receivables are recorded when the qualifying
expenditures are incurred and all other grant requirements are met.
These receivables are considered 100% collectible and therefore do not report an allowance for uncollectible
accounts.
G. Inventories
Government-Wide and Fund Financial Statements
Inventories are recorded as expenditures at the time of purchase. Such inventories are not material in total to the
government-wide and fund financial statements, and therefore are not reported.
H. Capital Assets
Government-Wide and Proprietary Fund Financial Statements
Capital assets, which include land, land improvements, buildings, machinery and equipment, vehicles and
infrastructure (e.g., roads, water mains, sewer mains, and similar items), are reported in the applicable
governmental or business-type activity column of the government-wide financial statements, and the proprietary
fund financial statements. Capital assets are recorded at historical cost, or at estimated historical cost, if actual
historical cost is not available. Donated capital assets; donated works of art, historical treasures and similar
assets, and capital assets received in service concession arrangements are recorded at the acquisition value.
Except for the capital assets of the governmental activities column in the government-wide financial statements,
construction period interest is capitalized on constructed capital assets.
All purchases and construction costs in excess of $25,000 are capitalized at the date of acquisition or
construction, respectively, with expected useful lives of greater than one year.
Capital assets (excluding land and construction-in-progress) are depreciated on a straight-line basis over the
estimated useful life of the assets. The estimated useful lives of capital assets are as follows:
Estimated
Useful Life
Capital Asset Type (in years)
Land improvements……………………………………… 20
Buildings and improvements…………………………… 40
Machinery and equipment……………………………… 5
Vehicles…………………………………………………… 5
Infrastructure……………………………………………… 40
Notes to Basic Financial Statements Year Ended June 30, 2019
Town of Cohasset, Massachusetts 46 Comprehensive Annual Financial Report
The cost of normal maintenance and repairs that do not add to the value of the assets or materially extend asset
lives are not capitalized and are treated as expenses when incurred. Improvements are capitalized.
Governmental Fund Financial Statements
Capital asset costs are recorded as expenditures in the acquiring fund in the year of the purchase.
I. Deferred Outflows/Inflows of Resources
Government-Wide Financial Statements (Net Position)
In addition to assets, the statement of financial position will sometimes report a separate section for deferred
outflows of resources. This separate financial statement element, deferred outflows of resources, represents a
consumption of net position that applies to a future period(s) and so will not be recognized as an outflow of
resources (expense/expenditure) until then. As of June 30, 2019, the Town reported a deferred loss on refunding,
deferred outflows related to OPEB, as well as deferred outflows related to pensions within this category.
In addition to liabilities, the statement of financial position will sometimes report a separate section for deferred
inflows of resources. This separate financial statement element, deferred inflows of resources, represents an
acquisition of net position that applies to a future period(s) and so will not be recognized as an inflow of resources
(revenue) until that time. As of June 30, 2019, the Town reported taxes paid in advance, as well as deferred
inflows of resources related to pensions and deferred inflows related to OPEB within this category.
Governmental Fund Financial Statements
Unavailable revenue at the governmental fund financial statement level represents outstanding receivables that
do not meet the available criterion for revenue recognition in accordance with the current financial resources
measurement focus and the modified accrual basis of accounting. Unavailable revenues are reported as deferred
inflows of resources. Unavailable revenues are recognized as revenue during the conversion to the government-
wide (full accrual) financial statements.
J. Interfund Receivables and Payables
During the course of its operations, transactions occur between and within individual funds that may result in
amounts owed between funds.
Government-Wide Financial Statements
Transactions of a buyer/seller nature between and within governmental funds are eliminated from the
governmental activities in the statement of net position. Any residual balances outstanding between the
governmental activities and business-type activities are reported in the statement of net position as “internal
balances”.
Fund Financial Statements
Transactions of a buyer/seller nature between and within funds are not eliminated from the individual fund
statements. Receivables and payables resulting from these transactions are classified as “Due from other funds”
or “Due to other funds” on the balance sheet.
Notes to Basic Financial Statements Year Ended June 30, 2019
Town of Cohasset, Massachusetts 47 Comprehensive Annual Financial Report
K. Interfund Transfers
During the course of its operations, resources are permanently reallocated between and within funds. These
transactions are reported as transfers in and transfers out.
Government-Wide Financial Statements
Transfers between and within governmental funds are eliminated from the governmental activities in the
statement of net position. Any residual balances outstanding between the governmental activities and business-
type activities are reported in the statement of activities as “Transfers, net”.
Fund Financial Statements
Transfers between and within funds are not eliminated from the individual fund statements and are reported as
transfers in and transfers out.
L. Net Position and Fund Equity
Government-Wide Financial Statements (Net Position)
Net position reported as “net investment in capital assets” includes capital assets, net of accumulated
depreciation, less the principal balance of outstanding debt used to acquire capital assets. Unspent proceeds of
capital related debt are not considered to be capital assets. Outstanding receivables related to future subsidies
from the Massachusetts Clean Water Trust are not considered to be capital related debt.
Net position is reported as restricted when amounts are not available for appropriation or are legally restricted by
outside parties for a specific future use.
Net position has been “restricted for” the following:
“Debt service” represents a capital grant to fund debt service on the school debt that will be amortized over the
remaining life of the debt in accordance with state governmental regulations.
“Permanent funds – expendable” represents the amount of realized and unrealized investments earnings of donor
restricted trusts. The restrictions and trustee policies only allows the trustees to approve spending of the realized
investment earnings.
“Permanent funds – nonexpendable” represent the endowment portion of donor restricted trusts.
“Grants and Gifts” represents restrictions placed on assets from outside parties.
“Community preservation” represents amounts held for uses restricted by law for community preservation
purposes.
Sometimes the Town will fund outlays for a particular purpose from both restricted (e.g., restricted bond or grant
proceeds) and unrestricted resources. In order to calculate the amounts to report as restricted net position and
unrestricted net position in the government-wide and proprietary fund financial statements, a flow assumption
must be made about the order in which the resources are considered to be applied. It is the Town’s policy to
consider restricted net position to have been depleted before unrestricted net position is applied.
Notes to Basic Financial Statements Year Ended June 30, 2019
Town of Cohasset, Massachusetts 48 Comprehensive Annual Financial Report
Fund Financial Statements (Fund Balances)
Governmental fund balances are classified as nonspendable, restricted, committed, assigned, or unassigned
based on the extent to which the government is bound to honor constraints on the specific purposes for which
amounts in those funds can be spent.
The governmental fund balance classifications are as follows:
“Nonspendable” fund balance includes amounts that cannot be spent because they are either not in spendable
form or they are legally or contractually required to be maintained intact.
“Restricted” fund balance includes amounts subject to constraints placed on the use of resources that is either
externally imposed by creditors, grantors, contributors, or laws or regulations of other governments; or that are
imposed by law through constitutional provisions or enabling legislation.
“Committed” fund balance includes amounts that can only be used for specific purposes pursuant to constraints
imposed by formal action of the government’s highest level of decision-making authority. Town Meeting is the
highest level of decision-making authority for the government that can, by adoption of a Town Meeting article
(resolution) prior to the end of the year, commit fund balance. Once adopted, the limitation imposed by the article
remains in place until a similar action is taken to remove or revise the limitation.
“Assigned” fund balance includes amounts that are constrained by the Town’s intent to be used for specific
purposes but are neither restricted nor committed. The Board of Selectmen has by resolution authorized the
Finance Director to assign fund balance. The Board may also assign fund balance as it does when appropriating
fund balance to cover a gap between estimated revenue and appropriations in the subsequent year’s budget.
Unlike commitments, assignments generally only exist temporarily. In other words, an additional action does not
normally have to be taken for the removal of an assignment.
“Unassigned” fund balance includes the residual classification for the general fund. This classification represents
fund balance that has not been assigned to other funds and that has not been restricted, committed, or assigned
to specific purposes within the general fund.
The Town’s spending policy is to spend restricted fund balance first, followed by committed, assigned and
unassigned fund balance. Most governmental funds are designated for one purpose at the time of their creation.
Therefore, any expenditure from the fund will be allocated to the applicable fund balance classifications in the
order of the aforementioned spending policy. The general fund and certain other funds may have more than one
purpose.
M. Unavailable Revenue
Unavailable revenue at the governmental fund financial statement level represents billed receivables that do not
meet the availability criterion in accordance with the current financial resources measurement focus and the
modified accrual basis of accounting. Unavailable revenue is recognized as revenue in the conversion to the
entity-wide (full accrual) financial statements.
N. Pensions
For purposes of measuring the net pension liability, deferred outflows of resources and deferred inflows of
resources related to pensions, and pension expense, information about the fiduciary net position of the Norfolk
County Contributory Retirement System and the Massachusetts Teachers Retirement System and additions
to/deductions from the System’s fiduciary net position have been determined on the same basis as they are
Notes to Basic Financial Statements Year Ended June 30, 2019
Town of Cohasset, Massachusetts 49 Comprehensive Annual Financial Report
reported by the Systems. For this purpose, benefit payments (including refunds of employee contributions) are
recognized when due and payable in accordance with the benefit terms. Investments are reported at fair value.
O. Long-term debt
Government-Wide and Proprietary Fund Financial Statements
Long-term debt is reported as liabilities in the government-wide and proprietary fund statement of net position.
Material bond premiums and discounts are deferred and amortized over the life of the bonds using the effective
interest method. Bonds payable are reported net of the applicable bond premium or discount.
Governmental Fund Financial Statements
The face amount of governmental funds long-term debt is reported as other financing sources. Bond premiums
and discounts, as well as issuance costs, are recognized in the current period. Bond premiums are reported as
other financing sources and bond discounts are reported as other financing uses. Issuance costs, whether or not
withheld from the actual bond proceeds received, are reported as administrative services expenditures.
P. Investment Income
Excluding the permanent funds, investment income derived from major and nonmajor governmental funds is
legally assigned to the general fund unless otherwise directed by Massachusetts General Law (MGL).
Investment income from Enterprise Funds is retained in their respective funds.
Q. Compensated Absences
Employees are granted vacation and sick leave in varying amounts based on collective bargaining agreements,
state laws and executive policies.
Government-Wide and Proprietary Fund Financial Statements
Vested or accumulated vacation and sick leave are reported as liabilities and expensed as incurred.
Governmental Fund Financial Statements
Vested or accumulated vacation and sick leave, which will be liquidated with expendable available financial
resources, are reported as expenditures and fund liabilities upon maturity of the liability, i.e. unused reimbursable
leave still outstanding following an employee’s resignation or retirement.
R. Use of Estimates
Government-Wide and Fund Financial Statements
The preparation of basic financial statements in conformity with GAAP requires management to make estimates
and assumptions that affect the reported amounts of assets and liabilities and disclosure for contingent assets
and liabilities at the date of the basic financial statements and the reported amounts of the revenues and
expenditures/expenses during the year. Actual results could vary from estimates that were used.
Notes to Basic Financial Statements Year Ended June 30, 2019
Town of Cohasset, Massachusetts 50 Comprehensive Annual Financial Report
S. Total Column
Government-Wide Financial Statements
The total column presented on the government-wide financial statements represents consolidated financial
information.
Fund Financial Statements
The total column on the fund financial statements is presented only to facilitate financial analysis. Data in this
column is not the equivalent of consolidated financial information.
T. Fund Deficits
The bonded capital projects fund had a year-end deficit of $749,673. This deficit will be funded through future
long-term debt proceeds and other available funds.
NOTE 2 – CASH AND INVESTMENTS
A cash and investment pool is maintained that is available for use by all funds. Each fund type's portion of this
pool is displayed on the balance sheet as "Cash and Cash Equivalents". The deposits and investments of the
trust funds are held separately from those of other funds.
Statutes authorize the investment in obligations of the U.S. Treasury, agencies, and instrumentalities, certificates
of deposit, repurchase agreements, money market accounts, bank deposits and the State Treasurer's Investment
Pool (Pool). The Treasurer may also invest trust funds in securities, other than mortgages or collateral loans,
which are legal for the investment of funds of savings banks under the laws of the Commonwealth. The Pool
meets the criteria of an external investment pool. The Pool is administered by the Massachusetts Municipal
Depository Trust (MMDT), which was established by the Treasurer of the Commonwealth who serves as Trustee.
The fair value of the position in the Pool is the same as the value of the Pool shares. There are no limitations or
restrictions on participant withdrawals, i.e. no redemption notice periods, maximum transactions amounts, ability
of the pool to impose liquidity fees or redemption gates.
The Town participates in the Pension Reserve Investment Trust (PRIT), which meets the criteria of an external
investment pool. PRIT is administered by the Pension Reserves Investment Management Board, which was
established by the Treasurer of the Commonwealth of Massachusetts who serves as Trustee. The fair value of
the position in the PRIT is the same as the value of the PRIT shares.
The PRIT fund, as a pool, invests in various products including, but not limited to, money market mutual funds,
equities, pooled foreign and domestic fixed income and equity funds, United States government sponsored
enterprises and Treasury notes, real estate, and commodities. The underlying components of PRIT’s fixed
income portfolio had an effective weighted duration rate ranging from .18 to 15.31 years. There is no credit quality
rating for the fund.
Custodial Credit Risk – Deposits
In the case of deposits, this is the risk that in the event of a bank failure, the Town of Cohasset’s deposits may not
be returned to it. The Town does not have a deposit policy for custodial credit risk. At year-end, the carrying
amount of deposits totaled $13,164,777 and the bank balance totaled $13,554,309. Of the bank balance,
$1,500,000 was covered by Federal Depository Insurance, $2,431,887 was covered by DIF Insurance,
Notes to Basic Financial Statements Year Ended June 30, 2019
Town of Cohasset, Massachusetts 51 Comprehensive Annual Financial Report
$3,001,224 was covered by SIF Insurance, and $6,621,198 was exposed to custodial credit risk because it was
uninsured and uncollateralized.
At year-end the carrying amount of deposits for the Pratt Memorial Library Trust totaled $54,411. The bank
balance totaled $54,411 all of which was covered by Federal Depository Insurance.
Investments
As of June 30, 2019, the Town had the following investments:
Investment Type Fair value Under 1 Year 1-5 Years 6-10 Years
Debt securities:
U.S. treasury bonds………………………………$ 2,283,167 $ 529,336 $ 1,429,240 $ 324,591
Government sponsored enterprises…………… 1,963,249 364,010 1,419,676 179,563
Corporate bonds ........................................... 1,409,749 419,698 913,974 76,077
Total debt securities..................................... 5,656,165 $ 1,313,044 $ 3,762,890 $ 580,231
Other investments:
Equity securities.......................................... 4,608,842
Equity mutual funds……………………………… 2,393,326
Money market mutual funds…………………… 857,390
Pension Reserve Investment Trust (PRIT)……… 1,519,962
MMDT - Cash portfolio…………………………… 4,018,505
Total investments......................................... $ 19,054,190
Maturities
As of June 30, 2019, the Pratt Memorial Library Trust had $1,608,834 invested in mutual funds.
Custodial Credit Risk – Investments
For an investment, this is the risk that, in the event of a failure by the counterparty, the Town will not be able to
recover the value of its investments or collateral security that are in the possession of an outside party. Of the
Town’s investments, $5,656,165 of debt securities, and $4,608,842 of equity securities are exposed to custodial
credit risk because the related securities are uninsured, unregistered and held by the counterparty.
The Town’s investment policy requires all securities not held directly by the Town to be held in the Town’s name
and tax identification number by a third party custodian approved by the Treasurer.
Interest Rate Risk
Interest rate risk exists when there is a possibility that changes in interest rates could adversely affect the fair
value of the Town’s investments. The Town’s investment policy limits investment maturities as a means of
managing its exposure to fair value losses arising from increasing interest rates.
Credit Risk
The Town’s investment policy limits investments in debt securities to United States Treasuries and United States
Government Agency obligations, which carry an AA rating, and other investments that must be in high grade
securities, a high concentration of which must be rated A and above. Additionally, the Treasurer may invest in the
Massachusetts Municipal Depository Trust (MMDT) with no limit to the amount of funds placed in this fund. At
June 30, 2019, the Town’s investments in Government Sponsored Enterprises were rated AA+. The Town’s
investment in Corporate Bonds held ratings that ranged from AAA to BBB.
Notes to Basic Financial Statements Year Ended June 30, 2019
Town of Cohasset, Massachusetts 52 Comprehensive Annual Financial Report
Concentration of Credit Risk
The Town will minimize the concentration of credit risk by diversifying the investment portfolio, so that the impact
of potential losses from any one type of security or issuer will be minimized. No more than 5% of the Town’s
investments are invested in any one issuer.
Fair Value of Investments
The Town holds investments that are measured at fair value on a recurring basis. Because investing is not a core
part of the Town’s mission, the Town determines that the disclosures related to these investments only need to be
disaggregated by major type. The Town chooses a tabular format for disclosing the levels within the fair value
hierarchy.
The Town categorizes its fair value measurements within the fair value hierarchy established by generally
accepted accounting principles. The hierarchy is based on the valuation inputs used to measure the fair value of
the asset. Level 1 inputs are quoted prices in active markets for identical assets; Level 2 inputs are significant
other observable inputs; Level 3 inputs are significant unobservable inputs.
The Town has the following fair value measurements as of June 30, 2019:
Quoted
Prices in
Active Significant
Markets for Other Significant
Identical Observable Unobservable
June 30, Assets Inputs Inputs
Investment Type 2019 (Level 1) (Level 2) (Level 3)
Investments measured at fair value:
Debt securities:
U.S. treasury bonds…………………………… $ 2,283,167 $ 2,283,167 $ - $ -
Government sponsored enterprises…………… 1,963,249 1,963,249 - -
Corporate bonds......................................... 1,409,749 - 1,409,749 -
Total debt securities.................................... 5,656,165 4,246,416 1,409,749 -
Other investments:
Equity securities......................................... 4,608,842 4,608,842 - -
Equity mutual funds……………………………… 2,393,326 2,393,326 - -
Money market mutual funds…………………… 857,390 857,390 - -
Total other investments................................ 7,859,558 7,859,558 - -
Total investments measured at fair value………… 13,515,723 $ 12,105,974 $ 1,409,749 $ -
Investments measured at amortized cost:
MMDT - Cash portfolio………………………… 4,018,505
Investments measured at net asset value:
Pension Reserve Investment Trust (PRIT)…… 1,519,962
Total investments……………………………………$ 19,054,190
Fair Value Measurements Using
Notes to Basic Financial Statements Year Ended June 30, 2019
Town of Cohasset, Massachusetts 53 Comprehensive Annual Financial Report
Government sponsored enterprises, U.S. Treasury notes, equity securities, mutual funds, money market mutual
funds classified in Level 1 of the fair value hierarchy are valued using prices quoted in active markets for those
securities. Corporate bonds classified in Level 2 of the fair value hierarchy are valued using a matrix pricing
technique. Matrix pricing is used to value securities based on the securities’ relationship to benchmark quoted
prices.
PRIT Investments are valued using the net asset value method. This investment pool was established by the
Treasurer of the Commonwealth of Massachusetts, who serves as Trustee. PRIT is administered by the Pension
Reserves Investment Management Board (PRIM). The fair values of the positions in each investment Pool are
the same as the value of each Pool’s shares. The Town does not have the ability to control any of the investment
decisions relative to its funds in PRIT.
MMDT investments are valued at amortized cost. Under the amortized cost method, an investment is valued
initially at its cost and adjusted for the amount of interest income accrued each day over the term of the
investment to account for any difference between the initial cost and the amount payable at its maturity. If
amortized cost is determined not to approximate fair value, the value of the portfolio securities will be determined
under procedures established by the Advisor.
The Pratt Memorial Library Trust investments at June 30, 2019, of $1,608,834 are measured at fair value using
quoted prices in active markets for identical assets (Level 1).
NOTE 3 – RECEIVABLES
At June 30, 2019, receivables for the individual major and non-major governmental funds in the aggregate,
including the applicable allowances for uncollectible accounts, are as follows:
Allowance
Gross for Net
Amount Uncollectibles Amount
Receivables:
Real estate and personal property taxes………$ 458,451 $ (5,000) $ 453,451
Tax liens……………………………………...… 942,661 - 942,661
Motor vehicle and other excise taxes………… 110,065 (12,000) 98,065
Departmental and other………………………… 208,217 - 208,217
Intergovernmental………………………………… 1,302,129 - 1,302,129
Special assessments…………………………… 1,142,035 - 1,142,035
Total………………………………………………$ 4,163,558 $ (17,000) $ 4,146,558
At June 30, 2019, receivables for the sewer and water enterprise funds consist of the following:
` Allowance
Gross for Net
Amount Uncollectibles Amount
Receivables:
Water user charges…………………………$ 1,187,237 $ - $ 1,187,237
Sewer user charges………………………… 500,554 - 500,554
Sewer special assessments……………… 6,181,728 - 6,181,728
Total………………………………………… $ 7,869,519 $ - $ 7,869,519
Notes to Basic Financial Statements Year Ended June 30, 2019
Town of Cohasset, Massachusetts 54 Comprehensive Annual Financial Report
Governmental funds report unavailable revenue in connection with receivables for revenues that are not
considered to be available to liquidate liabilities of the current period. At the end of the current year, the various
components of unavailable revenue reported in the governmental funds were as follows:
Other
General Governmental
Fund Funds Total
Receivables:
Real estate and personal property taxes ……………$ 246,367 $ - $ 246,367
Tax liens……………………………………...………… 932,154 10,507 942,661
Motor vehicle and other excise taxes ……………… 98,065 - 98,065
Departmental and other……………………………… 202,999 5,218 208,217
Intergovernmental……………………………………… 951,610 350,519 1,302,129
Special assessments………………………………… 386,826 755,209 1,142,035
Total…………………………………………………… $ 2,818,021 $ 1,121,453 $ 3,939,474
NOTE 4 – CAPITAL ASSETS
Capital asset activity for the year ended June 30, 2019, was as follows:
Beginning Ending
Balance Increases Decreases Balance
Governmental Activities:
Capital assets not being depreciated:
Land………………………………………………… $ 6,947,032 $ 350,263 $ - $ 7,297,295
Construction in progress…………………………… 1,998,623 422,595 (1,870,539) 550,679
Total capital assets not being depreciated…… 8,945,655 772,858 (1,870,539) 7,847,974
Capital assets being depreciated:
Land improvements ………………………………… 1,022,162 - - 1,022,162
Buildings and improvements……………………… 68,025,217 98,182 - 68,123,399
Machinery and equipment ………………………… 3,461,889 367,587 - 3,829,476
Vehicles……………………………………………… 4,595,223 1,020,336 - 5,615,559
Infrastructure………………………………………… 29,723,530 2,398,284 - 32,121,814
Total capital assets being depreciated……… 106,828,021 3,884,389 - 110,712,410
Less accumulated depreciation for:
Land improvements ………………………………… (292,728) (35,380) - (328,108)
Buildings and improvements……………………… (29,611,361) (1,590,498) - (31,201,859)
Machinery and equipment ………………………… (2,171,110) (294,478) - (2,465,588)
Vehicles……………………………………………… (3,578,500) (324,473) - (3,902,973)
Infrastructure………………………………………… (17,065,233) (760,440) - (17,825,673)
Total accumulated depreciation……………… (52,718,932) (3,005,269) - (55,724,201)
Total capital assets being depreciated, net………… 54,109,089 879,120 - 54,988,209
Total governmental activities capital assets, net……$ 63,054,744 $ 1,651,978 $ (1,870,539) $ 62,836,183
Notes to Basic Financial Statements Year Ended June 30, 2019
Town of Cohasset, Massachusetts 55 Comprehensive Annual Financial Report
Business-Type Activities
Beginning Ending
Balance Increases Decreases Balance
Water:
Capital assets not being depreciated:
Land………………………………………………… $ 1,307,549 $ - $ - $ 1,307,549
Construction in progress…………………………… 274,302 240,459 (428,516) 86,245
Total capital assets not being depreciated…… 1,581,851 240,459 (428,516) 1,393,794
Capital assets being depreciated:
Buildings and improvements……………………… 65,069 - - 65,069
Machinery, equipment and vehicles……………… 263,749 262,545 - 526,294
Vehicles……………………………………………… 48,858 - - 48,858
Infrastructure………………………………………… 49,140,048 588,952 - 49,729,000
Total capital assets being depreciated……… 49,517,724 851,497 - 50,369,221
Less accumulated depreciation for:
Buildings and improvements……………………… (16,512) (3,003) - (19,515)
Machinery, equipment and vehicles……………… (74,759) (28,535) - (103,294)
Vehicles……………………………………………… (17,915) (9,772) - (27,687)
Infrastructure………………………………………… (17,078,645) (1,018,459) - (18,097,104)
Total accumulated depreciation……………… (17,187,831) (1,059,769) - (18,247,600)
Total capital assets being depreciated, net………… 32,329,893 (208,272) - 32,121,621
Total water activities capital assets, net………………$ 33,911,744 $ 32,187 $ (428,516) $ 33,515,415
Beginning Ending
Balance Increases Decreases Balance
Sewer:
Capital assets not being depreciated:
Land………………………………………………… $ 1,009 $ - $ - $ 1,009
Capital assets being depreciated:
Buildings and improvements……………………… 1,121,784 - - 1,121,784
Machinery and equipment………………………… 4,827,061 - - 4,827,061
Infrastructure………………………………………… 33,351,017 - - 33,351,017
Total capital assets being depreciated……… 39,299,862 - - 39,299,862
Less accumulated depreciation for:
Buildings and improvements……………………… (368,689) (18,696) - (387,385)
Machinery and equipment………………………… (2,561,066) (135,175) - (2,696,241)
Infrastructure………………………………………… (8,558,509) (629,912) - (9,188,421)
Total accumulated depreciation……………… (11,488,264) (783,783) - (12,272,047)
Total capital assets being depreciated, net………… 27,811,598 (783,783) - 27,027,815
Total sewer activities capital assets, net…………… $ 27,812,607 $ (783,783) $ - $ 27,028,824
Notes to Basic Financial Statements Year Ended June 30, 2019
Town of Cohasset, Massachusetts 56 Comprehensive Annual Financial Report
Depreciation expense was charged to functions/programs of the primary government as follows:
Governmental Activities:
Administrative services…………………………………………………$222,859
Public safety…………………………………………………………… 260,076
Education………………………………………………………………… 1,443,791
Public works…………………………………………………………… 883,633
Health & welfare………………………………………………………… 33,139
Culture and recreation………………………………………………… 161,771
Total depreciation expense - governmental activities……………………$ 3,005,269
Business-Type Activities:
Water…………………………………………………………………..…$ 1,059,769
Sewer…………………………………………………………………..… 783,783
Total depreciation expense - business-type activities………………… $ 1,843,552
NOTE 5 – CAPITAL LEASES
The Town has entered into non-cancelable long-term lease agreements for the purchase of certain equipment.
The lease agreements qualify as capital leases for accounting purposes and, therefore, have been recorded at
the present value of their future minimum lease payments as of the inception date.
The following identifies the assets acquired through capital lease agreements:
Governmental
Activities
Asset:
Machinery and equipment…………$ 181,803
Less: accumulated depreciation… (71,206)
Total………………………………… $ 110,597
The future minimum lease obligations and the net present value of these minimum lease payments as of June 30,
2019, were as follows:
Governmental
Years ending June 30:Activities
2020………………………………………………$ 40,780
2021……………………………………………… 40,783
Total minimum lease payments……………… 81,563
Less: amounts representing interest………… (4,591)
Present value of minimum lease payments… $ 76,972
Notes to Basic Financial Statements Year Ended June 30, 2019
Town of Cohasset, Massachusetts 57 Comprehensive Annual Financial Report
NOTE 6 – INTERFUND TRANSFERS
Interfund transfers for the year ended June 30, 2019, are summarized as follows:
Nonmajor
General governmental
Transfers Out: fund funds Total
General fund……………………………$- $ 1,548,935 $ 1,548,935 (1)
Nonmajor governmental funds……… 216,845 240,115 456,960 (2)
Total……………………………………$ 216,845 $ 1,789,050 $ 2,005,895
Transfers In:
(1) Budgeted transfers from the general fund and the capital stabilization fund to various capital project
funds.
(2) Budgeted transfers from school construction surplus, wetlands, open space, and Title V betterments to
the general fund. Also, transfers to and from various nonmajor governmental funds.
NOTE 7 – SHORT-TERM FINANCING
Short-term debt may be authorized and issued to fund the following:
Current operating costs prior to the collection of revenues through issuance of revenue or tax anticipation
notes (RANS or TANS).
Capital project costs and other approved expenditures incurred prior to obtaining permanent financing
through issuance of bond anticipation notes (BANS) or grant anticipation notes (GANS).
Short-term loans are general obligations of the Town and carry maturity dates that are limited by statute. Interest
expenditures for short-term borrowings are accounted for in the General Fund and the Enterprise funds, where
applicable.
Details related to the Town’s short-term debt activity for the year ended June 30, 2019, is as follows:
Balance at Balance at
Rate June 30, Renewed/ Retired/ June 30,
Type Purpose (%) Due Date 2018 Issued Redeemed 2019
Governmental Funds:
BAN Municipal Purpose… 1.95% 06/21/19 $ 597,400 $ - $ (597,400) $ -
BAN Municipal Purpose… 1.95% 06/21/19 300,000 - (300,000) -
BAN MCWT………………… 0.00% 06/30/19 150,000 - (150,000) -
BAN Municipal Purpose… 2.90% 06/19/20 - 158,000 - 158,000
BAN Municipal Purpose… 2.00% 06/19/20 - 921,400 - 921,400
BAN MCWT………………… 0.00% 06/30/20 - 150,000 - 150,000
Total Governmental Funds………………………$ 1,047,400 $ 1,229,400 $ (1,047,400) $ 1,229,400
Notes to Basic Financial Statements Year Ended June 30, 2019
Town of Cohasset, Massachusetts 58 Comprehensive Annual Financial Report
NOTE 8 – LONG-TERM DEBT
Under the provisions of Chapter 44, Section 10, Municipal Law authorizes indebtedness up to a limit of 5% of the
equalized valuation. Debt issued in accordance with this section of the law is designated as being "inside the
debt limit". In addition, however, debt may be authorized in excess of that limit for specific purposes. Such debt,
when issued, is designated as being "outside the debt limit".
In prior years, certain general obligation bonds were defeased by placing the proceeds of bonds in an irrevocable
trust to provide for all future debt service payments on the refunded bonds. Accordingly, the trust account’s
assets and liabilities for the defeased bonds are not included in the basic financial statements. At June 30, 2019,
$176,000 of governmental and $9,959,000 of business-type general obligation bonds that mature in 2020 are
considered defeased.
Details related to the Town’s outstanding general obligation indebtedness at June 30, 2019, and the debt service
requirements are as follow:
Original Interest Outstanding
Maturities Loan Rate at June 30,
Project Through Amount (%) 2019
Governmental Funds:
MCWT………………………………………………… 2033 $ 27,680,877 0.00-5.30 $ 3,587,490
General Obligation Bonds of 2010……………… 2030 1,726,000 1.00-3.50 39,000
General Obligation Refunding Bonds of 2010… 2021 835,000 1.50-2.50 155,000
General Obligation Refunding Bonds of 2012… 2024 9,039,000 1.80 4,225,000
General Obligation Refunding Bonds of 2013… 2026 696,450 2.00-3.00 242,000
General Obligation Bonds of 2013……………… 2024 215,000 2.00-3.00 25,000
General Obligation Bonds of 2016……………… 2026 1,208,000 2.00-3.00 745,000
General Obligation Refunding Bonds of 2016… 2027 193,500 2.00-3.00 189,500
General Obligation Bonds of 2017……………… 2037 1,417,000 3.00-4.00 934,141
General Obligation Refunding Bonds of 2017… 2030 166,800 3.00-4.00 166,800
Total Bonds Payable…………….………………………………………………………………… 10,308,931
Add: Unamortized premium on bonds…………………………………………………………… 176,203
Total Bonds Payable, net…………….………………………………………………………………$ 10,485,134
Notes to Basic Financial Statements Year Ended June 30, 2019
Town of Cohasset, Massachusetts 59 Comprehensive Annual Financial Report
Debt service requirements for principal and interest for governmental bonds payable in future years are as
follows:
Year Principal Interest Total
2020……………$ 2,617,266 $ 277,222 $ 2,894,488
2021…………… 2,198,774 180,437 2,379,211
2022…………… 1,207,014 115,264 1,322,278
2023…………… 1,190,888 79,144 1,270,032
2024…………… 1,172,594 46,758 1,219,352
2025…………… 321,136 29,749 350,885
2026…………… 303,912 21,083 324,995
2027…………… 185,724 15,061 200,785
2028…………… 172,573 12,601 185,174
2029…………… 173,459 9,975 183,434
2030…………… 175,383 8,547 183,930
2031…………… 174,345 6,539 180,884
2032…………… 121,200 5,088 126,288
2033…………… 122,128 4,159 126,287
2034…………… 48,075 3,211 51,286
2035…………… 49,042 2,246 51,288
2036…………… 50,028 1,259 51,287
2037…………… 25,390 254 25,644
Total……………$ 10,308,931 $ 818,596 $ 11,127,527
The Town receives subsidy assistance from the Massachusetts Clean Water Trust (MCWT). Future subsidies of
capital expenses are structured as principal subsidies of principal payments. Interest on the outstanding bonds
for MCWT is subsidized over the life of the bonds to assist the Town in repayment of this future debt. Future
principal subsidies of $948,553 have been recorded as an intergovernmental receivable in the general fund.
Future interest subsidies total $94,503 and will be recognized as revenue when received. During 2019, the
Town’s principal and interest subsidy amounted to approximately $748,000.
Notes to Basic Financial Statements Year Ended June 30, 2019
Town of Cohasset, Massachusetts 60 Comprehensive Annual Financial Report
Original Interest Outstanding
Maturities Loan Rate at June 30,
Project Through Amount (%) 2019
Sewer Enterprise Fund
MCWT………………………………………………… 2031 $ 12,600,000 2.00 $ 8,154,866
General Obligation Bonds of 2010……………… 2030 1,071,000 3.30-3.40 55,000
General Obligation Refunding Bonds of 2012… 2023 46,000 1.80 20,000
General Obligation Bonds of 2013……………… 2033 669,348 2.00-3.00 490,000
General Obligation Bonds of 2016……………… 2026 570,000 2.00-3.00 415,000
General Obligation Refunding Bonds of 2016… 2026 193,500 2.00-3.00 190,000
General Obligation Refunding Bonds of 2017… 2030 495,500 3.00-4.00 495,500
Total Bonds Payable…………….…………………………………………………………………$ 9,820,366
Debt service requirements for principal and interest for Sewer Enterprise Fund bonds payable in future years are
as follows:
Year Principal Interest Total
2020……………$774,833 $ 206,279 $ 981,112
2021…………… 782,003 189,512 971,515
2022…………… 792,920 172,580 965,500
2023…………… 810,689 155,103 965,792
2024…………… 818,918 136,764 955,682
2025…………… 829,209 118,543 947,752
2026…………… 850,769 99,953 950,722
2027…………… 799,603 80,927 880,530
2028…………… 822,716 63,581 886,297
2029…………… 836,114 45,593 881,707
2030…………… 825,803 28,074 853,877
2031…………… 796,789 3,000 799,789
2032…………… 40,000 1,800 41,800
2033…………… 40,000 600 40,600
Total……………$ 9,820,366 $ 1,302,309 $ 11,122,675
Notes to Basic Financial Statements Year Ended June 30, 2019
Town of Cohasset, Massachusetts 61 Comprehensive Annual Financial Report
Original Interest Outstanding
Maturities Loan Rate at June 30,
Project Through Amount (%) 2019
Water Enterprise Fund
MCWT………………………………………………… 2027 $ 7,145,507 2.00 $ 5,084,695
General Obligation Bonds of 2010……………… 2030 16,379,000 3.50 721,000
General Obligation Refunding Bonds of 2010… 2021 1,705,000 1.50-2.50 230,000
General Obligation Refunding Bonds of 2013… 2026 4,533,550 2.00-3.00 2,953,000
General Obligation Bonds of 2013……………… 2033 2,004,652 2.00-3.00 1,310,000
General Obligation Refunding Bonds of 2016… 2029 655,000 2.00-3.00 645,500
General Obligation Bonds of 2017……………… 2020 235,000 3.00-4.00 75,000
General Obligation Refunding Bonds of 2017… 2030 8,837,700 3.00-4.00 8,837,700
Total Bonds Payable…………….………………………………………………………………… 19,856,895
Add: Unamortized premium on bonds…………………………………………………………… 891,488
Total Bonds Payable, net…………….………………………………………………………………$ 20,748,383
Debt service requirements for principal and interest for Water Enterprise Fund bonds payable in future years are
as follows:
Year Principal Interest Total
2020……………$ 1,943,829 $ 576,097 $ 2,519,926
2021…………… 1,862,289 520,164 2,382,453
2022…………… 1,760,716 466,948 2,227,664
2023…………… 1,787,112 411,131 2,198,243
2024…………… 1,830,682 355,702 2,186,384
2025…………… 1,890,829 301,027 2,191,856
2026…………… 1,835,956 245,269 2,081,225
2027…………… 1,600,269 191,322 1,791,591
2028…………… 1,572,655 138,813 1,711,468
2029…………… 1,552,568 86,085 1,638,653
2030…………… 1,520,085 37,914 1,557,999
2031…………… 494,905 7,650 502,555
2032…………… 100,000 4,650 104,650
2033…………… 105,000 - 105,000
Total……………$ 19,856,895 $ 3,342,772 $ 23,199,667
Notes to Basic Financial Statements Year Ended June 30, 2019
Town of Cohasset, Massachusetts 62 Comprehensive Annual Financial Report
The Town is subject to various debt limits by statute and may issue additional general obligation debt under the
normal debt limit. At June 30, 2019, the Town had the following authorized and unissued debt:
Purpose Amount
Septic System……………………………………………………………$1,250,000
Department of Public Works Vehicles and Equipment……………… 10,000
Bound Brook Dam………………………………………………………… 581,400
Bear Hill Water Tank Painting & Repairs……………………………… 165,000
Town Hall Design………………………………………………………… 300,000
Border Street Bridget…………………………………………………… 810,000
Private Roadway Betterments…………………………………………… 500,000
Total…………………………………………………………………………$ 3,616,400
Changes in Long-term Liabilities
During the year ended June 30, 2019, the following changes occurred in long-term liabilities:
Bonds and Bonds and
Beginning Notes Notes Other Other Ending Due Within
Balance Issued Redeemed Increases Decreases Balance One Year
Governmental Activities:
Long-term bonds payable…………………$ 13,300,222 $ - $ (2,991,291) $- $ - $ 10,308,931 $ 2,617,266
Add: Unamortized premium on bonds … 261,445 - - - (85,242) 176,203 67,782
Total bonds payable……………………… 13,561,667 - (2,991,291) - (85,242) 10,485,134 2,685,048
Capital lease obligations………………… 113,278 - - - (36,306) 76,972 37,740
Landfill closure……………………………… 159,726 - - - (26,500) 133,226 26,500
Net pension liability……………………… 19,769,152 - - 6,032,165 (2,503,842) 23,297,475 -
Net OPEB liability………………………… 42,278,224 - - 16,106,955 (2,222,095) 56,163,084 -
Total governmental activity
long-term liabilities………………………$ 75,882,047 $ - $ (2,991,291) $ 22,139,120 $ (4,873,985) $ 90,155,891 $ 2,749,288
Business-Type Activities:
Long-term bonds payable…………………$ 32,346,902 $ - $ (2,669,641) $- $ - $ 29,677,261 $ 2,718,662
Add: Unamortized premium on bonds … 1,032,046 - - - (140,558) 891,488 140,558
Total bonds payable……………………… 33,378,948 - (2,669,641) - (140,558) 30,568,749 2,859,220
Net pension liability……………………… 69,326 - - 21,154 (8,780) 81,700 -
Net OPEB liability………………………… 76,314 - - 29,074 (4,011) 101,377 -
Total business-type activity
long-term liabilities………………………$ 33,524,588 $ - $ (2,669,641) $ 50,228 $ (153,349) $ 30,751,826 $ 2,859,220
The governmental activities liabilities will be liquidated by the general fund. The business-type liabilities will be
liquidated by the enterprise fund reporting the liability.
Notes to Basic Financial Statements Year Ended June 30, 2019
Town of Cohasset, Massachusetts 63 Comprehensive Annual Financial Report
NOTE 9 – GOVERNMENTAL FUND BALANCE CLASSIFICATIONS
The Town has adopted GASB Statement No. 54 Fund Balance Reporting and Governmental Fund Types
Definitions. The intention of the GASB is to provide a more structured classification of fund balance and to
improve the usefulness of fund balance reporting to the users of the Town’s financial statements. The reporting
standard establishes a hierarchy for fund balance classifications and the constraints imposed on the uses of those
resources.
Massachusetts General Law Ch.40 §5B allows for the establishment of Stabilization funds for one or more
different purposes. The creation of a fund requires a two-thirds vote of the legislative body and must clearly
define the purpose of the fund. Any changes to the purpose of the fund along with any appropriations from the
fund required a two-thirds vote of the legislative body. Any additions to the fund require a majority vote of the
legislative body. At year end the balance of the General Stabilization fund is $4,031,580, the Facilities
Stabilization fund is $2,701, the Special Education Stabilization fund is $327,449, and the Capital Stabilization
fund is $1,207,926. All stabilization balances have been reported as unassigned fund balance within the General
Fund.
GASB 54 provides for two major types of fund balance, which are nonspendable and spendable and are more
fully discussed in Note 1.
Nonspendable fund balances are balances that cannot be spent because they are not expected to be converted
to cash or they are legally or contractually required to remain intact. Examples of this classification are prepaid
items, inventories, and principal (corpus) of an endowment fund. The Town has reported principal portions of
endowment funds as nonspendable.
The general fund is the only fund that reports a positive unassigned fund balance amount. In other governmental
funds it is not appropriate to report a positive unassigned fund balance amount. However, in the governmental
funds other than the general fund, if expenditures incurred for specific purposes exceed the amounts that are
restricted, committed, or assigned to other purposes, it may be necessary to report a negative unassigned fund
balance in that fund.
In addition to the nonspendable fund balances, GASB 54 has provided a hierarchy of spendable fund balances,
based on a hierarchy of spending constraints.
Restricted: fund balances that are constrained by external parties, constitutional provisions, or enabling
legislation.
Committed: fund balances that contain self-imposed constraints of the government from its highest level
of decision making authority.
Assigned: fund balances that contain self-imposed constraints of the government to be used for a
particular purpose.
Unassigned: fund balance of the general fund that is not constrained for any particular purpose.
The Town’s spending policy is to spend restricted fund balance first, followed by committed, assigned and
unassigned fund balance. Most governmental funds are designated for one purpose at the time of their creation.
Therefore, any expenditure from the fund will be allocated to the applicable fund balance classifications in the
order of the aforementioned spending policy. The general fund and certain other funds may have more than one
purpose.
Notes to Basic Financial Statements Year Ended June 30, 2019
Town of Cohasset, Massachusetts 64 Comprehensive Annual Financial Report
As of June 30, 2019, the governmental fund balance consisted of the following:
Nonmajor Total
Governmental Governmental
General Funds Funds
Fund Balances:
Nonspendable:
Permanent fund principal……………………………$- $ 442,525 $ 442,525
Restricted for:
Town grants………………………………………… - 621,818 621,818
School grants………………………………………… - 361,503 361,503
Receipts reserved for appropriation………………… - 1,091,760 1,091,760
MCWT septic loan program………………………… - 7,392 7,392
Town revolving funds………………………………… - 881,884 881,884
School revolving funds……………………………… - 712,740 712,740
School lunch………………………………………… - 250,468 250,468
Community preservation…………………………… - 3,495,304 3,495,304
Gifts and donations ………………………………… - 1,147,278 1,147,278
Other Town special revenue………………………… - 3,817 3,817
Capital projects non-bonded……………………… - 657,790 657,790
Library expendable trust funds…………………… - 1,428,633 1,428,633
Other expendable trust funds……………………… - 821,361 821,361
Committed to:
Administrative services……………………………… 246,576 - 246,576
Public safety………………………………………… 5,332 - 5,332
Education…………………………………………… 74,853 - 74,853
Public works………………………………………… 231,187 - 231,187
Assigned to:
Encumbrances:
Administrative services……………………………… 56,949 - 56,949
Public safety………………………………………… 16,019 - 16,019
Education…………………………………………… 51,628 - 51,628
Public works………………………………………… 76,773 - 76,773
Health & welfare……………………………………… 332 - 332
Unassigned…………………………………………………… 8,137,092 (749,673) 7,387,419
Total Fund Balances …………….……………………………. $ 8,896,741 $ 11,174,600 $ 20,071,341
NOTE 10 – RISK FINANCING
The Town is exposed to various risks of loss related to torts: theft of, damage to and destruction of assets; errors
and omissions; and natural disasters for which the Town carries commercial insurance. The amount of claim
settlements has not exceeded insurance coverage in any of the previous three years.
The Town participates in a premium-based health care plan for its employees. The plan is a health care risk pool
and is administered by the Massachusetts Inter-local Insurance Association (Association). The Association was
created to establish cost stability for its members with each participant being charged a premium for coverage
based on rates established by the Association. The Town is obligated to pay the Association the required
premiums as well as a pro-rata share of any Association deficit should the Association terminate operations.
The Town is self-insured for worker’s compensation and unemployment benefits which are funded on a pay-as-
you-go basis from annual appropriations. The estimated future workers’ compensation liability is based on history
and injury type. At June 30, 2019, the amount of the liability for workers’ compensation claims and unemployment
benefits were immaterial and are therefore not reported.
Notes to Basic Financial Statements Year Ended June 30, 2019
Town of Cohasset, Massachusetts 65 Comprehensive Annual Financial Report
NOTE 11 – PENSION PLAN
The Town is a member of the Norfolk County Contributory Retirement System (System), a cost-sharing multiple-
employer defined benefit pension plan covering eligible employees of the 43 member units. The system is
administered by five board members (Board) on behalf of all current employees and retirees except for current
teachers and retired teachers. Chapter 32 of the MGL assigns authority to establish and amend benefit
provisions of the plan. The System issues a publicly available unaudited financial report in accordance with
guidelines established by the Commonwealth’s Public Employee Retirement Administration Commission. That
report may be obtained by contacting the System located at 480 Neponset Street, Building 15, Canton, MA
02021; or by visiting http:// http://www.norfolkcountyretirement.org/.
The Town is a member of the Massachusetts Teachers’ Retirement System (MTRS), a cost-sharing multi-
employer defined benefit plan. MTRS is managed by the Commonwealth of Massachusetts (Commonwealth) on
behalf of municipal teachers and municipal teacher retirees. The Commonwealth is a nonemployer contributor
and is responsible for 100% of the contributions and future benefit requirements of the MTRS. The MTRS covers
certified teachers in cities (except Boston), towns, regional school districts, charter schools, educational
collaboratives and Quincy College. The MTRS is part of the Commonwealth’s reporting entity and the audited
financial report may be obtained by visiting http://www.mass.gov/osc/publications-and-reports/financial-reports/.
Special Funding Situation
The Commonwealth is a nonemployer contributor and is required by statute to make 100% of all actuarially
determined employer contributions on behalf of the Town to the MTRS. Therefore, the Town is considered to be
in a special funding situation as defined by GASB Statement No. 68, Accounting and Financial Reporting for
Pensions and the Commonwealth is a nonemployer contributor in MTRS. Since the Town does not contribute
directly to MTRS, there is no net pension liability to recognize. The total of the Commonwealth provided
contributions have been allocated based on each employer’s covered payroll to the total covered payroll of
employers in MTRS as of the measurement date of June 30, 2018. The Town’s portion of the collective pension
expense, contributed by the Commonwealth, of $4,594,495 is reported in the general fund as intergovernmental
revenue and pension expense in the current fiscal year. The portion of the Commonwealth’s collective net
pension liability associated with the Town is $45,339,435 as of the measurement date.
Benefits Provided
Both Systems provide retirement, disability, survivor and death benefits to plan members and beneficiaries.
Massachusetts Contributory Retirement System benefits are, with certain minor exceptions, uniform from system
to system. The System provides for retirement allowance benefits up to a maximum of 80% of a member's
highest three-year average annual rate of regular compensation. For persons who became members on or after
April 2, 2012, average salary is the average annual rate of regular compensation received during the five
consecutive years that produce the highest average, or, if greater, during the last five years (whether or not
consecutive) preceding retirement. Benefit payments are based upon a member's age, length of creditable
service, level of compensation, and group classification. Members become vested after ten years of creditable
service. There were no changes in benefit terms that affected the measurement of the total pension liability at
December 31, 2018.
Employees who resign from service and who are not eligible to receive a retirement allowance or are under the
age of 55 are entitled to request a refund of their accumulated total deductions. Survivor benefits are extended to
eligible beneficiaries of members whose death occurs prior to or following retirement.
Cost-of-living adjustments granted between 1981 and 1997 and any increase in other benefits imposed by the
Commonwealth’s state law during those years are borne by the Commonwealth and are deposited into the
Notes to Basic Financial Statements Year Ended June 30, 2019
Town of Cohasset, Massachusetts 66 Comprehensive Annual Financial Report
pension fund. Cost-of-living adjustments granted after 1997 must be approved by the Board and are borne by the
System.
Contributions
Chapter 32 of the MGL governs the contributions of plan members and member units. Active plan members are
required to contribute to the System at rates ranging from 5% to 9% of gross regular compensation with an
additional 2% contribution required for compensation exceeding $30,000. The percentage rate is keyed to the
date upon which an employee's membership commences. The member units are required to pay into the ERRS
a legislatively mandated actuarial determined contribution that is apportioned among the employers based on
active current payroll. The Town’s proportionate share of the required contribution equaled its actual contribution
for the year ended December 31, 2018, was $2,512,622, (24.81%) of covered payroll, actuarially determined as
an amount that, when combined with plan member contributions, is expected to finance the costs of benefits
earned by plan members during the year, with an additional amount to finance any unfunded accrued liability.
Pension Liabilities
At June 30, 2019, the Town reported a liability of $23,379,175 for its proportionate share of the net pension
liability. The net pension liability was measured as of December 31, 2018, and the total pension liability used to
calculate the net pension liability was determined by an actuarial valuation as of January 1, 2018. The Town’s
proportion of the net pension liability was based on a projection of the Town’s long-term share of contributions to
the pension plan relative to the projected contributions of all participating members. At December 31, 2018, the
Town’s proportion was 3.59%, the same proportion as of December 31, 2017.
Pension Expense
For the year ended June 30, 2019, the Town recognized pension expense of $3,327,141. At June 30, 2019, the
Town reported deferred outflows of resources related to pensions of $5,447,407 and deferred inflows of resources
related to pensions of $590,369.
The balances of deferred outflows and inflows related to pensions at June 30, 2019, consist of the following:
Deferred Deferred
Outflows of Inflows of
Deferred Category Resources Resources Total
Differences between expected and actual experience………………$ 1,271,928 $ - $ 1,271,928
Difference between projected and actual earnings, net …………… 2,837,727 - 2,837,727
Changes in assumptions……………………………………………… 691,324 (379,441) 311,883
Changes in proportion and proportionate share of contributions… 646,428 (210,928) 435,500
Total deferred outflows/(inflows) of resources……………………… $ 5,447,407 $ (590,369) $ 4,857,038
Notes to Basic Financial Statements Year Ended June 30, 2019
Town of Cohasset, Massachusetts 67 Comprehensive Annual Financial Report
The Town’s net deferred outflows/(inflows) of resources related to pensions will be recognized in pension
expense as follows:
Year ended June 30:
2020………………………………………………………… $ 1,762,427
2021………………………………………………………… 1,477,399
2022………………………………………………………… 698,396
2023………………………………………………………… 918,816
Total….................................................................... $ 4,857,038
Actuarial Assumptions
The total pension liability in the January 1, 2018, actuarial valuation was determined using the following actuarial
methods and assumptions, applied to all periods including the measurement date that was updated through
December 31, 2018:
Valuation date………………………………… January 1, 2018
Actuarial cost method……………………… Individual Entry Age Normal Cost Method.
Asset valuation method……………………… Market value.
Investment rate of return…………………… 7.75%
Discount rate………………………………… 7.75%
Inflation rate…………………………………… 3.00%
Projected salary increases………………… 3.50% - 5.50%
Cost of living adjustments…………………… 3.0% of first $17,000 of retirement income.
Mortality rates…………………………………
It is assumed that both pre-retirement and beneficiary mortality
is presented by the RP-2014, fully generational. Mortality for
retired members for Group 1 and 2 is represented by the RP-
2014 Blue Collar Mortality table set forward five years for males
and 3 years for females, fully generational. Mortality for retired
members for Group 4 is represented by the RP-2014 Blue
Collar Morality Table set forward three years for males, and six
years for females, fully generational. Mortality for disabled
members for Group 1 and 2 is represented by the RP-2000
Mortality Table set forward six years. Mortality for disabled
members for Group 4 is represented by the RP-2000 Mortality
Table set forward two years. Generational adjusting is based
on Scale MP-2014.
Notes to Basic Financial Statements Year Ended June 30, 2019
Town of Cohasset, Massachusetts 68 Comprehensive Annual Financial Report
Investment policy
The pension plan’s policy in regard to the allocation of invested assets is established and may be amended by the
Board. Plan assets are managed on a total return basis with a long-term objective of achieving and maintaining a
fully funded status for the benefits provided through the pension plan.
The long-term expected rate of return on pension plan investments was determined using a building-block method
in which best-estimate ranges of expected future real rates of return (expected returns, net of pension plan
investment expense and inflation) are developed for each major asset class. These ranges are combined to
produce the long-term expected rate of return by weighting the expected future real rates of return by the target
asset allocation percentage and by adding expected inflation. Best estimates of arithmetic real rates of return for
each major asset class included in the pension plan’s target asset allocation as of January 1, 2018, are
summarized in the following table:
Long-Term Expected Long-Term Expected
Asset Class Asset Allocation Real Rate of Return
Domestic equities………………………… 32.00% 8.10%
International equities……………………… 17.50% 8.20%
Fixed income……………………………… 19.00% 3.20%
Real estate………………………………… 9.00% 7.30%
Private equity……………………………… 8.50% 10.40%
Hedge funds………………………………… 9.00% 7.40%
Real assets………………………………… 5.00% 10.40%
Total………………………………………… 100.00%
Rate of return
For the year ended December 31, 2018, the annual money-weighted rate of return on pension plan investments,
net of pension plan investment expense, was a loss of (4.54%). The money-weighted rate of return expresses
investment performance, net of investment expense, adjusted for the changing amounts actually invested.
Discount rate
The discount rate used to measure the total pension liability was 7.75%. The projection of cash flows used to
determine the discount rate assumed plan member contributions will be made at the current contribution rate and
that contributions will be made at rates equal to the actuarially determined contribution rated. Based on those
assumptions, the pension plan’s fiduciary net position was projected to be available to make all projected future
benefit payments of current plan members. Therefore, the long-term expected rate of return on pension plan
investments was applied to all periods of projected benefit payments to determine the total pension liability.
Notes to Basic Financial Statements Year Ended June 30, 2019
Town of Cohasset, Massachusetts 69 Comprehensive Annual Financial Report
Sensitivity of the net position liability to changes in the discount rate
The following presents the net position liability, calculated using the discount rate of 7.75%, as well as what the
net position liability would be if it were calculated using a discount rate that is 1-percentage-point lower (6.75%) or
1-percentage-point higher (8.75%) than the current rate:
Current
1% Decrease Discount 1% Increase
(6.75%) (7.75%) (8.75%)
The Town's proportionate share of the
net pension liability………………………$ 29,319,536 $ 23,379,175 $ 18,328,990
Changes in Assumptions – None.
Changes in Plan Provisions – None.
NOTE 12 – POSTEMPLOYMENT BENEFITS OTHER THAN PENSIONS
Plan Description – The Town of Cohasset administers a single-employer defined benefit healthcare plan (“the
Retiree Health Plan”). The plan provides health, dental and life insurance for eligible retirees and their spouses
through a single-employer defined Other Postemployment Benefit (OPEB) plan. Chapter 32B of the MGL assigns
authority to establish and amend benefit provisions of the plan. Benefit provisions are negotiated between the
Town and the unions representing Town employees and are renegotiated each bargaining period. The Retiree
Health Plan does not issue a publicly available financial report.
Funding Policy – The contribution requirements of plan members and the Town are established and may be
amended by the Town. The required contribution is based on a pay-as-you-go financing requirement. The Town
contributes between 50 - 90 percent of the cost of current-year premiums for eligible retired plan members and
their spouses. Plan members receiving benefits contribute the remaining percentage of their premium costs. For
2019, the Town’s age-adjusted contribution to the plan totaled $2.2 million. The Town’s average contribution rate
was 9.04% of covered-employee payroll.
The Commonwealth of Massachusetts passed special legislation that has allowed the Town to establish a
postemployment benefit trust fund and to enable the Town to begin pre-funding its other postemployment benefit
(OPEB) liabilities.
During 2019, the Town pre-funded future OPEB liabilities by contributing $500,000 to the Other Postemployment
Benefit Fund in excess of the pay-as-you-go required contribution. These funds are reporting within the Fiduciary
Funds financial statements. As of June 30, 2019, the balance of this fund totaled $3.3 million.
Employees Covered by Benefit Terms – The following table represents the Plan’s membership at July 1, 2018:
Active members……………………………………………… 347
Inactive members currently receiving benefits…………… 184
Total…………………………………………………………… 531
Notes to Basic Financial Statements Year Ended June 30, 2019
Town of Cohasset, Massachusetts 70 Comprehensive Annual Financial Report
Components of OPEB Liability – The following table represents the components of the Plan’s OPEB liability as of
June 30, 2019:
Total OPEB liability…………………………………$ 59,593,068
Less: OPEB plan's fiduciary net position……… (3,328,607)
Net OPEB liability…………………………………$ 56,264,461
The OPEB plan's fiduciary net position
as a percentage of the total OPEB liability…… 5.59%
Significant Actuarial Methods and Assumptions – The total OPEB liability in the July 1, 2018, actuarial valuation
was determined using the following actuarial assumptions, applied to all periods included in the measurement,
unless otherwise specified, that was updated to June 30, 2019:
Valuation date…………………………… July 1, 2018.
Actuarial cost method…………………… Entry age normal.
Amortization method…………………… Increasing at 3.5% over 30 years on an open amortization period.
Asset valuation method………………… Market value.
Healthcare cost trend rate………………
8.00% for 2018, decreasing 0.50% per year to 5.50%, then grading
down to an ultimate trend rate of 3.90%, utilizing the Society of
Actuaries Getzen Medical Trend Model. The ultimate medical
inflation rate is reached in 2075.
Investment rate of return………………… 7.50% compounded annually, net of fees.
Discount rate……………………………
3.58% compounded annually, for the measurement as of June 30,
2019.
Municipal bond rate………………………
3.50%, based on the Bond Buyer 20-Bond Go Index published on
June 27, 2019.
Inflation rate……………………………… 2.6% per year, based on the 2019 Social Security Trustees Report.
Payroll growth…………………………… 3.50% per year.
Pre-retirement mortality - town…………
RP-2000 Employees Mortality Table, base year 2009, projected with
generational mortality improvement using scale BB.
Post-retirement mortality - town………
RP-2000 Healthy Annuitant Mortality Table, base year 2009, projected
with generational mortality improvement using scale BB.
Pre-retirement mortality - teachers……
RP-2014 White Collar Mortality Table, base year 2014, projected with
generational mortality improvement using scale MP-2016.
Post-retirement mortality - teachers……
RP-2014 White Collar Mortality Table, base year 2014, projected with
generational mortality improvement using scale MP-2016.
Notes to Basic Financial Statements Year Ended June 30, 2019
Town of Cohasset, Massachusetts 71 Comprehensive Annual Financial Report
Rate of return – For the year ended June 30, 2019, the annual money-weighted rate of return on investments, net
of investment expense, was 5.01%. The money-weighted rate of return expresses investment performance, net
of investment expense, adjusted for the changing amounts actually invested.
The long-term expected rate of return on OPEB plan investments was determined using a building-block method
in which best-estimate ranges of expected future rates of return (expected returns, net of investment expense and
inflation) are developed for each major asset class. These ranges are combined to produce the long-term
expected rate of return of by weighting the expected future real rates of return by the target asset allocation
percentage and by adding expected inflation and subtracting expected investment expenses and a risk margin.
The target allocation as of June 30, 2019, and projected arithmetic real rates of return for each major asset class,
after deducting inflation, but before investment expenses, used in the derivation of the long-term expected
investment rate of return assumption are summarized below:
Long-Term Expected Long-Term Expected
Asset Class Asset Allocation Real Rate of Return
Equities.…………………………………… 54.00% 5.17%
Fixed Income……………………………… 23.00% 3.02%
Alternatives………………………………… 10.00% 3.50%
Real Estate………………………………… 5.00% 3.43%
Timberland………………………………… 2.00% 4.00%
Portfolio Completion Strategies………… 6.00% 3.76%
Total………………………………………… 100.00%
Discount rate – The discount rate used to measure the total OPEB liability was 3.58% as of June 30, 2019. The
projection of cash flows used to determine the discount rate assumed that contributions will be made in
accordance with the Plan’s funding policy. Based on those assumptions, the OPEB plan’s fiduciary net position
was projected to be insufficient to make all projected benefit payments to current plan members. Therefore, the
long-term expected rate of return on the OPEB plan assets was applied to the first seven period of projected
future benefit payments, and the 3.50% municipal bond rate, based on the Bond Buyer 20-Bond Go Index
published on June 27, 2019, was applied to all periods thereafter to determine the total OPEB liability.
Notes to Basic Financial Statements Year Ended June 30, 2019
Town of Cohasset, Massachusetts 72 Comprehensive Annual Financial Report
Changes in the Net OPEB Liability
Plan
Total OPEB Fiduciary Net OPEB
Liability Net Position Liability
(a) (b) (a) - (b)
Balances at June 30, 2018…………………………………………$ 45,034,477 $ 2,679,940 $ 42,354,537
Changes for the year:
Service cost……………………………………………………… 2,127,301 - 2,127,301
Interest…………………………………………………………… 1,828,800 - 1,828,800
Differences between expected and actual experience……… 1,881,763 - 1,881,763
Changes of assumptions……………………………………… 10,446,833 - 10,446,833
Benefit payments………………………………………………… (1,726,106) (1,726,106) -
Employer contributions………………………………………… - 500,000 (500,000)
Employer contributions to pay OPEB benefits……………… - 1,726,106 (1,726,106)
Net investment income………………………………………… - 148,667 (148,667)
Net change…………………………………………………… 14,558,591 648,667 13,909,924
Balances at June 30, 2019…………………………………………$ 59,593,068 $ 3,328,607 $ 56,264,461
Increase (Decrease)
Sensitivity of the Net OPEB Liability to Changes in the Discount Rate – The following table presents the net
OPEB liability, calculated using the discount rate of 3.58%, as well as what the net OPEB liability would be if it
were calculated using a discount rate that is 1-percentage-point lower (2.58%) or 1-percentage-point higher
(4.58%) than the current rate.
Current
1% Decrease Discount Rate 1% Increase
(2.58%) (3.58%) (4.58%)
Net OPEB liability……………………… $ 67,159,612 $ 56,264,461 $ 47,696,159
Sensitivity of the Net OPEB Liability to Changes in the Healthcare Trend – The following table presents the net
OPEB liability, calculated using the current healthcare trend rate of 8.00% for 2018, decreasing 0.50% per year to
5.50%, then grading down to an ultimate trend rate of 3.90%, utilizing the Society of Actuaries Getzen Medical
Trend Model. The ultimate medical inflation rate is reached in 2075. The table also presents the net OPEB
liability if it were calculated using a healthcare trend rate that is 1-percentage-point lower or 1-percentage-point
higher.
1% Decrease Current Trend 1% Increase
Net OPEB liability……………………… $ 45,950,965 $ 56,264,461 $ 70,468,189
Notes to Basic Financial Statements Year Ended June 30, 2019
Town of Cohasset, Massachusetts 73 Comprehensive Annual Financial Report
OPEB Expense and Deferred Outflows/Inflows of Resources Related to OPEB – For the financial reporting year
ended June 30, 2019, the Town recognized OPEB expense of $5,416,331 and reported deferred
outflows/(inflows) of resources related to OPEB from the following sources:
Deferred Deferred
Outflows of Inflows of
Deferred Category Resources Resources Total
Differences between expected and actual experience………………$ 1,617,841 $ - $ 1,617,841
Difference between projected and actual earnings, net…………… 61,409 - 61,409
Changes in assumptions……………………………………………… 8,981,639 (298,737) 8,682,902
Total deferred outflows/(inflows) of resources……………………… $ 10,660,889 $ (298,737) $ 10,362,152
Amounts reported as deferred outflows of resources and deferred inflows of resources related to OPEB will be
recognized in OPEB expense as follows:
Reporting year ended June 30:
2020………………………………………………………… $ 1,682,808
2021………………………………………………………… 1,682,808
2022………………………………………………………… 1,682,809
2023………………………………………………………… 1,682,048
2024………………………………………………………… 1,677,779
2025………………………………………………………… 1,953,900
Total………………………………………………………… $ 10,362,152
Changes of Assumptions
The discount rate changed from 3.95% as of June 30, 2018 to 3.58% as of June 30, 2019. The health cost trend
rates, inflation assumption, and the teacher mortality table and improvement scale have been updated.
Changes in Plan Provisions – None.
NOTE 13 – LANDFILL CLOSURE
State and federal laws and regulations require the Town to construct a final capping system on its landfill site
when it stops accepting waste and to perform certain maintenance and monitoring functions at the site after
closure. The Town closed and capped its landfill in 1997. The Town has reflected a $133,000 post-closure care
liability at June 30, 2019, as an obligation of governmental funds. This amount is based upon estimates of what it
would cost to perform all post-closure care. Actual costs may be higher due to inflation, changes in technology, or
changes in regulations. Its cost was estimated based on annual sampling for the current monitoring network at
the site and estimated costs to maintain the integrity of the landfill cap during the post-closure period.
Notes to Basic Financial Statements Year Ended June 30, 2019
Town of Cohasset, Massachusetts 74 Comprehensive Annual Financial Report
NOTE 14 – CONTINGENCIES
The Town participates in a number of federal award programs. Although the grant programs have been audited
in accordance with the provisions of the Single Audit Act Amendments of 1996 through June 30, 2019, these
programs are still subject to financial and compliance audits. The amount, if any, of expenditures which may be
disallowed by the granting agencies cannot be determined at this time, although it is expected such amounts, if
any, to be immaterial.
Various legal actions and claims are pending. Litigation is subject to many uncertainties, and the outcome of
individual litigated matters is not always predictable. Although the amount of liability, if any, at June 30, 2019,
cannot be ascertained, management believes any resulting liability should not materially affect the financial
position at June 30, 2019.
NOTE 15 – SUBSEQUENT EVENTS
Management has evaluated subsequent events through December 20, 2019, which is the date the financial
statements were available to be issued.
NOTE 16 – IMPLEMENTATION OF NEW GASB PRONOUNCEMENTS
During 2019, the following GASB pronouncements were implemented:
GASB Statement #83, Certain Asset Retirement Obligations. This pronouncement did not impact the
basic financial statements.
GASB Statement #88, Certain Disclosures Related to Debt, including Direct Borrowings and Direct
Placements. This pronouncement did not impact the basic financial statements.
The following GASB pronouncements will be implemented in the future:
The GASB issued Statement #84, Fiduciary Activities, which is required to be implemented in 2020.
The GASB issued Statement #87, Leases, which is required to be implemented in 2021.
The GASB issued Statement #89, Accounting for Interest Cost Incurred before the End of a Construction
Period, which is required to be implemented in 2021.
The GASB issued Statement #90, Majority Equity Interests – an amendment of GASB Statements #14
and #61, which is required to be implemented in 2020.
The GASB issued Statement #91, Conduit Debt Obligations, which is required to be implemented in
2022.
Management is currently assessing the impact the implementation of these pronouncements will have on the
basic financial statements.
Town of Cohasset, Massachusetts 75 Comprehensive Annual Financial Report
Required Supplementary Information
Town of Cohasset, Massachusetts 76 Comprehensive Annual Financial Report
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Town of Cohasset, Massachusetts 77 Comprehensive Annual Financial Report
General Fund Budgetary Comparison
Schedule
The General Fund is the general operating fund of the Town. It is used to account for the entire Town’s financial
resources, except those required to be accounted for in another fund.
General Fund Budgetary Comparison Schedule
GENERAL FUND
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE -
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 2019
Actual Amounts Variance
Original Final Budgetary Carried Forward to Final
Budget Budget Amounts To Next Year Budget
REVENUES:
Real estate and personal property taxes,
net of tax refunds…………………………………… $ 38,510,530 $ 38,510,530 $ 38,540,049 $ - $ 29,519
Motor vehicle and other excise taxes………………… 1,380,816 1,380,816 1,955,662 - 574,846
Penalties and interest on taxes………………………… 130,000 130,000 169,605 - 39,605
Fees and rentals………………………………………… 844,152 844,152 858,948 - 14,796
Licenses and permits…………………………………… 609,000 609,000 715,459 - 106,459
Fines and forfeitures…………………………………… 25,000 25,000 21,102 - (3,898)
Intergovernmental…………………………...…………… 3,318,238 3,318,238 3,431,127 - 112,889
Departmental and other………………………………… 173,619 173,619 199,972 - 26,353
Special assessments…………………………………… 345,936 345,936 357,264 - 11,328
Investment income……………………………………… 33,936 33,936 181,296 - 147,360
TOTAL REVENUES………………………… 45,371,227 45,371,227 46,430,484 - 1,059,257
EXPENDITURES:
Current:
ADMINISTRATIVE SERVICES
Town Moderator……………………………………… 500 500 - - 500
Board of Selectmen………………………………… 187,403 529,403 509,620 19,441 342
Town Manager……………………………………… 615,915 520,915 350,870 162,030 8,015
Human Resource Management…………………… 154,541 134,531 119,981 5,111 9,439
School Support Officer……………………………… 75,380 75,380 73,767 - 1,613
Advisory Committee………………………………… 360 360 180 - 180
Reserve Fund………………………………………… 229,500 - - - -
Director of Finance…………………………………… 240,661 240,661 236,101 130 4,430
Board of Assessors………………………………… 211,761 203,761 199,554 - 4,207
Treasurer/Collector…………………………………… 337,049 327,049 315,871 945 10,233
Legal Services………………………………………… 198,823 251,323 238,613 6,130 6,580
Chief Technology Office…………………………… 455,959 472,559 434,809 26,982 10,768
Town Technology…………………………………… 150,946 150,946 126,760 14,216 9,970
Town Clerk…………………………………………… 171,139 177,499 175,875 585 1,039
Permits & Inspections……………………………… 356,565 333,553 265,471 67,955 127
Unclassified…………………………………………… 416,240 417,140 409,408 - 7,732
Total Administrative services…………………………… 3,802,742 3,835,580 3,456,880 303,525 75,175
PUBLIC SAFETY
Police………………………………………………… 2,540,019 2,710,019 2,696,616 646 12,757
Fire…………………………………………………… 2,480,520 2,527,315 2,505,885 20,120 1,310
Building Commissioner……………………………… 150,789 150,789 145,819 35 4,935
Emergency Management…………………………… 38,767 38,766 32,911 - 5,855
Harbormaster………………………………………… 119,401 128,901 126,906 550 1,445
Shellfish Constable…………………………………… 475 475 475 - -
Total Public Safety……………………………………… 5,329,971 5,556,265 5,508,612 21,351 26,302
EDUCATION
Cohasset Schools…………………………………… 19,803,872 19,803,872 19,604,135 126,481 73,256
South Shore Vocational……………………………… 58,000 53,251 53,251 - -
Total Education…………………………………………… 19,861,872 19,857,123 19,657,386 126,481 73,256
PUBLIC WORKS
Department of Public Works………………………… 1,605,146 1,829,312 1,575,917 227,714 25,681
Snow & Ice Removal………………………………… 125,000 208,133 208,133 - -
Street Lighting………………………………………… 45,000 124,420 71,391 48,763 4,266
Transfer Station……………………………………… 482,798 512,798 502,150 6,102 4,546
Facilities Management……………………………… 980,902 1,005,902 968,113 25,381 12,408
Total Public Works……………………………………… 3,238,846 3,680,565 3,325,704 307,960 46,901
HEALTH & WELFARE
Board of Health……………………………………… 163,005 163,005 148,485 - 14,520
Elder Affairs…………………………………………… 305,424 305,423 291,473 332 13,618
Veterans Services…………………………………… 144,364 109,864 100,712 - 9,152
Total Health & Welfare………………………………… 612,793 578,292 540,670 332 37,290
(Continued)
Budgeted Amounts
Town of Cohasset, Massachusetts 78 Comprehensive Annual Financial Report
GENERAL FUND
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE -
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 2019
Actual Amounts Variance
Original Final Budgetary Carried Forward to Final
Budget Budget Amounts To Next Year Budget
Budgeted Amounts
CULTURE AND RECREATION
Library………………………………………………… 644,702 624,702 614,501 - 10,201
Recreation…………………………………………… 130,760 136,760 136,457 - 303
Common Historical Commission…………………… 500 500 - - 500
Historical Preservation……………………………… 600 600 600 - -
Total Culture and Recreation…………………………… 776,562 762,562 751,558 - 11,004
DEBT SERVICE
Principal……………………………………………… 2,378,711 2,378,711 2,378,710 - 1
Interest………………………………………………… 256,797 290,247 290,245 - 2
Total Debt Service……………………………………… 2,635,508 2,668,958 2,668,955 - 3
BENEFITS & INSURANCE
Pension Assessment………………………………… 2,512,622 2,512,622 2,506,749 - 5,873
Workers Compensation……………………………… 278,242 269,611 269,537 - 74
Unemployment……………………………………… 5,000 5,000 4,518 - 482
Health Insurance……………………………………… 5,433,859 5,433,859 5,106,691 - 327,168
Life Insurance………………………………………… 10,132 10,132 7,588 - 2,544
Medicare Tax………………………………………… 354,515 354,515 345,452 - 9,063
Property & Liability Insurance……………………… 333,749 318,749 314,872 - 3,877
Total Benefits & Insurance……………………………… 8,928,119 8,904,488 8,555,407 - 349,081
State and County Assessment………………………… 458,243 458,243 527,772 - (69,529)
TOTAL EXPENDITURES……………………… 45,644,656 46,302,076 44,992,944 759,649 549,483
EXCESS (DEFICIENCY) OF REVENUES
OVER (UNDER) EXPENDITURES…………………… (273,429) (930,849) 1,437,540 (759,649) 1,608,740
OTHER FINANCING SOURCES (USES):
Transfers in……………………………………………… 852,970 852,970 905,361 - 52,391
Transfers out……………………………………………… (1,487,697) (2,275,697) (2,275,697) - -
TOTAL OTHER FINANCING
SOURCES (USES)…………………… (634,727) (1,422,727) (1,370,336) - 52,391
NET CHANGE IN FUND BALANCE……………………… (908,156) (2,353,576) 67,204 (759,649) 1,661,131
BUDGETARY FUND BALANCE, Beginning of year……… 3,055,619 3,055,619 3,055,619 - -
BUDGETARY FUND BALANCE, End of year……………$ 2,147,463 $ 702,043 $ 3,122,823 $ (759,649) $ 1,661,131
See notes to required supplementary information.(Concluded)
Town of Cohasset, Massachusetts 79 Comprehensive Annual Financial Report
Town of Cohasset, Massachusetts 80 Comprehensive Annual Financial Report
Pension Plan Schedules - Town
The Schedule of the Town’s Proportionate Share of the Net Pension Liability presents multi-year trend information
on the Town’s net pension liability and related ratios.
The Schedule of Town Contributions presents multi-year trend information on the Town’s required and actual
contributions to the pension plan and related ratios.
The Schedule of the Special Funding Amounts of the Net Pension Liability for the Massachusetts Teachers
Contributory Retirement System presents multi-year trend information on the liability and expense assumed by
the Commonwealth of Massachusetts on behalf of the Town along with related ratios.
These schedules are intended to present information for ten years. Until a ten year trend is compiled, information
is presented for those years for which information is available.
Pension Plan Schedules
Net pension Plan fiduciary
Proportionate liability as a net position as
Proportion of share of the percentage of a percentage of
the net pension net pension Covered covered the total
Year liability (asset) liability (asset) payroll payroll pension liability
December 31, 2018………… 3.59% $ 23,379,175 $ 10,027,984 233.14% 58.30%
December 31, 2017………… 3.59% 19,838,478 9,688,873 204.76% 63.50%
December 31, 2016………… 3.66% 19,122,211 10,142,562 188.53% 61.60%
December 31, 2015………… 3.66% 19,898,650 9,836,750 202.29% 58.60%
December 31, 2014………… 3.30% 17,115,594 8,086,454 211.66% 60.10%
Note: this schedule is intended to present information for 10 years.
Until a 10-year trend is compiled, information is presented for those years for which information is available.
See notes to required supplementary information.
SCHEDULE OF THE TOWN'S PROPORTIONATE SHARE
OF THE NET PENSION LIABILITY
NORFOLK COUNTY CONTRIBUTORY RETIREMENT SYSTEM
Town of Cohasset, Massachusetts 81 Comprehensive Annual Financial Report
Contributions in
relation to the Contributions as
Actuarially actuarially Contribution a percentage of
determined determined deficiency Covered covered
Year contribution contribution (excess) payroll payroll
June 30, 2019………………… $ 2,512,622 $ (2,512,622) $ - $ 10,128,264 24.81%
June 30, 2018………………… 2,296,320 (2,296,320) - 9,785,762 23.47%
June 30, 2017………………… 1,880,030 (1,880,030) - 10,243,988 18.35%
June 30, 2016………………… 1,706,914 (1,706,914) - 9,935,118 17.18%
June 30, 2015………………… 1,596,748 (1,596,748) - 8,167,319 19.55%
Note: this schedule is intended to present information for 10 years.
Until a 10-year trend is compiled, information is presented for those years for which information is available.
See notes to required supplementary information.
SCHEDULE OF THE TOWN'S CONTRIBUTIONS
NORFOLK COUNTY CONTRIBUTORY RETIREMENT SYTEM
Town of Cohasset, Massachusetts 82 Comprehensive Annual Financial Report
Year
Commonwealth's
100% Share of the
Associated Net
Pension Liability
Expense and
Revenue
Recognized for the
Commonwealth's
Support
Plan Fiduciary Net
Position as a
Percentage of the
Total Liability
2019………………………………… $ 45,339,435 $ 4,594,495 54.84%
2018………………………………… 42,477,695 4,433,521 54.25%
2017………………………………… 41,948,409 4,279,013 52.73%
2016………………………………… 38,868,017 3,152,542 55.38%
2015………………………………… 29,555,851 2,053,387 61.64%
Note: this schedule is intended to present information for 10 years.
Until a 10-year trend is compiled, information is presented for those years for which information is available.
See notes to required supplementary information.
SCHEDULE OF THE SPECIAL FUNDING AMOUNTS
OF THE NET PENSION LIABILITY
MASSACHUSETTS TEACHERS' RETIREMENT SYSTEM
The Commonwealth of Massachusetts is a nonemployer contributor and is required by statute to make all
actuarially determined employer contributions on behalf of the member employers which creates a special
funding situation. Therefore, there is no net pension liability to recognize. This schedule discloses the
Commonwealth's 100% share of the associated collective net pension liability; the portion of the collective
pension expense as both a revenue and pension expense recognized; and the Plan's fiduciary net position as
a percentage of the total liability.
Town of Cohasset, Massachusetts 83 Comprehensive Annual Financial Report
Town of Cohasset, Massachusetts 84 Comprehensive Annual Financial Report
Other Postemployment Benefits Plan
Schedules
The Schedule of Changes in the Town’s Net Other Postemployment Benefit Liability and Related Ratios presents
multi-year trend information on changes in the Plan’s total OPEB liability, changes in the Plan’s net position, and
ending net OPEB liability. It also demonstrates the Plan’s net position as a percentage of the total liability and the
Plan’s net other postemployment benefit liability as a percentage of covered employee payroll.
The Schedule of the Town’s Contributions presents multi-year trend information on the Town’s actual
contributions to the other postemployment benefit plan and related ratios.
The Schedule of Investment Return presents multi-year trend information on the money-weighted investment
return on other postemployment assets, net of investment expense.
These schedules are intended to present information for ten years. Until a ten year trend is compiled, information
is presented for those years for which information is available.
Other Postemployment Benefits Plan Schedules
June 30, June 30, June 30,
2017 2018 2019
Total OPEB Liability
Service Cost………………………………………………… $ 2,645,732 $ 2,077,991 $ 2,127,301
Interest………………………………………………………… 1,441,497 1,733,467 1,828,800
Changes of benefit terms…………………………………… - (3,333) -
Differences between expected and actual experience…… - - 1,881,763
Changes of assumptions…………………………………… (7,930,903) (422,437) 10,446,833
Benefit payments…………………………………………… (1,539,864) (1,670,698) (1,726,106)
Net change in total OPEB liability…………………………… (5,383,538) 1,714,990 14,558,591
Total OPEB liability - beginning……………………………..… 48,703,025 43,319,487 45,034,477
Total OPEB liability - ending (a)………………………………$ 43,319,487 $ 45,034,477 $ 59,593,068
Plan fiduciary net position
Employer contributions……………………………..……… $ 475,000 $ 350,000 $ 500,000
Employer contributions for OPEB payments……………… 1,539,864 1,670,698 1,726,106
Net investment income………………………...…………… 191,237 171,228 148,667
Benefit payments……………………………...……………… (1,539,864) (1,670,698) (1,726,106)
Net change in plan fiduciary net position…………………… 666,237 521,228 648,667
Plan fiduciary net position - beginning of year……………… 1,492,475 2,158,712 2,679,940
Plan fiduciary net position - end of year (b)………………… $ 2,158,712 $ 2,679,940 $ 3,328,607
Net OPEB liability - ending (a)-(b)…………………………$ 41,160,775 $ 42,354,537 $ 56,264,461
Plan fiduciary net position as a percentage of the
total OPEB liability………………………..…………… 4.98% 5.95% 5.59%
Covered-employee payroll………………………………..……$ 21,581,455 $ 23,163,230 $ 24,613,965
Net OPEB liability as a percentage of
covered-employee payroll…………………………..… 190.72% 182.85% 228.59%
Discount rate………………………………..…………………… 3.89% 3.95% 3.58%
Note: this schedule is intended to present information for 10 years.
Until a 10-year trend is compiled, information is presented for those years for
which information is available.
See notes to required supplementary information.
SCHEDULE OF CHANGES IN THE
TOWN'S NET OPEB LIABILITY AND RELATED RATIOS
OTHER POSTEMPLOYMENT BENEFIT PLAN
Town of Cohasset, Massachusetts 85 Comprehensive Annual Financial Report
Contributions in
relation to the Contributions as
Actuarially actuarially Contribution a percentage of
determined determined deficiency Covered- covered-
Year contribution contribution (excess) employee payroll employee payroll
June 30, 2019………………$ 3,773,144 $ (2,226,106) $ 1,547,038 $ 24,613,965 9.04%
June 30, 2018……………… 3,663,467 (2,020,698) 1,642,769 23,163,230 8.72%
June 30, 2017……………… 2,676,614 (2,014,864) 661,750 21,581,455 9.34%
Note: this schedule is intended to present information for 10 years.
Until a 10-year trend is compiled, information is presented for those years for which information is available.
See notes to required supplementary information.
SCHEDULE OF THE TOWN'S CONTRIBUTIONS
OTHER POSTEMPLOYMENT BENEFIT PLAN
Town of Cohasset, Massachusetts 86 Comprehensive Annual Financial Report
Annual money-weighted
rate of return,
Year net of investment expense
June 30, 2019…………………………… 5.01%
June 30, 2018…………………………… 7.67%
June 30, 2017…………………………… 10.20%
Note: this schedule is intended to present information for 10 years.
Until a 10-year trend is compiled, information is presented for those
years for which information is available.
See notes to required supplementary information.
SCHEDULE OF INVESTMENT RETURNS
OTHER POSTEMPLOYMENT BENEFIT PLAN
Town of Cohasset, Massachusetts 87 Comprehensive Annual Financial Report
Notes to Required Supplementary Information Year Ended June 30, 2019
Town of Cohasset, Massachusetts 88 Comprehensive Annual Financial Report
NOTE A – STEWARDSHIP, COMPLIANCE AND ACCOUNTABILITY
Notes to Required Supplementary Information
A. Budgetary Information
Municipal Law requires the adoption of a balanced budget that is approved by the Advisory Committee
(Committee). The Committee presents an annual budget to the Open Town Meeting, which includes estimates of
revenues and other financing sources and recommendations of expenditures and other financing uses. The
Town, which has full authority to amend and/or reject the budget or any line item, adopts the expenditure budget
by majority vote.
Increases or transfers between departments subsequent to the approval of the annual budget, requires majority
vote at a Special Town Meeting.
The majority of appropriations are non-continuing which lapse at the end of each year. Others are continuing
appropriations for which the governing body has authorized that an unspent balance from a prior year be carried
forward and made available for spending in the current year. These carry forwards are included as part of the
subsequent year’s original budget.
Generally, expenditures may not exceed the legal level of spending (departmental) authorized for an
appropriation account. However, the payment of debt service is statutorily required, regardless of whether such
amounts are appropriated. Additionally, expenditures for disasters, natural or otherwise, and final claims and
judgments may exceed the level of spending authorized by majority vote at a Special Town Meeting.
An annual budget is adopted for the general fund in conformity with the guidelines described above. The original
2019 approved budget authorized $47.1 million in appropriations and other amounts to be raised. During 2019,
$1.4 million of supplemental appropriations were approved primarily for transfers to stabilization and capital
project funds, as well as for a land purchase.
The Finance Director/Town Accountant’s office has the responsibility to ensure that budgetary control is
maintained. Budgetary control is exercised through the accounting system.
B. Budgetary - GAAP Reconciliation
For budgetary financial reporting purposes, the Uniform Municipal Accounting System basis of accounting
(established by the Commonwealth) is followed, which differs from the GAAP basis of accounting. A
reconciliation of budgetary-basis to GAAP-basis results for the general fund for the year ended June 30, 2019, is
presented below:
Net change in fund balance - budgetary basis ……………………………$ 67,204
Perspective differences:
Activity of the stabilization fund recorded in the
general fund for GAAP………………………………………………… 182,219
Basis of accounting differences:
Net change in recording 60 day receipts ……………………………… 188,885
Recognition of revenue for on-behalf payments……………………… 4,594,495
Recognition of expenditures for on-behalf payments………………… (4,594,495)
Net change in fund balance - GAAP basis …………………………………$ 438,308
Notes to Required Supplementary Information Year Ended June 30, 2019
Town of Cohasset, Massachusetts 89 Comprehensive Annual Financial Report
C. Appropriation Deficits
Expenditures exceeded appropriations for state and county assessments. State and county assessments are
based on state assessments which are not required to be raised.
NOTE B – PENSION PLAN
Pension Plan Schedules
A. Schedule of the Town’s Proportionate Share of the Net Pension Liability
The Schedule of the Town’s Proportionate Share of the Net Pension Liability details the allocated percentage of
the net pension liability (asset), the proportionate share of the net pension liability, and the covered employee
payroll. It also demonstrates the net position as a percentage of the pension liability and the net pension liability
as a percentage of covered payroll.
B. Schedule of Town’s Contributions
Governmental employers are required to pay an annual appropriation as established by PERAC. The
appropriation includes the amounts to pay the pension portion of each member’s retirement allowance, an amount
to amortize the actuarially determined unfunded liability to zero in accordance with the system’s funding schedule,
and additional appropriations in accordance with adopted early retirement incentive programs. The
appropriations are payable on July 1 and January 1. The Town may choose to pay the entire appropriation in July
at a discounted rate. Accordingly, actual contributions may be less than the “total appropriation”. The pension
fund appropriation is allocated to the Town based on covered payroll.
C. Schedule of the Special Funding Amounts of the Net Pension Liabilities
The Commonwealth of Massachusetts is a nonemployer contributor and is required by statute to make all
actuarially determined employer contributions on behalf of the member employers which creates a special funding
situation. Since the Town does not contribute directly to MTRS, there is no net pension liability to recognize. This
schedule discloses the Commonwealth's 100% share of the collective net pension liability that is associated with
the Town; the portion of the collective pension expense as both a revenue and pension expense recognized by
the Town; and the Plan's fiduciary net position as a percentage of the total liability.
D. Changes in Assumptions
None.
E. Changes in Plan Provisions
None.
NOTE C – OTHER POSTEMPLOYMENT BENEFITS
The Town administers a single-employer defined benefit healthcare plan (“the Plan”). The plan provides lifetime
healthcare for eligible retirees and their spouses through the Town’s health insurance plan, which covers both
active and retired members, including teachers.
Notes to Required Supplementary Information Year Ended June 30, 2019
Town of Cohasset, Massachusetts 90 Comprehensive Annual Financial Report
The Other Postemployment Benefit Plan
A. The Schedule of Changes in the Town’s Net Other Postemployment Benefit Liability and Related Ratios
The Schedule of Changes in the Town’s Net Other Postemployment Benefit Liability and Related Ratios presents
multi-year trend information on changes in the Plan’s total OPEB liability, changes in the Plan’s net position, and
ending net OPEB liability. It also demonstrates the Plan’s net position as a percentage of the total liability and the
Plan’s net other postemployment benefit liability as a percentage of covered-employee payroll.
B. Schedule of the Town’s Contributions
The Schedule of the Town’s Contributions includes the Town’s annual required contribution to the Plan, along
with the contribution made in relation to the actuarially determined contribution and the covered-employee payroll.
The Town is not required to fully fund this contribution. It also demonstrates the contributions as a percentage of
covered-employee payroll. Methods and assumptions used to determine contribution rates are as follows:
Valuation date…………………………… July 1, 2018.
Actuarial cost method…………………… Entry age normal.
Amortization method…………………… Increasing at 3.5% over 30 years on an open amortization period.
Asset valuation method………………… Market value.
Healthcare cost trend rate………………
8.00% for 2018, decreasing 0.50% per year to 5.50%, then grading
down to an ultimate trend rate of 3.90%, utilizing the Society of
Actuaries Getzen Medical Trend Model. The ultimate medical
inflation rate is reached in 2075.
Investment rate of return………………… 7.50% compounded annually, net of fees.
Discount rate……………………………
3.58% compounded annually, for the measurement as of June 30,
2019.
Municipal bond rate………………………
3.50%, based on the Bond Buyer 20-Bond Go Index published on
June 27, 2019.
Inflation rate……………………………… 2.6% per year, based on the 2019 Social Security Trustees Report.
Payroll growth…………………………… 3.50% per year.
Pre-retirement mortality - town…………
RP-2000 Employees Mortality Table, base year 2009, projected with
generational mortality improvement using scale BB.
Post-retirement mortality - town………
RP-2000 Healthy Annuitant Mortality Table, base year 2009, projected
with generational mortality improvement using scale BB.
Pre-retirement mortality - teachers……
RP-2014 White Collar Mortality Table, base year 2014, projected with
generational mortality improvement using scale MP-2016.
Post-retirement mortality - teachers……
RP-2014 White Collar Mortality Table, base year 2014, projected with
generational mortality improvement using scale MP-2016.
Notes to Required Supplementary Information Year Ended June 30, 2019
Town of Cohasset, Massachusetts 91 Comprehensive Annual Financial Report
C. Schedule of Investment Returns
The Schedule of Investment Returns includes the money-weighted investment return on the Plan’s other
postemployment assets, net of investment expenses.
D. Changes in Assumptions
The discount rate changed from 3.95% as of June 30, 2018 to 3.58% as of June 30, 2019. The health cost trend
rates, inflation assumption, and the teacher mortality table and improvement scale have been updated.
E. Changes in Plan Provisions
None.
Town of Cohasset, Massachusetts 92 Comprehensive Annual Financial Report
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Town of Cohasset, Massachusetts 93 Comprehensive Annual Financial Report
Combining and Individual Fund
Statements
Combining and Individual Fund Statements
Town of Cohasset, Massachusetts 94 Comprehensive Annual Financial Report
Nonmajor Governmental Funds
Nonmajor Governmental Funds
Special Revenue Funds
Special revenue funds are used to account for the proceeds of specific revenue sources (other than permanent
funds or capital project funds) that are restricted by law or administrative action to expenditures for specified
purposes. The Town’s special revenue funds are grouped into the following categories:
Town Grants – This fund accounts for all federal and state grants used for Town related projects and activities.
School Grants – This fund is used to account for all federal and state grants used for school related projects and
activities.
Receipts Reserved for Appropriation – This fund is used to account for receipts from a specific revenue source
that by law is accounted for separately from the general fund and must be spent by appropriation.
MCWT Septic Loan Program – This fund is used to account for the activities related to septic loans issued to
citizens, funded through the MCWT.
Town Revolving Funds – This fund accounts for various Town operations such as insurance recoveries, and the
law enforcement trust.
School Revolving Fund – This fund accounts for school activity, such as transportation receipts, athletic receipts
and tuition costs.
School Lunch – This fund is used to account for all cafeteria activities and is funded by user charges, federal and
state grants, and commodities received.
Community Preservation – This fund is used to account for the 1.5% local real estate tax surcharge on
nonexempt property (and matching state trust fund distribution) that can be used for open space, historic resource
and affordable housing purposes. Property exempt from the surcharge consists of the first $100,000 of all
residential property and also property owned by low income seniors with a low or moderate income as defined by
Massachusetts Department of Revenue (DOR) guidelines. Disbursements from this fund must originate from the
Community Preservation Committee and be approved by Town Meeting.
Gifts and Donations – This fund is used to account for the activities of donated funds.
Other Town Special Revenue Funds – This fund accounts for activities related to various Treasury bond
premiums.
Town of Cohasset, Massachusetts 95 Comprehensive Annual Financial Report
Capital Project Funds
Capital projects funds are used to account for the acquisition and construction of major capital facilities other than
those financed by proprietary funds and trust funds.
Chapter 90 – This fund accounts for roadway improvements for which expenditures are reimbursed 100% by the
Commonwealth.
Capital Projects Bonded – This fund is used to account for major Town and school capital acquisition and
construction projects. These projects will be funded through the issuance of long-term bonds and notes.
Capital Projects Non-Bonded – This fund is used to account for major Town and school capital acquisition and
construction projects. These projects will be funded through available funds.
Permanent Funds
Permanent funds are used to report resources that are legally restricted to the extent that only earnings, not
principal, may be used for purposes that support governmental programs.
Library Trust Fund – This fund accounts for all endowment funds managed by the Treasurer and the Cohasset
Library Trust, Inc., a blended component unit. The expendable portion of the endowment can only be spent to
support the Paul Pratt Memorial Library.
Other Trust Funds – These funds account for all contributions and bequests for which only earnings may be
expended to benefit the government.
Receipts MCWT Town
Town School Reserved For Septic Loan Revolving
Grants Grants Appropriation Program Funds
ASSETS
Cash and cash equivalents…………………………$ 630,539 $ 389,907 $ 1,091,760 $ 157,392 $ 940,372
Investments…………………………………………… - - - - -
Receivables, net of uncollectibles:
Tax liens……………………………………...…… - - - - -
Departmental and other………………………… - - - - -
Intergovernmental………………………………… - - - - -
Special assessments…………………………… - - 755,209 - -
TOTAL ASSETS………………………………………$ 630,539 $ 389,907 $ 1,846,969 $ 157,392 $ 940,372
LIABILITIES
Warrants payable…………………………………$ 6,715 $ 28,404 $ - $ - $ 28,676
Accrued payroll…………………………………… 2,006 - - - 29,812
Notes payable…………………………………… - - - 150,000 -
TOTAL LIABILITIES………………………………… 8,721 28,404 - 150,000 58,488
DEFERRED INFLOWS OF RESOURCES
Unavailable revenue……………………………… - - 755,209 - -
FUND BALANCES
Nonspendable…………………………………… - - - - -
Restricted………………………………………… 621,818 361,503 1,091,760 7,392 881,884
Unassigned………………………………………… - - - - -
TOTAL FUND BALANCES………………………… 621,818 361,503 1,091,760 7,392 881,884
TOTAL LIABILITIES, DEFERRED INFLOWS OF
RESOURCES, AND FUND BALANCES…………$ 630,539 $ 389,907 $ 1,846,969 $ 157,392 $ 940,372
NONMAJOR GOVERNMENTAL FUNDS
COMBINING BALANCE SHEET
JUNE 30, 2019
Special Revenue Funds
Town of Cohasset, Massachusetts 96 Comprehensive Annual Financial Report
School Other
Revolving School Community Gifts and Town Special
Funds Lunch Preservation Donations Revenue Funds Subtotal
$ 724,394 $ 250,748 $ 3,496,079 $ 551,920 $ 4,717 $ 8,237,828
- - - 609,423 - 609,423
- - 10,269 - - 10,269
- - 5,218 - - 5,218
- - - - - -
- - - - - 755,209
$ 724,394 $ 250,748 $ 3,511,566 $ 1,161,343 $ 4,717 $ 9,617,947
$ 8,814 $ 80 $ 537 $ 13,926 $ 900 $ 88,052
2,840 200 - 139 - 34,997
- - - - - 150,000
11,654 280 537 14,065 900 273,049
- - 15,725 - - 770,934
- - - - - -
712,740 250,468 3,495,304 1,147,278 3,817 8,573,964
- - - - - -
712,740 250,468 3,495,304 1,147,278 3,817 8,573,964
$ 724,394 $ 250,748 $ 3,511,566 $ 1,161,343 $ 4,717 $ 9,617,947
(Continued)
Special Revenue Funds
Town of Cohasset, Massachusetts 97 Comprehensive Annual Financial Report
Capital Projects Capital Projects
Chapter 90 Bonded Non-Bonded Subtotal
ASSETS
Cash and cash equivalents…………………………$ 544 $ 329,727 $ 661,792 $ 992,063
Investments…………………………………………… - - - -
Receivables, net of uncollectibles:
Tax liens……………………………………...…… - - - -
Departmental and other………………………… - - - -
Intergovernmental………………………………… 353,576 - - 353,576
Special assessments…………………………… - - - -
TOTAL ASSETS………………………………………$ 354,120 $ 329,727 $ 661,792 $ 1,345,639
LIABILITIES
Warrants payable…………………………………$ 3,601 $ - $ 4,002 $ 7,603
Accrued payroll…………………………………… - - - -
Notes payable…………………………………… - 1,079,400 - 1,079,400
TOTAL LIABILITIES………………………………… 3,601 1,079,400 4,002 1,087,003
DEFERRED INFLOWS OF RESOURCES
Unavailable revenue……………………………… 350,519 - - 350,519
FUND BALANCES
Nonspendable…………………………………… - - - -
Restricted………………………………………… - - 657,790 657,790
Unassigned………………………………………… - (749,673) - (749,673)
TOTAL FUND BALANCES………………………… - (749,673) 657,790 (91,883)
TOTAL LIABILITIES, DEFERRED INFLOWS OF
RESOURCES, AND FUND BALANCES…………$ 354,120 $ 329,727 $ 661,792 $ 1,345,639
Capital Project Funds
NONMAJOR GOVERNMENTAL FUNDS
COMBINING BALANCE SHEET
JUNE 30, 2019
Town of Cohasset, Massachusetts 98 Comprehensive Annual Financial Report
Total
Nonmajor
Library Other Governmental
Trust Fund Trust Funds Subtotal Funds
$ 54,413 $ 82,739 $ 137,152 $ 9,367,043
1,608,834 946,533 2,555,367 3,164,790
- - - 10,269
- - - 5,218
- - - 353,576
- - - 755,209
$ 1,663,247 $ 1,029,272 $ 2,692,519 $ 13,656,105
$- $ - $ - $ 95,655
- - - 34,997
- - - 1,229,400
- - - 1,360,052
- - - 1,121,453
234,614 207,911 442,525 442,525
1,428,633 821,361 2,249,994 11,481,748
- - - (749,673)
1,663,247 1,029,272 2,692,519 11,174,600
$ 1,663,247 $ 1,029,272 $ 2,692,519 $ 13,656,105
(Concluded)
Permanent Funds
Town of Cohasset, Massachusetts 99 Comprehensive Annual Financial Report
Receipts MCWT Town
Town School Reserved For Septic Loan Revolving
Grants Grants Appropriation Program Funds
REVENUES:
Charges for services………………………………………………… $ - $ - $ 700 $ - $ 842,005
Penalties and interest on taxes……………………………………… - - 681 - -
Intergovernmental…………………………………………………… 720,414 1,481,255 - - -
Departmental and other……………………………………………… - - 35,728 - 104,998
Community preservation state match……………………………… - - - - -
Special assessments………………………………………………… - - 116,447 - -
Contributions and donations………………………………………… - - - - -
Investment income…………………………………………………… - - - - -
TOTAL REVENUES……………………………………………… 720,414 1,481,255 153,556 - 947,003
EXPENDITURES:
Current:
Administrative services…………………………………………… 254,221 - 18,637 - 100,741
Public safety………………………………………………………… 193,778 - - - 42,321
Education…………………………………………………………… - 1,426,922 - - -
Public works………………………………………………………… 179,883 - - - 73,401
Health and welfare………………………………………………… 20,284 - - 14,940 9,025
Culture and recreation……………………………………………… 8,109 - - - 821,710
Community preservation…………………………………………… - - - - -
TOTAL EXPENDITURES……………………………………… 656,275 1,426,922 18,637 14,940 1,047,198
EXCESS (DEFICIENCY) OF REVENUES
OVER (UNDER) EXPENDITURES………………………………… 64,139 54,333 134,919 (14,940) (100,195)
OTHER FINANCING SOURCES (USES):
Transfers in…………………………………………………………… - - - - -
Transfers out…………………………………………………………… - - (140,337) - (8,391)
TOTAL OTHER FINANCING SOURCES (USES)…………… - - (140,337) - (8,391)
NET CHANGE IN FUND BALANCES………………………………… 64,139 54,333 (5,418) (14,940) (108,586)
FUND BALANCES AT BEGINNING OF YEAR…………………….. 557,679 307,170 1,097,178 22,332 990,470
FUND BALANCES AT END OF YEAR……………………………… $ 621,818 $ 361,503 $ 1,091,760 $ 7,392 $ 881,884
NONMAJOR GOVERNMENTAL FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES
YEAR ENDED JUNE 30, 2019
Special Revenue Funds
Town of Cohasset, Massachusetts 100 Comprehensive Annual Financial Report
School Other
Revolving School Community Gifts and Town Special
Funds Lunch Preservation Donations Revenue Funds Subtotal
$ 921,599 $ 414,090 $ - $ - $ - $ 2,178,394
- - 1,392 - - 2,073
- 64,756 94,648 - - 2,361,073
- - - - 5,075 145,801
- - 513,604 - - 513,604
- - - - - 116,447
10,328 - - 269,312 - 279,640
- - 48,632 48,259 - 96,891
931,927 478,846 658,276 317,571 5,075 5,693,923
- - - 104,381 - 477,980
- - - 30,086 - 266,185
739,186 440,196 - - - 2,606,304
- - - 860 - 254,144
- - - 5,256 5,150 54,655
- - - 108,773 - 938,592
- - 243,389 - - 243,389
739,186 440,196 243,389 249,356 5,150 4,841,249
192,741 38,650 414,887 68,215 (75) 852,674
- - - 60,115 - 60,115
- - (24,117) - - (172,845)
- - (24,117) 60,115 - (112,730)
192,741 38,650 390,770 128,330 (75) 739,944
519,999 211,818 3,104,534 1,018,948 3,892 7,834,020
$ 712,740 $ 250,468 $ 3,495,304 $ 1,147,278 $ 3,817 $ 8,573,964
(Continued)
Special Revenue Funds
Town of Cohasset, Massachusetts 101 Comprehensive Annual Financial Report
Capital Projects Capital Projects
Chapter 90 Bonded Non-Bonded Subtotal
REVENUES:
Charges for services………………………………………………… $ - $ - $ - $ -
Penalties and interest on taxes……………………………………… - - - -
Intergovernmental…………………………………………………… 81,321 - - 81,321
Departmental and other……………………………………………… - - - -
Community preservation state match……………………………… - - - -
Special assessments………………………………………………… - - - -
Contributions and donations………………………………………… - - - -
Investment income…………………………………………………… - - - -
TOTAL REVENUES……………………………………………… 81,321 - - 81,321
EXPENDITURES:
Current:
Administrative services…………………………………………… - 309,328 139,486 448,814
Public safety………………………………………………………… - - 755,719 755,719
Education…………………………………………………………… - - 356,184 356,184
Public works………………………………………………………… 81,321 - 842,838 924,159
Health and welfare………………………………………………… - 576 52,915 53,491
Culture and recreation……………………………………………… - - - -
Community preservation…………………………………………… - - - -
TOTAL EXPENDITURES……………………………………… 81,321 309,904 2,147,142 2,538,367
EXCESS (DEFICIENCY) OF REVENUES
OVER (UNDER) EXPENDITURES………………………………… - (309,904) (2,147,142) (2,457,046)
OTHER FINANCING SOURCES (USES):
Transfers in…………………………………………………………… - 16,000 1,712,935 1,728,935
Transfers out…………………………………………………………… - (180,000) (44,000) (224,000)
TOTAL OTHER FINANCING SOURCES (USES)…………… - (164,000) 1,668,935 1,504,935
NET CHANGE IN FUND BALANCES………………………………… - (473,904) (478,207) (952,111)
FUND BALANCES AT BEGINNING OF YEAR…………………….. - (275,769) 1,135,997 860,228
FUND BALANCES AT END OF YEAR……………………………… $ - $ (749,673) $ 657,790 $ (91,883)
Capital Project Funds
NONMAJOR GOVERNMENTAL FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES
YEAR ENDED JUNE 30, 2019
Town of Cohasset, Massachusetts 102 Comprehensive Annual Financial Report
Total
Nonmajor
Library Other Governmental
Trust Fund Trust Funds Subtotal Funds
$- $ - $ - $ 2,178,394
- - - 2,073
- - - 2,442,394
- - - 145,801
- - - 513,604
- - - 116,447
11,000 5,065 16,065 295,705
73,702 96,575 170,277 267,168
84,702 101,640 186,342 5,961,586
- 3,632 3,632 930,426
- - - 1,021,904
- - - 2,962,488
- - - 1,178,303
- - - 108,146
1,296 - 1,296 939,888
- - - 243,389
1,296 3,632 4,928 7,384,544
83,406 98,008 181,414 (1,422,958)
- - - 1,789,050
(60,115) - (60,115) (456,960)
(60,115) - (60,115) 1,332,090
23,291 98,008 121,299 (90,868)
1,639,956 931,264 2,571,220 11,265,468
$ 1,663,247 $ 1,029,272 $ 2,692,519 $ 11,174,600
(Concluded)
Permanent Funds
Town of Cohasset, Massachusetts 103 Comprehensive Annual Financial Report
Town of Cohasset, Massachusetts 104 Comprehensive Annual Financial Report
Agency Fund
Agency Fund
The Agency Fund is used to account for assets held in a purely custodial capacity. The Town’s agency fund
consists of off-duty work details, payroll withholdings, performance bonds, and fees collected on behalf of other
governments.
AGENCY FUND
STATEMENT OF CHANGES IN ASSETS AND LIABILITIES
YEAR ENDED JUNE 30, 2019
June 30, June 30,
2018 Additions Deletions 2019
CURRENT:
Cash and cash equivalents……………………..………$ 591,694 $ 1,573,740 $ (1,643,868) $ 521,566
Receivables, net of allowance for uncollectibles:
Departmental and other…………………………… 219,891 582,688 (406,374) 396,205
TOTAL ASSETS……………………………………………$ 811,585 $ 2,156,428 $ (2,050,242) $ 917,771
Warrants payable……………………………………… $ 399,474 $ 418,042 $ (399,474) $ 418,042
Liabilities due depositors……………………………… 226,624 406,443 (274,991) 358,076
Other liabilities…………………………………………… 185,487 583,781 (627,615) 141,653
TOTAL LIABILITIES……………………………………… $ 811,585 $ 1,408,266 $ (1,302,080) $ 917,771
ASSETS
LIABILITIES
Town of Cohasset, Massachusetts 105 Comprehensive Annual Financial Report
Town of Cohasset, Massachusetts 106 Comprehensive Annual Financial Report
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Statistical Section
Town of Cohasset, Massachusetts 107 Comprehensive Annual Financial Report
Statistical Section
This part of the Town of Cohasset’s comprehensive annual financial report presents detailed information as a
context for understanding what the information in the financial statements, note disclosures, and required
supplementary information says about the Town’s overall financial health.
Financial Trends
These schedules contain trend information to help the reader understand how the Town’s financial
performance and well-being have changed over time.
Revenue Capacity
These schedules contain information to help the reader assess the Town’s most significant local revenue
source, the property tax.
Debt Capacity
These schedules present information to help the reader assess the affordability of the Town’s current
levels of outstanding debt and the Town’s ability to issue additional debt in the future.
Demographic and Economic Information
These schedules offer demographic and economic indicators to help the reader understand the
environment within which the Town’s financial activities take place.
Operating Information
These schedules contain service and infrastructure data to help the reader understand how the
information in the Town’s financial report relates to the services the Town provides and the activities it
performs.
SOURCES: Unless otherwise noted, the information in these schedules is derived from the Town’s financial
reports for the relevant year.
Statistical Section
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019Governmental activitiesNet investment in capital assets………………………$ 51,634,686 $ 52,393,141 $ 45,256,816 $ 45,149,347 $ 45,942,136 $ 46,801,586 $ 48,845,082 $ 50,120,485 $ 49,209,259 $ 51,546,419 Restricted……………………………………………… 5,582,944 6,107,623 4,904,201 5,941,619 6,742,197 6,995,791 7,488,345 7,805,611 7,938,855 8,638,617 Unrestricted…………………………………………… 1,356,625 (867,326) 2,963,690 2,578,655 (13,865,740) (13,575,380) (15,146,493) (44,300,699) (43,451,867) (48,222,093) Total governmental activities net position………………$ 58,574,255 $ 57,633,438 $ 53,124,707 $ 53,669,621 $ 38,818,593 $ 40,221,997 $ 41,186,934 $ 13,625,397 $ 13,696,247 $ 11,962,943 Business-type activitiesNet investment in capital assets………………………$ 18,013,611 $ 30,478,145 $ 23,986,222 $ 23,598,624 $ 24,552,663 $ 25,773,697 $ 26,675,077 $ 27,744,000 $ 28,848,754 $ 30,410,288 Unrestricted…………………………………………… 2,446,486 1,593,511 13,812,098 14,040,400 13,279,974 13,128,471 13,304,136 13,125,184 13,339,419 12,589,867 Total business-type activities net position………………$ 20,460,097 $ 32,071,656 $ 37,798,320 $ 37,639,024 $ 37,832,637 $ 38,902,168 $ 39,979,213 $ 40,869,184 $ 42,188,173 $ 43,000,155 Primary governmentNet investment in capital assets………………………$ 69,648,297 $ 82,871,286 $ 69,243,038 $ 68,747,971 $ 70,494,799 $ 72,575,283 $ 75,520,159 $ 77,864,485 $ 78,058,013 $ 81,956,707 Restricted……………………………………………… 5,582,944 6,107,623 4,904,201 5,941,619 6,742,197 6,995,791 7,488,345 7,805,611 7,938,855 8,638,617 Unrestricted…………………………………………… 3,803,111 726,185 16,775,788 16,619,055 (585,766) (446,909) (1,842,357) (31,175,515) (30,112,448) (35,632,226) Total primary government net position………………… $79,034,352 $ 89,705,094 $ 90,923,027 $ 91,308,645 $ 76,651,230 $ 79,124,165 $ 81,166,147 $ 54,494,581 $ 55,884,420 $ 54,963,098 The Town implemented GASB 68 in fiscal year 2015 and revised the fiscal year 2014 balance to reflect the net pension liability recorded for the first time.The Town implemented GASB 75 in fiscal year 2018 and revised the fiscal year 2017 balance to reflect the net OPEB liability recorded for the first time.Net Position By ComponentLast Ten YearsTown of Cohasset, Massachusetts108Comprehensive Annual Financial Report
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
Expenses
Governmental activities:
Administration……………………………………………… $ 2,996,631 $ 3,194,742 $ 3,664,574 $ 3,447,387 $ 3,680,617 $ 3,997,974 $ 4,487,473 $ 4,413,663 $ 4,573,270 $ 5,242,598
Public safety………………………………………………… 6,078,695 6,622,695 6,643,418 6,455,507 6,623,281 6,991,258 7,738,244 7,609,256 8,527,016 9,608,463
Education…………………………………………………… 24,660,716 25,743,937 26,247,926 27,666,185 28,305,008 27,464,152 29,217,508 31,221,840 32,995,136 35,137,381
Public works………………………………………………… 3,319,593 3,740,913 3,014,490 3,378,422 3,476,400 4,136,781 4,251,519 4,788,976 4,579,940 5,263,972
Health and human services………………………………… 534,902 537,404 582,648 1,924,232 743,217 735,795 863,580 847,136 811,904 947,288
Culture and recreation……………………………………… 1,573,707 1,125,988 1,542,483 1,543,186 1,582,372 1,673,178 2,062,098 2,260,471 2,252,810 2,321,582
Community preservation…………………………………… - - 46,183 161,798 438,778 271,225 259,568 41,527 255,886 243,389
Interest……………………………………………………… 902,237 921,343 1,244,644 1,146,440 966,501 810,989 643,741 594,413 505,479 372,204
Total governmental activities expenses……………………… 40,066,481 41,887,022 42,986,366 45,723,157 45,816,174 46,081,352 49,523,731 51,777,282 54,501,441 59,136,877
Business-type activities:
Sewer………………………………………………………… 3,247,261 4,165,164 2,810,623 2,741,823 2,379,793 2,315,178 2,466,017 2,218,405 2,134,032 2,627,933
Water………………………………………………………… 4,058,435 4,339,973 3,937,565 3,796,075 3,553,676 3,447,642 3,584,724 3,473,117 3,453,070 3,616,818
Total business-type activity expenses………………………… 7,305,696 8,505,137 6,748,188 6,537,898 5,933,469 5,762,820 6,050,741 5,691,522 5,587,102 6,244,751
Total primary government expenses…………………………$ 47,372,177 $ 50,392,159 $ 49,734,554 $ 52,261,055 $ 51,749,643 $ 51,844,172 $ 55,574,472 $ 57,468,804 $ 60,088,543 $ 65,381,628
Program Revenues
Governmental activities:
Charges for services:
Administration…………………………………………… $326,584 $ 360,593 $ 495,669 $ 570,288 $ 594,218 $ 685,031 $ 572,046 $ 552,000 $ 591,117 $ 473,419
Public safety charges for services……………………… 1,123,285 1,147,747 878,441 954,524 1,034,736 1,058,895 1,293,966 1,071,160 1,070,473 1,105,008
Education charges for services………………………… 1,111,911 1,145,164 975,482 1,064,381 1,090,505 1,129,365 1,143,391 1,072,356 1,131,422 1,348,914
Public works charges for services……………………… 338,641 178,356 238,427 314,016 303,932 292,558 276,478 249,587 272,253 293,889
Health and human Services……………………………… 16,103 21,499 46,623 44,208 37,433 32,907 25,905 21,025 25,569 50,609
Culture and recreation…………………………………… 306,237 332,205 77,414 15,219 20,849 10,000 20,030 14,164 319,224 277,984
Operating grants and contributions………………………… 7,839,025 6,417,307 7,713,034 9,315,471 8,814,016 7,583,649 8,817,175 10,318,668 10,140,592 10,775,829
Capital grants and contributions…………………………… 470,782 662,105 928,013 517,534 470,004 695,888 328,686 689,367 442,734 464,453
Total government activities program revenues...…………… 11,532,568 10,264,976 11,353,103 12,795,641 12,365,693 11,488,293 12,477,677 13,988,327 13,993,384 14,790,105
Business-type activities:
Charges for services:
Sewer……………………………………………………… 938,375 1,684,014 2,175,548 1,936,177 1,840,085 1,807,723 1,819,131 1,728,175 2,011,705 1,831,897
Water……………………………………………………… 3,994,707 4,732,701 5,102,955 4,562,181 4,507,575 5,143,208 5,385,579 5,089,666 5,119,996 5,045,770
Capital grants and contributions…………………………… 772,599 13,875,299 222,911 37,676 4,152 - - 12,300 - -
Total business-type activities program revenues...………… 5,705,681 20,292,014 7,501,414 6,536,034 6,351,812 6,950,931 7,204,710 6,830,141 7,131,701 6,877,667
Total primary government program revenues………………$ 17,238,249 $ 30,556,990 $ 18,854,517 $ 19,331,675 $ 18,717,505 $ 18,439,224 $ 19,682,387 $ 20,818,468 $ 21,125,085 $ 21,667,772
Net (Expense)/Revenue
Governmental activities………………………………………$ (28,533,913) $ (31,622,046) $ (31,633,263) $ (32,927,516) $ (33,450,481) $ (34,593,059) $ (37,046,054) $ (37,788,955) $ (40,508,057) $ (44,346,772)
Business-type activities……………………………………… (1,600,015) 11,786,877 753,226 (1,864) 418,343 1,188,111 1,153,969 1,138,619 1,544,599 632,916
Total primary government net expense………………………$ (30,133,928) $ (19,835,169) $ (30,880,037) $ (32,929,380) $ (33,032,138) $ (33,404,948) $ (35,892,085) $ (36,650,336) $ (38,963,458) $ (43,713,856)
General Revenues and other Changes in Net Position
Governmental activities:
Real estate, personal property taxes and tax liens,
net of tax refunds payable………………………………$ 27,205,991 $ 28,117,764 $ 29,542,428 $ 30,668,230 $ 31,786,548 $ 33,093,668 $ 34,635,305 $ 35,883,703 $ 37,184,773 $ 38,591,651
Motor vehicle and other excise taxes…………………… 1,083,885 1,115,676 1,162,053 1,299,064 1,396,984 1,539,272 1,556,866 1,832,408 1,872,697 1,975,254
Community preservation tax…………….…………..…… 289,045 364,940 388,279 402,419 416,990 436,967 454,855 480,755 498,257 516,781
Penalties and interest on taxes…………………….…… 199,216 118,155 206,230 243,820 189,395 166,014 280,132 135,455 136,889 164,731
Grants and contributions not restricted to
specific programs……………………………………… 478,507 531,931 507,739 441,823 445,448 457,801 490,188 578,281 513,968 549,025
Unrestricted investment income………………………… 289,538 353,846 109,608 239,803 426,962 147,933 392,935 464,935 165,440 816,026
Transfers…………………………………………………… (1,430,634) (729,614) (172,726) 177,271 152,423 154,808 200,710 199,567 206,883 -
Total governmental activities………………………………… 28,115,548 29,872,698 31,743,611 33,472,430 34,814,750 35,996,463 38,010,991 39,575,104 40,578,907 42,613,468
Business-type activities:
Unrestricted investment income (loss)………………… - - 6,862 19,839 39,862 36,228 123,786 25,083 (18,727) 179,066
Transfers…………………………………………………… 1,430,634 729,614 172,726 (177,271) (152,423) (154,808) (200,710) (199,567) (206,883) -
Total business-type activities………………………………… 1,430,634 729,614 179,588 (157,432) (112,561) (118,580) (76,924) (174,484) (225,610) 179,066
Total primary government……………………………………$ 29,546,182 $ 30,602,312 $ 31,923,199 $ 33,314,998 $ 34,702,189 $ 35,877,883 $ 37,934,067 $ 39,400,620 $ 40,353,297 $ 42,792,534
Changes in Net Position
Governmental activities……………………………………… $ (418,365) $ (1,749,348) $ 110,348 $ 544,914 $ 1,364,269 $ 1,403,404 $ 964,937 $ 1,786,149 $ 70,850 $ (1,733,304)
Business-type activities……………………………………… (169,381) 12,516,491 932,814 (159,296) 305,782 1,069,531 1,077,045 964,135 1,318,989 811,982
Total primary government…………………………………… $ (587,746) $ 10,767,143 $ 1,043,162 $ 385,618 $ 1,670,051 $ 2,472,935 $ 2,041,982 $ 2,750,284 $ 1,389,839 $ (921,322)
Last Ten Years
Changes in Net Position
Town of Cohasset, Massachusetts 109 Comprehensive Annual Financial Report
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019General FundReserved………………………………$ 635,676 $ - $ - $ - $ - $ - $ - $ - $ - $ - Unreserved…………………………… 328,674 - - - - - - - - - Committed……………………………… - - 563,210 481,523 481,240 471,938 381,282 417,445 500,653 557,948 Assigned……………………………… - 261,659 100,724 177,296 161,245 351,097 274,535 410,837 322,503 201,701 Unassigned…………………………… - 1,654,551 2,194,199 3,080,514 4,640,534 5,195,715 6,036,011 6,687,417 7,635,277 8,137,092 Total general fund……………………… $ 964,350 $ 1,916,210 $ 2,858,133 $ 3,739,333 $ 5,283,019 $ 6,018,750 $ 6,691,828 $ 7,515,699 $ 8,458,433 $ 8,896,741 All Other Governmental FundsUnreserved, reported in:Special revenue funds………………$ 4,447,470 $ - $ - $ - $ - $ - $ - $ - $ - $ - Capital projects funds……………… 1,547,657 - - - - - - - - - Permanent funds…………………… 602,861 - - - - - - - - - Nonspendable………………………… - 223,414 223,414 223,414 424,735 424,735 425,885 442,525 442,525 442,525 Restricted……………………………… - 7,091,227 6,121,494 7,777,139 8,224,501 9,133,351 10,374,792 10,690,303 11,098,712 11,481,748 Unassigned…………………………… - (216,907) - - - - - - (275,769) (749,673) Total all other governmental funds…. $ 6,597,988 $ 7,097,734 $ 6,344,908 $ 8,000,553 $ 8,649,236 $ 9,558,086 $ 10,800,677 $ 11,132,828 $ 11,265,468 $ 11,174,600 The Town implemented GASB 54 in year 2011, fund balances prior to year 2011 have been reported in the pre-GASB 54 format.Last Ten YearsFund Balances, Governmental FundsTown of Cohasset, Massachusetts110Comprehensive Annual Financial Report
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019Revenues:Real estate, personal property taxes and tax liens, net of tax refunds……………………………………………$ 26,911,817 $ 28,288,869 $ 29,566,547 $ 30,728,408 $ 31,740,271 $ 33,054,033 $ 34,705,407 $ 35,703,170 $ 37,347,489 $ 38,728,934 Motor vehicle and other excise taxes……………………… 1,013,543 1,141,926 1,145,219 1,323,667 1,423,062 1,561,442 1,545,914 1,835,268 1,874,827 1,955,662 Licenses, permits, and fees………………………………… 478,108 543,407 1,286,403 1,572,712 1,588,933 1,628,690 1,812,251 1,510,733 1,643,210 1,574,407 Penalties and interest on taxes……………………………… 199,216 118,155 206,230 243,820 189,395 166,014 280,132 135,455 144,450 171,678 Fines and Fees………………………………………………… 66,214 41,603 26,240 36,648 52,336 36,523 35,719 25,226 20,530 21,102 Charges for services………………………………………… - - 975,618 1,065,228 1,091,101 1,090,181 1,135,036 1,067,252 2,076,193 2,178,394 Intergovernmental……………………………………………… 6,815,415 7,283,379 8,276,896 7,869,826 9,043,567 7,644,901 9,015,361 10,273,585 10,567,985 11,215,997 Departmental and other……………………………………… 3,401,009 2,541,449 1,097,591 624,797 685,874 849,262 740,897 797,096 511,587 345,773 Community preservation taxes……………………………… 289,045 364,940 386,736 406,634 416,852 430,473 457,336 473,928 500,038 513,604 Contributions…………………………………………………… 1,231,690 327,964 685,050 1,199,670 712,636 811,760 1,106,298 1,142,682 426,001 295,705 Special assessments………………………………………… - - 543,308 528,928 588,606 554,695 500,308 458,721 441,835 473,711 Investment income…………………………………………… 289,538 353,846 101,859 239,803 426,962 147,933 392,935 464,935 188,887 864,658 Total revenue…………………………………………………… 40,695,595 41,005,538 44,297,697 45,840,141 47,959,595 47,975,907 51,727,594 53,888,051 55,743,032 58,339,625 Expenditures: Administrative services……………………………………… 2,371,786 2,233,776 2,928,984 2,752,661 2,872,276 3,094,345 3,560,252 4,892,650 3,963,898 4,246,037 Public safety…………………………………………………… 4,674,695 4,584,957 4,423,141 4,676,241 4,980,413 4,908,286 5,127,862 5,181,879 5,596,858 6,531,036 Education……………………………………………………… 17,614,538 17,678,808 17,790,989 18,395,033 18,736,662 20,039,676 20,372,298 21,111,579 21,808,213 22,619,354 Public works…………………………………………………… 2,432,446 3,144,958 2,274,672 2,239,202 2,737,423 3,289,689 3,902,865 4,139,697 3,656,643 4,433,497 Health and welfare…………………………………………… 361,930 384,277 477,299 1,788,316 602,257 579,058 1,634,611 644,356 584,294 648,816 Culture and recreation………………………………………… 2,121,394 903,198 1,130,054 1,159,141 1,189,344 1,244,446 1,588,856 1,723,623 1,734,291 1,691,446 Pension benefits……………………………………………… 4,154,230 4,577,048 4,432,165 4,819,457 4,943,764 3,611,380 4,859,456 6,159,043 6,729,841 7,101,244 Employee benefits…………………………………………… 2,891,482 2,777,999 3,570,122 4,022,985 4,191,000 4,366,746 5,792,801 6,035,065 6,233,635 6,548,658 Community preservation……………………………………… 278,054 295,713 207,144 161,798 438,778 271,225 259,568 41,527 255,886 243,389 State and county charges…………………………………… 1,036,228 988,613 973,754 922,630 937,872 1,015,079 418,365 401,673 431,545 527,772 Debt service Principal……………………………………………………… 1,838,109 2,034,985 3,264,323 2,925,391 3,303,933 3,219,630 3,223,085 3,373,347 3,345,448 2,991,290 Interest……………………………………………………… 1,015,231 921,343 1,152,362 1,332,712 985,927 846,574 705,104 622,298 533,989 409,646 Total expenditures…………………………………………… 40,790,123 40,525,675 42,625,009 45,195,567 45,919,649 46,486,134 51,445,123 54,326,737 54,874,541 57,992,185 Excess (deficiency) of revenues over (under) expenditures……………………………………… (94,528) 479,863 1,672,688 644,574 2,039,946 1,489,773 282,471 (438,686) 868,491 347,440 Other financing sources (uses): Premium from issuance of bonds…………………………… - - 7,749 - - - - - - - Issuance of long-term debt…………………………………… 1,349,196 - - 1,715,000 - - 1,208,000 1,417,000 - - Issuance of refunding bonds………………………………… - - 9,039,000 696,450 - - 193,500 166,800 - - Premium from issuance of refunding bonds………………… - - 1,063,518 41,802 - - - - - - Payment to refunded bond escrow agent…………………… - - (9,973,238) (738,252) - - (203,216) (188,659) - - Payments of current refunded debt………………………… - - (200,000) - - - - - - - Transfers in…………………………………………………… 487,366 632,099 1,726,682 809,333 890,222 1,483,532 2,340,343 1,293,927 1,294,428 2,005,895 Transfers out…………………………………………………… (1,918,000) (1,361,713) (1,899,408) (632,062) (737,799) (1,328,724) (2,139,633) (1,094,360) (1,087,545) (2,005,895) Total other financing sources (uses)…………………………… (81,438) (729,614) (235,697) 1,892,271 152,423 154,808 1,398,994 1,594,708 206,883 - Net change in fund balance…………………………………… $ (175,966) $ (249,751) $ 1,436,991 $ 2,536,845 $ 2,192,369 $ 1,644,581 $ 1,681,465 $ 1,156,022 $ 1,075,374 $ 347,440 Debt service as a percentage of noncapital expenditures…… 7.41% 7.48% 11.04% 9.55% 9.99% 8.88% 8.09% 7.78% 7.29% 6.16%Note: Charges for services were reported as departmental revenue prior to FY2012.Last Ten YearsChanges in Fund Balances, Governmental FundsTown of Cohasset, Massachusetts111Comprehensive Annual Financial Report
Assessed and Actual Values and Tax Rates
Personal Total Commercial Total
Residential Residential Commercial Industrial Property Commercial Commercial % of Town
Year Value Tax Rate Value Value Value Value Tax Rate Total Value Value
2010 $2,265,856,922 $11.22 $144,324,020 $9,809,100 $18,749,710 $172,882,830 $11.22 7.1% $2,438,739,752
2011 $2,260,416,269 $11.59 $147,290,135 $10,439,000 $22,156,220 $179,885,355 $11.59 7.4% $2,440,301,624
2012 $2,289,907,980 $11.98 $152,768,381 $468,500 $22,610,360 $175,847,241 $11.98 7.1% $2,465,755,221
2013 $2,344,387,276 $12.20 $153,133,804 $526,500 $23,478,670 $177,138,974 $12.20 7.0% $2,521,526,250
2014 $2,364,598,033 $12.54 $153,369,768 $526,500 $23,783,160 $177,679,428 $12.54 7.0% $2,542,277,461
2015 $2,423,560,624 $12.71 $165,225,922 $1,070,900 $23,639,620 $189,936,442 $12.71 7.3% $2,613,497,066
2016 $2,485,772,774 $12.88 $164,369,961 $1,070,900 $24,387,410 $189,828,271 $12.88 7.1% $2,675,601,045
2017 $2,564,462,219 $13.06 $163,904,671 $1,070,900 $25,930,820 $190,906,391 $13.06 6.9% $2,755,368,610
2018 $2,722,764,935 $12.79 $177,299,433 $1,650,400 $26,099,500 $205,049,333 $12.79 7.0% $2,927,814,268
2019 $2,791,853,248 $12.90 $182,778,344 $1,650,400 $27,033,840 $211,462,584 $12.90 7.0% $3,003,315,832
Source: Assessor's Department, Town of Cohasset and Official Statements.
All property in the Commonwealth of Massachusetts is assessed at 100% of fair cash value.
Note: Chapter 59, Section 21C of the Massachusetts General Laws, known as "Proposition 2 1/2", imposes 2 separate limits on the
annual tax levy of the Town. The primary limitation is that the tax levy cannot exceed 2 1/2 percent of the full and fair cash value.
The secondary limitation is that the tax levy cannot exceed the maximum levy limit for the preceding year as determined by
the State Commissioner of Revenue by more than 2 1/2 percent, subject to an exception for property added to the tax rolls and
for certain substantial valuation increases other than as part of a general revaluation. The secondary limit may be exceeded in any
year by a majority vote of the voters, however it cannot exceed the primary limitation.
Assessed Value and Actual Value of Taxable Property by Classification and Tax Rates
Last Ten Years
93%
6%0%1%
Total Assessed Value by Classification
Year Ended June 30, 2019
Residential Commercial Industrial Personal Property
93%
6%0%1%
Total Assessed Value by Classification
Year Ended June 30, 2018
Residential Commercial Industrial Personal Property
6.7%
6.8%
6.9%
7.0%
7.1%
7.2%
7.3%
7.4%
7.5%
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
Commercial Value as % of Total Value
Town of Cohasset, Massachusetts 112 Comprehensive Annual Financial Report
Principal Taxpayers Current Year and Nine Years AgoPercentage of Percentage ofTotal Taxable Total TaxableNature of Assessed Assessed Assessed AssessedName BusinessValuation RankValueValuation RankValueAvalon Cohasset Inc. Residential 51,684,000$ 1 1.72% -$ -Minot International Residential 18,070,200 2 0.60% 7,078,900 10 0.29%Cushing Station LLC Retail 16,424,000 3 0.55% - -Roy, Peter A Residential 12,322,100 4 0.41% 9,663,200 5 0.40%Hingham Lumber Company Inc. Retail 10,165,700 5 0.34% 8,237,500 7 0.34%Connell Cohasset Greenbush LLC Retail/Residential 9,976,700 6 0.33% - -Greaney, David & Katherine Residential 9,900,200 7 0.33% - -Roy, Mary L Residential 9,120,800 8 0.30% 7,244,700 9 0.30%Chute, Ruth Residential 8,849,700 9 0.29% - -ESS Bristol Cohasset LLC Commercial 8,252,600 10 0.27% - -Cedarmere Road Limited Residential - - 13,556,500 1 0.56%Staszko, Donald Retail/Residential - - 11,547,700 2 0.47%CSDV Limited Partnership Retail - - 10,964,900 3 0.45%Whitehead Road Limited Residential - - 10,553,900 4 0.43%Cohasset Golf Club Recreation - - 8,646,013 6 0.35%Metropolitan/Cohasset Senior Living Assisted Living - - 7,539,600 8 0.31%Totals154,766,000$ 5.15% 95,032,913$ 3.90%Source: Official Statements, Town of Cohasset2019 2010Town of Cohasset, Massachusetts113Comprehensive Annual Financial Report
Percent ofLess First Year Percent of Delinquent Total Total TaxTotal Abatements & Net Net as % Current Net Levy Tax Tax Collections toYear Tax Levy Exemptions Tax Levy of Total Tax Collections Collected Collections Collections Net Tax Levy2010 $27,362,660 $193,471 $27,169,189 99.29% $26,682,972 98.21% $471,009 $27,153,981 99.94%2011 $28,284,096 $137,105 $28,146,991 99.52% $27,767,687 98.65% $379,126 $28,146,813 100.00%2012 $29,539,748 $158,733 $29,381,015 99.46% $28,827,046 98.11% $304,413 $29,131,459 99.15%2013 $30,762,620 $145,021 $30,617,599 99.53% $30,225,220 98.72% $151,290 $30,376,510 99.21%2014 $31,880,160 $192,772 $31,687,388 99.40% $31,155,908 98.32% $461,911 $31,617,819 99.78%2015 $33,217,548 $141,026 $33,076,522 99.58% $32,545,881 98.40% $562,914 $32,545,881 98.40%2016 $34,461,741 $118,371 $34,343,370 99.66% $33,666,964 98.03% $197,598 $33,864,562 98.61%2017 $35,985,114 $119,374 $35,865,740 99.67% $35,430,892 98.79% $184,549 $35,615,441 99.30%2018 $37,446,745 $196,841 $37,249,904 99.47% $36,858,032 98.95% $277,729 $37,135,761 99.69%2019 $38,742,774 $229,325 $38,513,449 99.41% $38,019,987 98.72% $0 $38,019,987 98.72% Source: Assessor's Department and Official Statements, Town of CohassetProperty Tax Levies and CollectionsLast Ten Years$0$5,000,000$10,000,000$15,000,000$20,000,000$25,000,000$30,000,000$35,000,000$40,000,0002010 2011 2012 2013 2014 2015 2016 2017 2018 2019Real Estate Tax Levies vs. First Year CollectionsLast Ten YearsReal Estate Tax LevyFirst Year Current Tax CollectionsTown of Cohasset, Massachusetts114Comprehensive Annual Financial Report
General Less Net General Percentage Percentage Percentage PercentageU. S. Census Personal Assessed Obligation Amounts Obligation Capital Per of Personal of Assessed Per of Personal of AssessedYear Population Income Value Bonds Available (2) Bonds Leases Capita Income Value Capita Income Value2010 7,542 436,131,000$ 2,438,739,752$ $21,134,078 ($852,516) $20,281,562 $0 $2,802 4.85% 0.87% 2,689$ 4.65% 0.83%2011 7,846 528,494,000$ 2,440,301,624$ $18,784,897 ($791,622) $17,993,275 $0 $2,394 3.55% 0.77% 2,293$ 3.40% 0.74%2012 7,490 539,280,000$ 2,465,755,221$ $28,375,584 ($730,728) $27,644,856 $0 $3,788 5.26% 1.15% 3,691$ 5.13% 1.12%2013 7,895 629,121,000$ 2,521,526,250$ $28,043,018 ($669,834) $27,373,184 $0 $3,552 4.46% 1.11% 3,467$ 4.35% 1.09%2014 7,870 655,067,320$ 2,542,277,461$ $24,587,105 ($608,940) $23,978,165 $0 $3,124 3.75% 0.97% 3,047$ 3.66% 0.94%2015 8,084 672,879,824$ 2,613,497,066$ $21,223,504 ($548,047) $20,675,457 $0 $2,590 3.15% 0.81% 2,558$ 3.07% 0.79%2016 8,273 796,681,627$ 2,675,601,045$ $19,087,807 ($487,153) $18,600,654 $181,803 $2,307 2.40% 0.71% 2,270$ 2.36% 0.70%2017 8,342 739,699,000$ 2,755,368,610$ $17,007,742 ($426,258) $16,581,484 $148,204 $2,039 2.30% 0.62% 2,005$ 2.26% 0.61%2018 8,393 901,460,000$ 2,927,814,268$ $13,561,667 ($365,364) $13,196,303 $113,278 $1,616 1.50% 0.46% 1,586$ 1.48% 0.45%2019 7,765 894,287,285$ 3,003,315,832$ $10,485,134 ($304,470) $10,180,664 $76,972 $1,350 1.17% 0.35% 1,321$ 1.15% 0.34%Business-TypeActivities (1)General Total Net Percentage Percentage Percentage PercentageObligation Capital Debt Debt Per of Personal of Assessed Per of Personal of AssessedYear Bonds Leases Outstanding Outstanding Capita Income Value Capita Income Value2010 63,506,979$ $0 $84,641,057 $83,788,541 $11,223 19.41% 3.47% $11,110 19.21% 3.44%2011 60,953,569$ $0 $79,738,466 $78,946,844 $10,163 15.09% 3.27% $10,062 14.94% 3.24%2012 45,681,585$ $0 $74,057,169 $73,326,441 $9,887 13.73% 3.00% $9,790 13.60% 2.97%2013 46,185,305$ $0 $74,228,323 $73,558,489 $9,402 11.80% 2.94% $9,317 11.69% 2.92%2014 43,504,411$ $0 $68,091,516 $67,482,576 $8,652 10.39% 2.68% $8,575 10.30% 2.65%2015 40,590,132$ $0 $61,813,636 $61,265,589 $7,543 9.19% 2.37% $7,476 9.10% 2.34%2016 38,386,037$ $0 $57,473,844 $56,986,691 $6,947 7.21% 2.15% $6,888 7.15% 2.13%2017 36,321,177$ $0 $53,328,919 $52,902,661 $6,393 7.21% 1.94% $6,342 7.15% 1.92%2018 33,378,948$ $0 $46,940,615 $46,575,251 $5,593 5.21% 1.60% $5,549 5.17% 1.59%2019 30,568,749$ $0 $41,053,883 $40,749,413 $5,287 4.59% 1.37% $5,248 4.56% 1.36%(1) Water and Sewer Funds(2) Amounts available are restricted resources from the Massachusetts School Building Administration.Source: Audited Financial Statements, U. S. Census, Division of Local ServicesTotal Debt Outstanding Net Debt OutstandingRatios of Outstanding Debt and General Bonded DebtLast Ten YearsGovernmental ActivitiesGeneral Obligation Bonds Net General Obligation BondsTotal Primary GovernmentTown of Cohasset, Massachusetts115Comprehensive Annual Financial Report
Share of
Debt Percentage Overlapping
Town of Cohasset, Massachusetts Outstanding Applicable Debt
Overlapping debt repaid with property taxes:
Norfolk County………………………………………………… $13,710,000 (a) 2.02% $ 124,303
Massachusetts Bay Transportation Authority……………… 5,728,840 (a) 0.11% 184,956
South Shore Regional Vocational School District…………… 460,000 (a) 0.72% 4,766
Subtotal, overlapping debt……………………………………………………………………………………………… 314,025
Town debt……………………………………………………………………………………………………………… 10,485,134
Town capital leases…………………………………………………………………………………………………… 76,972
Total Town direct debt………………………………………………………………………………………………… 10,562,106
Total direct and overlapping debt………………………………………………………………………………………$ 10,876,131
(a) Outstanding debt as of June 30, 2018
Source: Official Statement
Town of Cohasset, Massachusetts
Direct and Overlapping Governmental Activities Debt
As of June 30, 2019
Note: Overlapping governments are those that coincide, at least in part, with geographic boundaries of the Town. This schedule
estimates the portion of the outstanding debt of those overlapping governments that is borne by the taxpayers of the Town. This
process recognizes that, when considering the government's ability to issue and repay long-term debt, the entire debt burden
borne by the property taxpayers should be taken into account. However, this does not imply that every taxpayer is a resident,
and therefore responsible for repaying the debt, of each overlapping government. The overlap of Norfolk county is set by the
Commonwealth based on property valuations and for the School District the overlap represents the Town's students
proportionate share compared to all students.
Town of Cohasset, Massachusetts 116 Comprehensive Annual Financial Report
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019Equalized Valuation……………………………$ 2,438,739,752 $ 2,440,301,624 $ 2,465,755,221 $ 2,521,526,250 $ 2,542,277,461 $ 2,613,497,066 $ 2,675,601,045 $ 2,755,368,610 $ 2,927,814,268 $ 3,003,315,832 Debt Limit -5% of Equalized Valuation………$ 121,936,988 $ 122,015,081 $ 123,287,761 $ 126,076,313 $ 127,113,873 $ 130,674,853 $ 133,780,052 $ 137,768,431 $ 146,390,713 $ 150,165,792 Less: Outstanding debt applicable to limit………… 62,821,695 59,198,694 55,258,487 57,170,731 52,775,014 54,516,104 45,619,522 43,184,437 38,479,423 34,275,981 Legal debt margin…………………………$ 59,115,293 $ 62,816,387 $ 68,029,274 $ 68,905,582 $ 74,338,859 $ 76,158,749 $ 88,160,530 $ 94,583,994 $ 107,911,290 $ 115,889,811 Total debt applicable to the limit as a percentage of the limit………………… 51.52% 48.52% 44.82% 45.35% 41.52% 41.72% 34.10% 31.35% 26.29% 22.83%Source: Treasurer's Department, Town of CohassetLast Ten YearsComputation of Legal Debt MarginTown of Cohasset, Massachusetts117Comprehensive Annual Financial Report
PerCapitaPopulation Personal Personal Median School UnemploymentYear Estimates Income Income Age Enrollment Rate2010 7,542 436,131,000$ 57,827$ 44 1,496 5.90%2011 7,846 528,494,000$ 67,358$ 44 1,535 5.00%2012 7,490 539,280,000$ 72,000$ 44 1,530 5.00%2013 7,895 629,121,000$ 83,416$ 44 1,594 4.50%2014 7,870 655,067,320$ 83,236$ 44 1,632 4.50%2015 8,084 672,879,824$ 83,236$ 44 1,614 4.00%2016 8,273 796,681,627$ 96,299$ 44 1,637 3.40%2017 8,342 739,699,000$ 89,411$ 44 1,593 2.10%2018 8,393 901,460,000$ 108,063$ 44 1,582 3.00%2019 7,765 894,287,285$ 115,169$ 44 1,557 2.70%Source: U. S. Census, Division of Local ServicesMedian age is based on most recent census dataDemographic and Economic StatisticsLast Ten YearsTown of Cohasset, Massachusetts118Comprehensive Annual Financial Report
Nature Percentage of Percentage ofof Total Town Total TownEmployer Business Employees Rank Employment Employees Rank EmploymentShaw's Grocery Store 141 1 3.47% 130 2 3.73%Super Stop & Shop Grocery Store 120 2 2.95% 167 1 4.79%South Shore Music Circus Seasonal Entertainment 100 3 2.46% 72 5 2.06%Hingham Lumber Building Supplies 96 4 2.36% 75 4 2.15%Cohasset Hospitality Partners Inn/Restaurant 95 5 2.34% 80 3 2.29%Harborview Center for Nursing Rehab Rehabilitation Hospital 87 6 2.14% - - -Sunrise Assisted Living Facility 70 7 1.72% 60 7 1.72%Coldwell Banker Bank 37 8 0.91% - - -Buttonwood Books & Toys Book and Toy Store 36 9 0.89% - - -Pilgrim Bank Bank 35 10 0.86% - - -Golden Living Center Rehabilitation Hospital - - - 65 6 1.86%Cohasset Harbor Restaurant Motel/Restaurant - - - 25 8 0.72%817 20.10% 674 19.33%(1) Only eight principal employers were available for 2010.Source: Massachusetts Workplace Development Agency & the Town's personnel and department records.Principal EmployersCurrent Year and Nine Years Ago2019 2010 (1)Town of Cohasset, Massachusetts119Comprehensive Annual Financial Report
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
Function
Administration………………… 20 21 21 24 22 22 23 22 22 22
Police…………………………… 109 112 87 89 102 96 100 50 50 51
Fire……………………………… 27 27 35 36 35 33 31 50 50 50
Education……………………… 336 332 334 337 345 313 363 359 359 359
Sewer…………………………… 1 1 1 1 1 1 1 1 1 1
Public works…………………… 26 27 25 25 25 27 34 29 29 29
Human services………………… 11 10 13 14 12 12 9 10 10 10
Culture and recreation………… 43 53 68 69 74 75 118 130 130 130
Total …………………………… 573 583 584 595 616 579 679 651 651 652
Source: Town personnel records and various Town departments.
Last Ten Years
Full-time Equivalent Town Employees by Function
Town of Cohasset, Massachusetts 120 Comprehensive Annual Financial Report
Function/Program2010 2011 2012 2013 2014 2015 2016 2017 2018 2019AdministrationPopulation……………………………………………… 7,874 7,846 7,490 7,895 7,870 8,064 8,225 8,018 8,393 7,765 Registered voters, annual town election…………… 5,239 5,398 5,424 5,814 5,679 5,675 5,857 5,973 5,780 5,872 Town Clerk Births………………………………………………… 70 58 65 49 61 73 69 76 92 76 Marriages…………………………………………… 27 29 35 27 23 35 33 35 22 23 Deaths……………………………………………… 60 77 67 87 73 88 67 77 85 67 Police Accidents covered by an officer…………………….… 155 133 140 160 158 165 180 165 171 155 Citations issued………………………………………… 1,825 2,401 1,739 928 1,571 1,133 1,428 1,104 1,230 753 Arrests…………………………………………………… 104 113 115 151 167 141 163 131 121 75 Larcenies………………………………….…………… 73 89 80 56 76 87 82 75 68 60 Fire Total Reponses……………………………………… 2,108 2,086 2,218 2,154 1,418 2,357 2,080 2,376 1,966 2,039 Fire related calls……………………………………… 45 71 70 48 59 77 84 93 78 30 EMS/Rescue related calls………………………….. 937 930 953 1,001 715 1,019 984 944 909 809 Building Department Building permits issued……………………………… 301 407 304 388 398 421 501 472 397 445Education Public school enrollment……………………………… 1,496 1,535 1,530 1,594 1,632 1,614 1,637 1,593 1,582 1,557 Public Works Cemetery Interments…………………………………………… 28 42 33 28 38 37 43 37 48 39 Water Service connections………………………...……… 2,467 2,492 2,512 2,567 2,571 2,580 2,611 2,638 2,654 2,658 Consumption in billions of gallons………………… 0.281 0.305 0.269 0.272 0.268 0.275 0.290 0.284 0.276 0.295Daily consumption in millions of gallons………… 0.771 0.836 0.736 0.745 0.734 0.754 0.794 0.778 0.756 0.809Sewer Service connections………………………...……… 1,134 1,274 1,385 1,538 1,559 1,562 1,593 1,610 1,616 1,632 Daily average collection (MGD)…………………… 0.223 0.2393 0.224 0.277 .274 .279 .299 .319 .336 .289HighwayMiles of public road………………………………… 33.50 33.50 33.50 33.50 33.50 33.50 33.50 33.50 33.50 33.50 Human ServicesBoard of Health Permits/Septic……………………………………… 31 26 21 17 29 32 35 25 26 25 Council on AgingHome delivered meals……………………………… 2,302 3,470 3,630 2,936 3,607 3,613 3,029 3,258 4,061 4,219 Transportation……………………………………… 4,209 4,510 5,031 4,369 3,024 3,699 3,864 4,210 3,555 4,548 Volunteer service hours…………………………… 8,304 9,235 7,752 7,755 10,697 8,558 7,650 6,913 5,322 5,687 Fitness/exercise program participants…………… 212 172 301 319 219 255 297 190 310 447 Recreation/social event participants……………… 1,013 1,137 1,057 1,148 265 360 412 475 481 621 Libraries Volumes in collection………………………………… 64,924 70,364 68,404 67,396 222,020 220,014 220,014 127,853 93,475 95,523 Circulation…………………………………..………… 139,221 149,224 152,773 157,437 155,411 155,974 158,433 150,188 129,056 140,573 Program attendance…………………………………… 6,314 7,067 8,454 9,683 10,636 10,675 12,899 12,458 10,462 12,193 Source: Various Town Departmentsn/a: Information not availableLast Ten YearsOperating Indicators by Function/ProgramTown of Cohasset, Massachusetts121Comprehensive Annual Financial Report
Function/Program2010 2011 2012 2013 2014 2015 2016 2017 2018 2019AdministrationNumber of buildings…………….……… 1 1 1 1 1 1 1 1 1 1 PoliceNumber of stations……………………… 1 1 1 1 1 1 1 1 1 1 FireNumber of stations……………………… 1 1 1 1 1 1 1 1 1 1 Number of vehicles……………………… 10 10 10 10 10 10 10 10 10 10 EducationNumber of elementary schools………… 2 2 2 2 2 2 2 2 2 2 Number of middle schools……………… 1 1 1 1 1 1 1 1 1 1 Number of high schools………………… 1 1 1 1 1 1 1 1 1 1 Public WorksWater mains (miles)……………………… 46 46 46 46 46 46 46 46 46 46 Fire hydrants……………………………… 496 496 496 496 496 496 496 496 496 496 Sanitary sewers (miles)………………… 33 33 33 33 33 33 33 33 33 33 Number of wells………………………… 1 1 1 1 1 1 1 1 1 1 Number of water storage tanks………… 2 2 2 2 2 2 2 2 2 2 Number of pump stations……………… 9 9 9 9 9 9 9 9 9 9 Human ServicesSenior center……………………………… - - - - - - 1 1 1 1 Culture and RecreationRecreation building……………………… 1 1 1 1 1 1 1 1 1 1 Library…………………………………… 1 1 1 1 1 1 1 1 1 1 Source: Various Town Departments Last Ten YearsCapital Asset Statistics by Function/ProgramTown of Cohasset, Massachusetts122Comprehensive Annual Financial Report