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Property insurance coverage above the annual retention provides for up to 100% replacement cost, limited to $500,000,000
per occurrence. In Fiscal Year 2016, the City contributed $50,000 to the Property Deductible Fund. At June 30, 2016
following distribution of net earnings to individual accounts for respective members, the fund held deposits of $602,981
payable to the City of Greensboro for payment of future claims.
The City has the right to withdraw its contributions in the Revolving Fund – Primary Liability Coverage, the Self-Retention
Fund, the Excess Liability Fund and the Revolving Fund – Employers, Liability/Workers’ Compensation of the Local
Government Excess Liability Fund, Inc. and the Local Government Property Insurance Deductible Fund, Inc. when all claims
against the Funds have been settled and all legal obligations have been paid for each claims year.
3. Reconciliation of Claims Liability
Changes in the City’s claims liability balance during Fiscal Years 2016 and 2015 are as follows:
Employee
General
Risk
Risk
Total
Total
Retention
Retention
2015-16
2014-15
Balance-July 1
8,339,725
$
4,031,666
$
12,371,391
$
11,704,980
$
Add: Incurred Claims (including)
IBNR's and Changes in Estimates
42,077,803
4,871,244
46,949,047
38,627,906
Deduct: Claims Payments
(40,789,136)
(1,445,952)
(42,235,088)
(37,961,495)
Balance - June 30
9,628,392
$
7,456,958
$
17,085,350
$
12,371,391
$
B. Subsequent Events
The City has evaluated subsequent events through October 31, 2016 in connection with the preparation of these financial
statements, which is the date the financial statements were available to be issued.
On August 1, 2016, City Council authorized the placement of four general obligation bond issues for voter approval on the
November 8, 2016 referendum ballot, as follows:
$ 25,000,000
38,500,000
34,500,000
28,000,000
Total
$ 126,000,000
Housing Bonds
Community and Economic Development Bonds
Parks and Recreation Bonds
Transportation Bonds
On August 16, 2016, City Council authorized up to $72.5 million in General Obligation Refunding Bonds to refinance a $50
million Bond Anticipation Note and two General Obligation Bonds issued in 2006 and 2008. Bonds in the amount of $62.59
million were issued on October 20, 2016. The bonds were rated AAA, Aaa, and AAA by Fitch Ratings, Moody’s Investors
Service, and S & P Global, respectively.
On October 21, City Council voted to approve a settlement of all claims in a certain police matter. The amount to be paid by
the City is $3,153,333 with an additional $3,266,667 to be paid by Genesis Insurance Company. An expense and accrued
liability of 3,160,333, including the mediation fee, has been recorded in the City’s General Risk Retention Fund, as of June
30, 2016.