Fiscal Year 2021 ACFR (PDF)

Exactly as extracted, unformatted — for checking against the original. The readable version is easier to read.

QUEEN ANNE'S COUNTY, MARYLAND
ANNUAL COMPREHENSIVE FINANCIAL REPORT
FISCAL YEAR ENDED JUNE 30, 2021
TABLE OF CONTENTS
Page(s)
INTRODUCTORY SECTION
Letter of Transmittal 1-5
Certificate of Achievement for Excellence in Financial Reporting 7
Organization Chart 8
Certain Elected and Other Officials 9
FINANCIAL SECTION
Independent Auditor's Report 11-13
Management's Discussion and Analysis (required supplementary information) 15-30
BASIC FINANCIAL STATEMENTS 31
Government-Wide Financial Statements
Statement of Net Position 32-33
Statement of Activities 34-35
Governmental Fund Financial Statements
Balance Sheet 36
Reconciliation of the Balance Sheet of Governmental Funds
to the Statement of Net Position 37
Statement of Revenues, Expenditures and Changes in Fund Balances 38
Reconciliation of the Statement of Revenues, Expenditures, and Changes in Fund
Balances of Governmental Funds to the Statement of Activities 39
Enterprise Fund Financial Statements
Statement of Net Position 40-41
Statement of Revenues, Expenses, and Changes in Net Position 42-43
Statement of Cash Flows 44-45
Fiduciary Fund Statements
Statement of Fiduciary Net Position 46
Statement of Changes in Fiduciary Net Position 47
Notes to Financial Statements 49-121
REQUIRED SUPPLEMENTARY INFORMATION 123
Maryland State Retirement and Pensions Systems
Schedule of the Proportionate Share of the Net Pension Liability 124
Schedule of Contributions 124
Actuarial Assumptions - Pension Plan 125
Other Post-Employment Benefits (OPEB) Trust
Schedule of Changes in the Net OPEB Liability 126
Schedule of Actual Employer Contribution as a Percentage of Covered-Employee Payroll 127
Actuarial Assumptions - OPEB Plan 127
Length of Service Awards Program (LOSAP)
Schedule of Changes in the Net LOSAP Liability 128
Notes to the Required Supplemental Information (LOSAP) 129
Budgetary Comparisons for General Fund 129
General Fund
Schedule of Revenues, Expenditures and Changes in Fund
Balances - Budget and Actual 130-132

QUEEN ANNE'S COUNTY, MARYLAND
ANNUAL COMPREHENSIVE FINANCIAL REPORT
FISCAL YEAR ENDED JUNE 30, 2021
TABLE OF CONTENTS (CONTINUED)
Page(s)
FINANCIAL SECTION (CONTINUED)
COMBINING AND INDIVIDUAL FUND STATEMENTS AND SCHEDULES
(OTHER SUPPLEMENTARY INFORMATION) 134
Non-Major Governmental Funds 135-137
Combining Balance Sheet 138-140
Combining Statement of Revenues, Expenditures, and Changes in Fund Balances 142-144
Schedule of Revenues, Expenditures, and Changes in Fund Balances -
Budgetary Basis 146-153
Non-Major Enterprise Funds 155-156
Combining Statement of Net Position 157
Combining Statement of Revenues, Expenses, and Changes in Net Position 158
Combining Statement of Cash Flows 159
Fiduciary Funds 160-161
Other Post-Employment Benefit Trust Fund
Combining Statement of Fiduciary Net Position 162
Combining Statement of Changes in Fiduciary Net Position 163
Custodial Funds
Statement of Fiduciary Net Position 164
Statement of Changes in Fiduciary Net Position 165
Community Partnerships for Children Special Revenue Fund 166
Combining Balance Sheets - By Grantor 167
Schedule of Revenues, Expenditures, and Changes in Fund Balances -
By Community Partnership Agreements (CPA) and
Non-Community Partnership Agreements (Non-CPA) 168-170
Schedule of Revenues, Expenditures, and Changes in Fund Balances -
Budgetary Basis 172-173
STATISTICAL SECTION (UNAUDITED) 175
Table
1 Net Position by Component - Government-Wide 176-177
2a Changes in Net Position - Government-Wide 178-181
2b General Tax Revenues - Governmental Activities 182
3 Fund Balances - Governmental Funds 183
4 Changes in Fund Balances - Governmental Funds 184-185
5 Assessed Value of Taxable and Exempt Property 187
6a Real Property Tax Rates - County Direct Rate 188
6b Real Property Tax Rates - County Special Taxing Districts 189
6c Real Property Tax Rates - Overlapping Governments - Towns 190-191
7 Ten Highest Commercial Property Taxpayers 192
8 Property Tax Levies and Collections 193
9 Ratios of Outstanding Debt by Type 194
10 Ratios of General Bonded Debt Outstanding 195
11 Computation of Net Direct and Overlapping Debt 197
12a Computation of Legal Debt Margin 198-199
12b Computation of Local Debt Limit 200-201
13 Principal Employers 202
14 Demographic Statistics 203
15 County Government Employees - Full-Time Equivalents 204
16 County Government Employees - Full-Time Only by Function 205
17 Operating Indicators by Function 206
18 Capital Asset Statistics by Function 207

Introductory Section

Queen O F F I C E O F B U D G E T AND FINANCE
The Liberty Building
Anne’s
107 North Liberty Street
Centreville, Maryland 21617
County
Telephone: (410) 758-4064
Fax: (410) 758-3036
County Commissioners:
James J. Moran, At Large
County Administrator: Todd R. Mohn
J ack N. Wilson Jr., District 1
Director, Budget & Finance: Nichole L. Hepfer
S tephen Wilson, District 2
Chief Treasury Officer: Jeffrey A. Rank
Philip L. Dumenil, District 3
Christopher M. Corchiarino, District 4
February 19, 2022
The Board of County Commissioners and
The Citizens of Queen Anne’s County, Maryland
FORMAL TRANSMITTAL OF THE ANNUAL COMPREHENSIVE FINANCIAL REPORT (ACFR)
State law requires that all general-purpose governments publish a complete set of financial statements presented in conformity
with accounting principles generally accepted in the United States of America (GAAP) and audited in accordance with auditing
standards generally accepted in the United States of America by a firm of licensed certified public accountants. Pursuant to that
requirement, we hereby issue the annual comprehensive financial report of Queen Anne’s County, Maryland for the fiscal year
ended June 30, 2021.
This report consists of management’s representations concerning the finances of Queen Anne’s County. Consequently,
management assumes full responsibility for the completeness and reliability of all of the information presented in the report. To
provide a reasonable basis for making these representations, the management of Queen Anne’s County has established a
comprehensive internal control framework that is designed both to protect the government’s assets from loss, theft, or misuse
and to compile sufficient reliable information for the preparation of Queen Anne’s County’s financial statements in conformity
with Generally Accepted Accounting Principles (GAAP). Because the cost of internal controls should not outweigh their
benefits, Queen Anne’s County’s comprehensive framework of internal controls has been designed to provide a reasonable,
rather than absolute, assurance that the financial statements will be free from material misstatement. As management, we assert
that, to the best of our knowledge and belief, this financial report is complete and reliable in all material respects.
Queen Anne’s County’s financial statements have been audited by UHY LLP, a firm of licensed certified public accountants.
The goal of the independent audit is to provide reasonable assurance that the financial statements of Queen Anne’s County, for
the fiscal year ended June 30, 2021, are free of material misstatement. The independent audit involves 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 Queen
Anne’s County’s financial statements for the fiscal year ended June 30, 2021, are fairly presented in conformity with GAAP.
The independent auditors’ report is presented as the first component of the financial section of this report.
The independent audit of the financial statements of Queen Anne’s County is part of a broader, federally mandated, “Single
Audit” designed to meet the special needs of federal grantor agencies. The standards governing Single Audit engagements
require the auditor to report not only on the fair presentation of the financial statements, but also on the audited government’s
internal controls and compliance with legal requirements, with special emphasis on internal controls and legal requirements
involving the administration of federal awards. These reports are available in Queen Anne’s County’s separately issued Single
Audit report.
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GAAP requires that management provide a narrative introduction, overview, and analysis, entitled Management’s
Discussion and Analysis (MD&A). This letter of transmittal is designed to complement the MD&A and should be
read in conjunction with it. Queen Anne’s County’s MD&A can be found immediately following the report of the
independent auditor.
PROFILE OF THE GOVERNMENT
Queen Anne’s County is situated on the Eastern Shore of Maryland. It is bordered to the north by Kent County, to
the east by the State of Delaware, to the south by Caroline and Talbot counties, and to the west by the Chesapeake
Bay. Access to the Western Shore of Maryland is provided by the Chesapeake Bay Bridge. The County is 373
square miles in area and has approximately 52,177 citizens. The County seat is located in Centreville. The County
Commissioners of Queen Anne’s County are empowered to levy a property tax on both real and personal properties
located within its boundaries.
Queen Anne’s County was formed in 1706 and is governed by a five-member Board of County Commissioners.
County code provides that one Commissioner be elected purely at large; the remaining four Commissioners must
reside in specific districts, but are elected at large. The Commissioners operate under Maryland’s Code Home Rule
form of government. Both the executive and legislative functions of the County are vested with the Board of County
Commissioners.
Queen Anne’s County provides a full range of services including public safety (police, volunteer fire protection,
emergency services, detention center, and animal control), highways and streets, solid waste, planning and zoning,
economic development, culture and recreation, education, libraries, and general administrative services. In
conjunction with the State, the County also operates services related to general community health and social services.
In addition, the County operates a water and wastewater utility, an airport, a golf course, and public landings and
marinas.
BUDGETARY CONTROLS
The annual budget serves as the foundation for the County’s financial and budgetary controls to ensure compliance
with legal provisions embodied in the annual appropriation resolution approved by the County Commissioners. The
County budget is comprised of the budget message, current revenue and expense budgets and the capital budget and
capital program. Activities of the general fund, certain special revenue funds, and the enterprise funds are included in
the current budget.
The current operating budget includes appropriations for the full range of basic services. These services include
county administration, public safety, education, public works, community services, parks, debt and other agencies.
The capital budget includes funds to construct major governmental facilities such as the Detention Center renovation,
roads, schools, and water and sewer infrastructure. Capital projects usually take more than a year to complete, unlike
the operating budget which covers only a year.
The budget process begins each Fall when the County departments receive budget preparation instructions for the
capital budget which is then followed by instructions for the operating budget. The budget preparation is directed by
the Director of Budget and Finance. After a thorough review of the departmental requests, a County Administrator’s
proposed budget is submitted to the County Commissioners in March. The County Commissioners then conduct a
series of public hearings and work sessions to review the proposed budget. After its review, the County
Commissioners finalize the budget and set tax rates, fees and charges needed to generate enough revenue to balance
the budget. The budget must be adopted by the County Commissioners on or before the last day of the month of the
fiscal year currently ending, although the Commissioners typically adopt the budget at the end of May.
The Office of Budget and Finance is responsible for budgetary control. The appropriated budgets are prepared at the
fund, function (e.g., public safety), and department (e.g., Detention Center) level. Expenditures/expenses may not
legally exceed appropriations, based on the level at which they were adopted. For the General Fund, annual
expenditure budgets are legally adopted at the departmental level. For all other Governmental Funds, for which
annual budgets are adopted, expenditure budgets are legally adopted at the fund level. Budgets for the General Capital
Projects Fund and the Roads Capital Projects Fund reflect multi-year appropriations at the individual project level.
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Department Heads may make transfers of appropriations within a department of up to $10,000 with the approval of
the County Administrator. Transfers of appropriations or appropriation of new revenues in excess of $10,000 require
the approval of the County Commissioners. Budget to actual comparisons are provided in this report for individual
governmental funds for which an appropriated annual budget has been adopted. The budget comparisons for the
General Fund are presented as part of the Required Supplementary Information portion of this report. For non-major
funds with appropriated annual budgets, budget to actual comparisons are presented in the Supplementary
Information subsection of this report.
ECONOMIC OUTLOOK AND CONDITION
The information presented in the financial statements is perhaps best understood when it is considered from the
broader perspective of the specific environment within which Queen Anne’s County operates.
The unemployment rate for Queen Anne’s County is typically below the state and national averages, as shown in the
chart below. The June 2021 rate for the County was 5.2%, compared to the state’s rate of 6.7% and the U.S.’s rate of
5.9%. The fiscal year 2021 average rate for the County was 5.0%. The decrease in the unemployment rate for fiscal
year 2021 was the result of recovery from the COVID pandemic.
LOCAL ECONOMY
The local employment base is somewhat limited and centers on several stable manufacturers, as well as the
agriculture, maritime, construction, retail, leisure, and hospitality industries. The three largest employers are
governmental units, including the County, the Board of Education, and Chesapeake College. There is a small, but
growing, base of specialty manufacturers. In addition, the County’s proximity to the Western Shore enables about
60% of the workforce to commute to locations outside the County, primarily to higher paying jobs in the Baltimore
and Washington areas.
Property, income, recordation, and transfer tax revenue all increased when comparing current year to prior year for
governmental funds. Property taxes increased in fiscal year 2021 by 4.3% to $74.8 million due to an increase in
assessable base. Local income tax is the County’s other main revenue source. Income tax collections increased by
10.5% in fiscal year 2021, from $61.5 million in fiscal year 2020 to $68.0 million in fiscal year 2021 as a result of
increased employment, capital gains and wages.
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Recordation tax improved in fiscal year 2021 with an increase of 73.1% over fiscal year 2020, from $6.3 million in
fiscal year 2020 to $11.0 million in fiscal year 2021. In addition to an increase in recordation tax revenue, the transfer
tax revenue also increased in fiscal year 2021 by 75.2%, from $2.3 million in fiscal year 2020 to $4.0 million in fiscal
year 2021. Both the recordation and transfer tax revenue increases are a result of the strong housing market resulting
from high demand and low interest rates.
LONG TERM FINANCIAL PLANNING
Rainy Day Fund – Ordinance No. 12-21 was adopted in January 2013 for the purpose of establishing and
maintaining a Rainy Day Fund for contingencies of an emergency nature; requiring annual reports on such fund
balance; providing for the appropriation of such funds to meet emergency needs; and requiring surplus revenues be
used to maintain the Rainy Day Fund at a set minimum amount. Beginning in fiscal year 2017, County Ordinance
No. 16-24 changed the minimum amount of the rainy day fund to 8% (previously 7%) of the following year’s
budgeted general fund operating revenues, as recommended by the Spending Affordability Committee. The County
funded the Rainy Day Fund with the required amount of $12,194,588 in fiscal year 2021.
Revenue Stabilization Fund (Previously “Special Fund”) – Resolution No. 14-05 was adopted in March 2014 for the
purpose of establishing and maintaining a Special Fund to set aside certain general funds of the County for certain
unanticipated projects, initiatives, and other one-time expenses. Resolution No. 16-99 was adopted in December 2016
for the purpose of renaming the “Special Fund” to the Revenue Stabilization Fund and revising the maximum amount
of such fund. The maximum amount of the Revenue Stabilization Fund shall not exceed 5% of budgeted general fund
operating revenues and the transfer to the General Fund shall only be made after the requirements of the Rainy Day
Fund have been met. The County funded the Revenue Stabilization Fund with $623,362 in fiscal year 2021. The
current balance of the Revenue Stabilization Fund is $7,621,618.
Spending Affordability Committee – Ordinance No. 15-11 was adopted in November 2015 for the purpose of
establishing a committee to provide recommendations and projections for the upcoming budget year. Specifically, the
Committee is charged to review in detail the status and projections of revenues and expenditures for the County for
the next budget year and subsequent five years; to review future County revenue levels and consider the impact of
economic factors such as changes in personal income and assessable base growth; and to review future expenditure
levels with consideration of County long-term obligations and any pressure for growth in costs.
The Committee’s recommendations help determine general expenditure guidelines based on projected revenue, and
the amount of new County debt authorization for the upcoming fiscal year. The Committee recommends policy
changes primarily regarding budgeting, debt, and fund balance. This Committee also assesses the County’s ability to
repay bond debt, determines debt capacity using several debt measures, and provides general guidance regarding
future capital budgets.
Capital Projects - The County Commissioners’ six-year capital program, starting with fiscal year 2022, prioritizes
capital expenditures over these years to meet the County’s needs. The six-year program totals $238.4 million and
includes: $60.5 million for various school related projects (includes $35.0 million for the Centreville Middle School
and $17.0 million for the Central Office); $39.5 million for various Sanitary District projects (includes the Southern
Kent Island Sewer Service at $25.8 million); $33.1 million for Roads Board capital projects (includes $12.6 million
for asphalt overlays); $30.8 million for the Detention Center (almost entirely for the Detention Center renovation);
$20.6 million for Administration and General Services (includes $5.6 million for Historic Courthouse); $16.6 million
for Parks; $10.3 million for the Bay Bridge Airport; and $9.2 million for the Department of Emergency Services;
FINANCIAL POLICIES
Bond Ratings - The financial policies and management practices of Queen Anne’s County were recognized by three
major rating agencies. Fitch Rating Service issued a AAA bond rating, Moody’s issued a rating of Aa1, and Standard
& Poor’s also issued a AAA rating.
Debt Management Policy – In calendar year 2013, the County adopted Resolution 13-04, which revised the
County’s Local Debt Policy. In accordance with this policy, the Director of Budget and Finance, is responsible for
following certain procedures to ensure that debt limits established by the Policy are not exceeded. A key element of
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Government Finance Officers Association
Certificate of
Achievement
for Excellence
in Financial
Reporting
Presented to
Queen Anne's County
Maryland
For its Annual Comprehensive
Financial Report
For the Fiscal Year Ended
June 30, 2020
Executive Director/CEO
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QUEEN ANNE’S COUNTY, MARYLAND
GOVERNMENTAL ORGANIZATION
CERTAIN ELECTED AND OTHER OFFICIALS
AS OF JUNE 30, 2021
CERTAIN ELECTED OFFICIALS
County Commissioners James J. Moran, At Large
Jack N. Wilson, Jr., District 1
Stephen Wilson, District 2
Philip L. Dumenil, District 3
Christopher M. Corchiarino, District 4
State’s Attorney Lance G. Richardson, Esq.
Sheriff Raymond G. Hofmann
CERTAIN DEPARTMENT HEADS AND OTHER OFFICIALS
County Administrator Todd R. Mohn
Director of Public Works Alan Quimby, P.E.
Director of Planning and Zoning Amy Moredock
Director of Community Services Catherine R. Willis
Director of Budget and Finance Nichole Hepfer
Director of IT Brian Riley
Chief Treasury Officer Jeffrey Rank
County Attorney Patrick E. Thompson, Esq.
Independent Auditor Bond Counsel Financial Advisor
UHY LLP* McKennon, Shelton Davenport & Company LLC
Certified Public Accountants & Henn, LLP Towson, Maryland
Salisbury, Maryland Baltimore, Maryland
*Effective January 1st, 2022 TGM Group, LLC merged with UHY LLP
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INDEPENDENT AUDITORS’ REPORT
County Commissioners of
Queen Anne’s County
Centreville, Maryland
Report on the Financial Statements
We have audited the accompanying financial statements of the governmental activities, the
business-type activities, the aggregate discretely presented component units, each major fund,
and the aggregate remaining fund information of Queen Anne’s County, Maryland (the “County”)
as of and for the year ended June 30, 2021, and the related notes to the financial statements,
which collectively comprise the County’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
did not audit the component unit financial statements of the Queen Anne’s County Board of
Education (the “Board”) or the Queen Anne’s County Free Library (the “Library”). Those
statements were audited by other auditors whose report has been furnished to us, and our
opinion, insofar as it relates to the amounts included for the Board and Library, is based solely
upon the reports of the other auditors. 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.
An Independent Member of Urbach Hacker Young International Limited
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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, based on our audit and the reports of the other auditors, the financial statements
referred to above present fairly, in all material respects, the respective financial position of the
governmental activities, the business-type activities, the aggregate discretely presented
component units, each major fund, and the aggregate remaining fund information of Queen
Anne’s County, Maryland, as of June 30, 2021, 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.
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 and other auditors 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 County’s basic financial statements. The introductory section, other
supplementary information, and statistical section, as listed in the table of contents, are
presented for purposes of additional analysis and are not a required part of the basic financial
statements.
The other supplementary information is the responsibility of management and was derived from
and relates 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 other supplementary information
is fairly stated in all material respects in relation to the basic financial statements as a whole.
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The introductory and statistical sections have not been subjected to the auditing procedures
applied in the audit of the basic financial statements and, accordingly, we do not express an
opinion or provide any assurance on them.
Other Reporting Required by Government Auditing Standards
In accordance with Government Auditing Standards, we have also issued our report dated
February 18, 2022, on our consideration of the County’s internal control over financial reporting
and on our tests of its compliance with certain provisions of laws, regulations, contracts, and
grant agreements and other matters. The purpose of that report is to describe the scope of our
testing of internal control over financial reporting and compliance and the results of that testing,
and not to provide an opinion on the effectiveness of the County’s 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 County’s internal control over financial
reporting and compliance.
Salisbury, Maryland
February 18, 2022
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Management’s Discussion and Analysis
Introduction
This section of the Annual Comprehensive Financial Report of Queen Anne’s County, Maryland (the County)
presents a narrative overview and analysis of the financial activities of Queen Anne’s County Government for
the fiscal year ended June 30, 2021. We encourage readers to consider the discussion and analysis along with
the other information in this report, including the transmittal letter, basic financial statements, and the notes to
the financial statements.
Overview of the Financial Statements
This discussion and analysis is intended to serve as an introduction to Queen Anne’s County Government’s
basic financial statements. The County’s basic financial statements are comprised of three components:
Government-Wide Financial Statements
Fund Financial Statements
Notes to the Financial Statements
This report also contains other required and non-required supplementary information in addition to the basic
financial statements themselves.
Government-Wide financial statements: The government-wide financial statements are designed to provide
readers with a broad overview of Queen Anne’s County Government’s finances, in a manner comparable to a
private sector business.
The statement of net position presents information on all of Queen Anne’s County Government’s assets and
liabilities, with the difference between the two reported as net position. Over time, increases or decreases in
net position may serve as a useful indicator of whether the financial position and condition of Queen Anne’s
County Government is improving or declining.
The statement of activities presents information showing how the government’s net position changed during
the most recent fiscal year. All changes in net position are reported as soon as the underlying event giving rise
to the change occurs, regardless of the timing of related cash flows. Thus, revenues and expenses are reported
in this statement for some items that will only result in cash flows in future fiscal periods (e.g. uncollected
taxes and earned but unused vacation leave).
Both of the government-wide financial statements distinguish functions of Queen Anne’s County Government
that are principally supported by taxes and intergovernmental revenue (governmental activities) from other
functions that are intended to recover all or a significant portion of their costs through user fees and charges
(business-type activities).
The governmental activities of Queen Anne’s County Government include general government, public safety,
public works, health, social services, education, library, conservation of natural resources, and economic and
community development. The business-type activities of Queen Anne’s County Government include water
and sewer services, an airport, a golf course, and public landings and marinas.
The government-wide financial statements include not only Queen Anne’s County Government itself (known
as the primary government), but also legally separate component units. Queen Anne’s County Government
has the following discretely presented component units: Queen Anne’s County Board of Education and the
Queen Anne’s County Free Library. Financial information for these component units is reported separately
from the financial information presented for the primary government itself. The government-wide financial
statements can be found in the basic financial statements section of this report.
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Fund Financial Statements: A fund is a group of related accounts that is used to maintain control over
resources that have been segregated for specific activities or objectives. Queen Anne’s County Government,
like other state and local governments, uses fund accounting to ensure and demonstrate compliance with
finance-related legal requirements. All of the funds of Queen Anne’s County Government can be divided into
three categories: governmental funds, proprietary funds, and fiduciary funds. Fund financial statements can
be found throughout this report, as listed in the table of contents.
Governmental funds: Governmental funds are used to account for essentially the same functions reported as
governmental activities in the government-wide financial statements. However, unlike the government-wide
financial statements, governmental fund financial statements focus on near term inflows and outflows of
spendable resources available at the end of the fiscal year. Such information may be useful in evaluating a
government’s near-term financing requirements.
Because the focus of governmental funds is narrower than that of the government-wide financial statements, it
is useful to compare the information presented 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 balance sheet
and the statement of revenues, expenditures, and changes in fund balances for governmental funds provide a
reconciliation to facilitate this comparison between governmental funds and governmental activities. These
two reconciliations begin with governmental fund financial data; describe all transactions that are added or
subtracted to yield governmental activities; and end with governmental activities financial data. These
reconciliations can be found within this report, as listed in the table of contents.
Queen Anne’s County maintains three types of governmental funds: the general fund, a variety of special
revenue funds, and five capital project funds. Information is presented separately in the governmental fund
balance sheet and in the governmental fund statement of revenues, expenditures, and changes in fund balances
for all governmental funds. Fund type is identified for each fund.
Queen Anne’s County adopts an annual appropriated budget for its general fund (includes the roads board);
school, fire, and parks impact fee capital projects funds; and the following special revenue funds: department
of aging, housing and community services, grants fund, economic development incentive, BRIDGE fund,
community partnerships for children, law library, inmate welfare, agricultural transfer, rural legacy, dredging
special assessments, and Kent Narrows. A budgetary comparison statement has been provided for each of
these funds, which can be found within this report, as listed in the table of contents.
Proprietary funds: Queen Anne’s County maintains enterprise funds to report the same functions presented as
business-type activities in the government-wide financial statements. Queen Anne’s County Government uses
enterprise funds to account for its water and sewer services, airport, golf course, and public landings and
marinas. The basic proprietary fund financial statements can be found within this report, as listed in the table
of contents.
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 Queen Anne’s County Government’s own programs. The
County acts as a fiduciary for two trust and six custodial funds. The accounting used for fiduciary funds is
much like that used for proprietary funds except that the custodial funds report only assets and liabilities and
do not report net assets or changes therein. The basic fiduciary fund financial statements can be found within
this report, as listed in the table of contents.
Notes to the 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. The notes to the
financial statements can be found within this report, as listed in the table of contents.
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Government-wide Financial Analysis
Statement of Net Position
A summary of government-wide assets, liabilities, and net position is as follows:
Governmental Activities Business Type Activities Total
Summary of Net Position 2021 2020 2021 2020 2021 2020
Current and Other Assets $ 164,597,173 $ 1 32,910,759 $ 54,611,035 $ 43,420,777 $ 219,208,208 $ 176,331,536
Capital Assets 188,206,051 1 80,791,100 125,398,107 121,339,499 313,604,158 3 02,130,599
Total Assets 352,803,224 3 13,701,859 180,009,142 164,760,276 532,812,366 478,462,135
Total Deferred Outflows of Resources 10,082,413 8 ,495,121 793,303 720,473 10,875,716 9 ,215,594
Noncurrent liabilities 222,696,479 2 20,110,368 47,011,245 45,574,349 269,707,724 265,684,717
Other liabilities 9,719,669 1 1,416,367 2,770,112 1,621,510 12,489,781 1 3,037,877
Total Liabilities 232,416,148 2 31,526,735 49,781,357 47,195,859 282,197,505 278,722,594
Total Deferred Inflows of Resources 13,437,465 5 ,383,218 17,044,932 12,721,010 30,482,397 1 8,104,228
Net position:
Net investment in capital assets 116,220,059 1 14,252,313 88,635,207 86,939,502 204,855,266 201,191,815
Restricted amounts 20,883,128 1 9,844,181 6,322,353 2,037,318 27,205,481 21,881,499
Unrestricted amounts (deficit) (20,071,163) (48,809,467) 19,018,596 16,587,060 (1,052,567) (32,222,407)
Total Net Position $ 117,032,024 $ 8 5,287,027 $ 113,976,156 $ 105,563,880 $ 231,008,180 $ 190,850,907
The County’s total current and other assets increased by $42.9 million, or 24.3 percent, to $219.2 million. The
County’s total assets and deferred outflows of resources exceeded its total liabilities and deferred inflows of
resources at the close of fiscal year 2021 by $231.0 million.
Net position is divided into three categories: net investment in capital assets; restricted amounts; and
unrestricted amounts. By far the largest portion, $204.9 million, of the County’s total net position reflects its
investment in capital assets (e.g. land, buildings, machinery and equipment, vehicles, and infrastructure), less
any related and outstanding debt used to construct or acquire those assets. The County uses these capital assets
to provide services to citizens; consequently, they are not available for future spending. Although the
County’s investment in its capital assets is reported net of related debt, it should be noted that the resources
needed to repay the debt must be provided from other sources since the capital assets themselves cannot be
used to liquidate these liabilities.
It is important to note that, although counties in the State of Maryland issue debt for the construction of
schools, the school buildings are owned by each county’s Board of Education. Ownership reverts to the
county government only if the local Board determines a building is no longer needed for educational purposes.
Therefore, while the County’s financial statements include outstanding debt related to Board of Education
capital assets, those statements do not include the capital assets funded by the debt. Debt outstanding for the
Board of Education amounted to $56.9 million at June 30, 2021. Absent the effect of this relationship, the
County would have reported a positive unrestricted amount of $55.8 million on its government-wide financial
statements, rather than the negative unrestricted net assets of $1.1 million reported herein. For a multi-year
view of this calculation, see the Footnote presented in Table 1 of the Statistical Section.
An additional $27.2 million of the County’s total net position represents resources that are subject to
restrictions on how they may be used. For governmental activities, this amount includes: $12.6 million related
to general government services; $3.0 million for economic/community development; $4.2 million for public
safety; and $1.1 million for conservation of natural resources. For business-type activities, this amount
includes $3.4 million restricted to meet Sanitary District debt covenants; $1.2 million for the Bay Bridge
Airport debt service; and $1.7 million restricted to for other purposes for the Bay Bridge Airport.
At the end of the current fiscal year, Queen Anne’s County Government reports positive balances in two out of
three categories of net position, both for the government as a whole, as well as for its separate governmental
activities. Business-type activities reports positive balances in all net position categories.
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Statement of Activities
The following table summarizes changes in net position for governmental and business-type activities during
the year:
Governmental Activities Business Type Activities Total
Summary of Changes in Net Position 2021 2020 2021 2020 2021 2020
Revenues:
Program revenues:
Charges for services $ 10,391,499 $ 6 ,536,797 $ 13,332,332 $ 14,835,575 $ 23,723,831 $ 21,372,372
Operating grants and contributions 14,473,649 6 ,545,553 4,798,388 2,647,049 19,272,037 9 ,192,602
Capital grants and contributions 5,524,296 4 ,218,687 2,668,488 1,974,341 8,192,784 6 ,193,028
General revenues:
Property taxes 74,474,109 7 1,874,566 - - 74,474,109 7 1,874,566
Local income tax 73,458,519 6 7,698,447 - - 73,458,519 6 7,698,447
Other local taxes
Admission and amusement taxes 183,601 150,153 - - 183,601 150,153
Recordation taxes 10,974,409 6 ,339,183 - - 10,974,409 6 ,339,183
Hotel taxes 596,806 530,601 - - 596,806 530,601
County transfer taxes 4,000,090 2 ,283,527 - - 4,000,090 2 ,283,527
Investment income 239,908 1 ,393,017 424,983 589,126 664,891 1 ,982,143
Gain on sale of capital assets 95,687 44,343 573,500 17,876 669,187 62,219
Miscellaneous 1,073,180 900,976 1,189,317 907,830 2,262,497 1 ,808,806
Total Revenues 195,485,753 1 68,515,850 22,987,008 20,971,797 218,472,761 189,487,647
Expenses:
Governmental Activities:
General government 21,447,303 1 7,299,695 - - 21,447,303 1 7,299,695
Public safety 33,376,832 3 1,445,313 - - 33,376,832 3 1,445,313
Public works 13,898,271 1 5,045,105 - - 13,898,271 1 5,045,105
Parks & recreation 6,051,585 7 ,780,241 - - 6,051,585 7 ,780,241
Health 2,412,059 2 ,176,263 - - 2,412,059 2 ,176,263
Social services 4,557,075 4 ,940,431 - - 4,557,075 4 ,940,431
Education 66,649,935 6 6,848,496 - - 66,649,935 6 6,848,496
Libraries 1,982,798 1 ,916,365 - - 1,982,798 1 ,916,365
Conservation of natural resources 3,621,749 1 ,423,080 - - 3,621,749 1 ,423,080
Economic and Community developme n t 5,262,207 2 ,281,480 - - 5,262,207 2 ,281,480
Interest and fiscal charges 4,330,706 4 ,391,332 - - 4,330,706 4 ,391,332
Business-type Activities:
Water and sewer - - 12,157,175 11,602,537 12,157,175 1 1,602,537
Airport - - 940,188 968,205 940,188 968,205
Golf course - - 523,435 541,335 523,435 541,335
Public landings and marinas - - 1,104,170 683,738 1,104,170 683,738
Total Expenses 163,590,520 1 55,547,801 14,724,968 13,795,815 178,315,488 169,343,616
Increase in Net Position before Transfers 31,895,233 1 2,968,049 8,262,040 7,175,982 40,157,273 20,144,031
Transfers in (out) ( 150,236) (149,079) 150,236 149,079 - -
Increase in Net Position 31,744,997 1 2,818,970 8,412,276 7,325,061 40,157,273 2 0,144,031
Net Position, prior year 85,287,027 7 2,468,057 105,563,880 98,238,819 190,850,907 1 70,706,876
Net Position - current year $ 117,032,024 $ 8 5,287,027 $ 113,976,156 $ 105,563,880 $ 231,008,180 $ 190,850,907
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Governmental activities:
Revenues for governmental activities were $195.5 million for fiscal year 2021. The following chart depicts
revenues by source for governmental activities:
 Taxes comprise the largest source of County revenue, totaling $163.7 million (83.7 percent) of total
revenue for fiscal year 2021. Of that amount, property and local income tax together yielded $147.9
million (75.7 percent) of all revenue. Each County sets its own property and income tax rates, within
parameters established by the State. For fiscal year 2021, the County’s property tax rate remained
constant at $.8471 per $100 of assessed value of real property, based on full cash value of that
property. The County’s local income tax rate was set at 3.2 percent, effective January 1, 2012 and
thereafter. There is no local sales tax in the State of Maryland.
 Operating grants and contributions, totaling $14.5 million, reflect grants from Federal and State
agencies that support specific County programs. Programs that benefitted the most were: Economic
development ($4.0 million or 27.5 percent), public safety ($3.6 million or 24.9 percent), general
government ($2.7 million or 18.6 percent), social services ($2.4 million or 16.5 percent), and public
works ($1.5 million or 10.3 percent).
 Charges for services, totaling $10.4 million, reflect fees charged to County citizens. These primarily
support education ($3.4 million or 32.6 percent), general government ($2.0 million or 19.5 percent),
public safety ($1.8 million or 17.1 percent), public works ($1.1 million or 10.4 percent), parks and
recreation ($1.1 or 10.2 percent), and economic development ($865 thousand or 8.3 percent).
 Capital grants and contributions, totaling $5.5 million, reflect contributions from Federal and State
agencies, as well as developers. Programs that benefitted the most were: conservation of natural
resources ($1.6 million or 29.2 percent), public safety ($1.4 million or 25.0 percent), general
government ($1.1 million or 19.1 percent), and the library ($974 thousand or 17.6 percent).
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Expenses for all governmental activities were $163.6 million for fiscal year 2021. The following chart depicts
expenses by function for governmental activities:
As noted in the chart above and the table below, by far the County’s largest program and highest priority is
education, with expenses totaling $66.6 million (40.7 percent). The following table summarizes costs and
program-related revenues for the same programs in order of priority, yielding net service costs:
Expenses Program-Related Revenues Net Cost of Services
Net Cost of Governmental Activities 2021 2020 2021 2020 2021 2020
Education $ 66,649,935 $ 6 6,848,496 $ 3,383,580 $ 1,593,200 $ (63,266,355) $ (65,255,296)
Public Safety 33,376,832 3 1,445,313 6,755,881 3,189,484 (26,620,951) (28,255,829)
General Government 21,447,303 1 7,299,695 5,771,395 2,459,074 (15,675,908) (14,840,621)
Public Works 13,898,271 1 5,045,105 2,577,872 2,096,354 (11,320,399) (12,948,751)
Parks & Recreation 6,051,585 7,780,241 1,618,741 3,097,214 (4,432,844) ( 4,683,027)
Social Services 4,557,075 4,940,431 2,576,637 2,709,699 (1,980,438) ( 2,230,732)
Conservation of Natural Resources 3,621,749 1,423,080 1,888,076 1,086,179 (1,733,673) ( 336,901)
Economic and Community Development 5,262,207 2,281,480 4,843,515 962,258 (418,692) ( 1,319,222)
Other 8,725,563 8,483,960 973,747 107,575 (7,751,816) ( 8,376,385)
Total $ 163,590,520 $ 1 55,547,801 $ 30,389,444 $ 17,301,037 $ (133,201,076) $ ( 138,246,764)
Of the total cost of $163.6 million for governmental activities, $30.4 million (18.6 percent), of those costs were
covered by program-related revenues paid by individuals and external governmental entities. Of these outside
entities, individuals who benefited directly from County programs were charged user fees of $10.4 million,
while governments and other organizations that benefited indirectly from these programs contributed operating
grants of $14.5 million and capital grants of $5.5 million.
County taxpayers paid for most of the remaining $133.2 million in net program costs, through a variety of
County taxes. Net program costs of services provided to the public, in order of net cost, were: $63.3 million
for education; $26.6 million for public safety; $15.7 million for general government; $11.3 million for public
works; $4.4 million for parks and recreation; $2.0 million for social services; $1.7 million for conservation of
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natural resources; $419 thousand for economic and community development; and $7.8 million for other
services. See Changes in Net Position and General Fund Budgetary Highlights for further details.
Changes in net position: Government-wide revenues, less expenses, plus/minus transfers in/out, yield changes
in net position. During fiscal year 2021, governmental activities increased the County’s net position overall by
$31.7 million, compared to an increase of $12.8 million in fiscal year 2020. The following discussion explains
changes in net position relative to the prior fiscal year.
Revenues for governmental activities increased by $27.0 million (16.0 percent). The following key revenues
changed, when compared to the prior fiscal year:
 Operating grants and contributions increased by $7.9 million (121.1 percent), from $6.5 million in
fiscal year 2020 to $14.5 million in fiscal year 2021. The entire increase is the result of grant funding
provided by the Federal Government to assist the County in navigating through the COVID-19
pandemic.
 Income taxes increased by $5.8 million (8.5 percent), from $67.7 million in fiscal year 2020 to $73.5
million in fiscal year 2021. This increase was the result of increased receipts from the State for the
County’s portion of the income tax collections.
 Recordation taxes increased $4.6 million (73.1 percent), from $6.3 million in fiscal year 2020 to $11.0
million in fiscal year 2021. This increase is a result of rising prices and demand in the housing market.
 Charges for services increased by $3.9 million (59.0 percent), from $6.5 million in fiscal year 2020 to
$10.4 million in fiscal year 2021. Of this increase, $2.2 million was the result of increased impact fees
paid to fund capital improvements needed to accommodate new development. An increase of $704
thousand was due to an increase in fee in lieu payments for new development. The remaining increase
was mainly the result in the increase of permits and licenses.
 Property taxes increased by $2.6 million (3.6 percent), from $71.9 million in fiscal year 2020 to $74.5
million in fiscal year 2021 due to an increase in property assessments.
 County transfer taxes increased $1.7 million (75.2 percent), from $2.3 million in fiscal year 2020 to
$4.0 million in fiscal year 2021. This increase is also a result of rising prices and demand in the
housing market.
 Capital grants and contributions increased by $1.3 million (31.0 percent), from $4.2 million in fiscal
year 2020 to $5.5 million in fiscal year 2021. The main result of this increase was a capital grant
received for the 911 phone system for the Department of Emergency Services for $828 thousand.
Expenses for governmental activities increased by $8.0 million (5.2 percent). Key positive and negative
expense changes, in order of relative importance, are:
 General Government increased by $4.1 million (24.0 percent). Of this increase, $2.1 million was
related to COVID grant related expenditures, $1.0 million was related to an increase in miscellaneous
insurance and benefits, and the remaining increase of $900 thousand was related to various general
government operating activity fluctuations.
 Economic and Community Development increased by $3.0 million (130.7 percent), mainly resulting
from COVID grant related expenditures.
 Conservation of Natural Resources increased by $2.2 million (154.5 percent), due to the increase of
rural legacy easements. Generally, the timing of easements purchased is affected by the evaluation of
the identified land, as well as the availability of State funds.
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 Public Safety increased by $1.9 million (6.1 percent), mainly due to an increase in expenditures
related to pension and LOSAP liabilities.
 Parks & Recreation decreased by $1.7 million (22.2 percent). In fiscal year 2020, Parks and
Recreation included expenses for artificial turf and cross county connector trail capital projects that
are not included in the current year.
Business-type activities:
Revenues, transfers in, and expenses for business-type activities were $23.0 million, $150 thousand, and $14.7
million, respectively, for fiscal year 2021. The following two charts depict revenues by source and expenses by
service for business-type activities:
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Business-type activities increased the County’s net position altogether by $8.4 million in fiscal year 2021,
which is $1.1 million more than the prior year’s increase of $7.3 million. The fiscal year 2021 change in net
position resulted primarily from:
 Operating revenues before transfers increased by $2.0 million (9.6 percent), from $21.0 million in
fiscal year 2020 to $23.0 million in fiscal year 2021, for all business-type activities. Operating grants
and contributions increased by $2.2 million, mainly due to increased intergovernmental grant funding
in the Sanitary district. Charges for services decreased by $1.5 million primarily due to a decrease in
the Sanitary district restricted funds which had higher allocation fees in 2020. Capital grants and
contributions increased by $694 thousand (35.2 percent) mainly due to Sanitary District SKI
development phase 2.
 Operating Expenses increased by $929 thousand (6.7 percent), from $13.8 million in fiscal year 2020
to $14.7 million in fiscal year 2021, for all business-type activities. Water and sewer activities
increased by $555 thousand (4.8 percent) mainly due to administration and inspection costs. Public
landings and marinas increased by $420 thousand (61.5 percent) due to increased expenses for the
Corsica River dredging project.
Financial Analysis of the Government’s Funds
As noted earlier, Queen Anne’s County Government uses fund accounting to ensure and demonstrate
compliance with finance related legal requirements. Detailed financial data based on the government’s fund
accounting can be found in the governmental fund statements in this report.
Governmental Funds: The focus of Queen Anne’s County Government’s governmental funds is to provide
information on near term inflows, outflows, and balances of spendable resources. Such information is useful
in assessing Queen Anne’s County Government’s near-term financing requirements. In particular, unassigned
fund balance may serve as a useful measure of a government’s net resources available for spending at the end
of a fiscal year.
As of the end of the current fiscal year, Queen Anne’s County Government’s governmental funds reported
combined ending fund balances of $129.8 million, compared to $101.2 million for the prior year.
Approximately 14.9 percent of this total ($19.3 million) constitutes unassigned fund balance, which is
available for spending. The total unassigned fund balance of $19.3 million is comprised of $19.3 million of
positive unassigned fund balance for the general fund, reduced by negative unassigned fund balances of $20
thousand in the non-major governmental funds. Additional detail on the negative unassigned balances can be
found in Note 16 of this report.
The nonspendable fund balance of $5.8 million, at 4.4 percent of the total fund balance, is not available for
spending and includes amounts related to inventory and prepaid items. Restricted fund balance of $34.1
million (26.3 percent) includes amounts that can be spent only for specific purposes stipulated by external
sources or legal restrictions. Included in the restricted fund balance is $12.2 million for the rainy day fund.
Committed fund balance of $33.1 million (25.5 percent) represents those amounts that can be used only for the
specific purposes of the government’s highest level of decision-making authority. Included in the committed
fund balance is $7.6 million for the revenue stabilization fund.
The remaining $37.5 million of fund balance (28.9 percent) constitutes assigned fund balances. These
amounts are intended to be used by the government for the specific purposes of each fund.
The General Fund is the chief operating fund of Queen Anne’s County Government. At the end of the current
fiscal year, the General Fund had a total fund balance of $50.4 million, which is an increase of $9.3 million
from the fiscal year 2020 balance of $41.1 million. The increase resulted mainly as a result of revenues,
including other financing uses, being more than final budgetary estimates.
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Of the total $50.4 million in fund balance, $19.3 million is unassigned, meaning that there are no constraints
on how the funds can be spent. Beginning in fiscal year 2017, County Ordinance No. 16-24 changed the
minimum amount of the rainy day fund to 8.0 percent (previously 7.0 percent) of budgeted general fund
operating revenues as recommended by the Spending Affordability Committee. As a result of that Ordinance,
$12.2 million of rainy day funds are included in the General Fund’s restricted fund balance of $16.2 million for
fiscal year 2021. The remaining fund balance is comprised of $5.8 million in nonspendable, $7.6 million in
committed, and $1.5 million of assigned.
For further explanations of General Fund revenues and expenditures, see the General Fund Budgetary
Highlights section of this MD&A.
The General Capital Projects Fund accounts for all capital projects related to governmental funds, except those
accounted for in the Roads Capital Projects Fund, which is discussed below.
As of June 30, 2021, the General Capital Projects Fund has a total fund balance of $46.5 million, compared to
$33.6 million at the end of the prior fiscal year. The $46.5 million in total fund balance is comprised of $13.5
million in restricted fund balance, mainly for unspent bond proceeds, $3.6 million of fund balance committed
for specific projects, and $29.4 million of assigned fund balance. The increase in General Capital Projects
fund balance resulted from the transfer in from the General Fund, which will be used to fund future capital
projects.
The Roads Capital Projects Fund accounts for financial resources used for the construction of County Road
infrastructure, as well as other large multi-year projects that relate to capital assets.
As of June 30, 2021, the Roads Capital Projects Fund has a total fund balance of $6.4 million, compared to
$2.9 million at the end of the prior fiscal year. Of this total $6.4 million fund balance, $5.8 million has been
assigned to fund ongoing projects, while $553 thousand has been contributed by local developers and is
committed to fund specific infrastructure improvements.
Proprietary funds: Queen Anne’s County Government’s enterprise fund statements provide the same type of
information found in the government-wide financial statements, but in more detail. Also, due to/due from
other funds are combined in the government-wide statements and reported as Internal Balances between
governmental and business-type activities, which net to zero.
Total unrestricted net position of the Sanitary District Enterprise Funds at the end of fiscal year 2021
amounted to $20.9 million, which is $2.5 million more than the prior year. Net investment in capital assets
also increased by $4.2 million.
Total net position of the Sanitary District amounted to $92.6 million at the end of fiscal year 2021, which
increased by $8.1 million when compared to the prior year.
The unrestricted net position of the Bay Bridge Airport Enterprise Fund at year end amounted to negative $1.3
million, reflecting an increase of $48 thousand. The investment in capital assets for the Bay Bridge Airport
decreased by $2.5 million in the current fiscal year. In addition, the restricted amount for other purposes
increased by $1.7 million due to land sale proceeds that are only to be used for AIP eligible projects and the
restricted amount for debt service increased by $1.2 million.
Total net position of the Bay Bridge Airport amounted to $15.4 million at the end of fiscal year 2021, which is
an increase of $438 thousand from the prior year amount of $15.0 million.
A discussion of Enterprise Fund capital assets and long-term debt can be found in those sections presented
later in this MD&A.
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General Fund Budgetary Comparisons
The County adopts an operating budget for the General Fund as of July 1 each year and amends that budget
throughout the year in response to actual expenditures. The Schedule of Revenues, Expenditures, and Changes
in Fund Balance – Budget and Actual can be found as part of Required Supplemental Information, which is
located after the Notes. The Schedule reports original and final budgets, as well as the variance between actual
expenditures and final budgets.
Original to Final Budget Comparisons: The final expenditure budget for the General Fund, including transfers
out, totaled $161.5 million. Amendments increased spending authority by $17.7 million during fiscal year
2021, when compared to the original budget of $143.8 million.
Major components of these expenditure budget increases are as follows:
 Budgeted Transfers Out to General Capital Projects increased by $12.0 million during the year and
budgeted transfers out to Roads Capital Projects increased by $3.5 million. There are several capital
projects in which the County plans to move aggressively on and will rely on fund balance available in
the General Capital Projects fund to cover a portion of the costs.
 Budgeted Transfers Out to the Agricultural Transfer Tax Fund increased by $551 thousand, resulting
from additional easements available and purchased during the fiscal year.
Budget to Actual Comparisons: Actual revenues for the General Fund, including other financing sources and
before appropriated fund balance were more than final budgetary estimates by $9.3 million.
Actual expenditures, and other financing uses, were less than final budgetary appropriations by $2.1 million.
The net effect of these two disparities was a positive variance of actual to final budget of $11.4 million.
The most noteworthy differences between final budgeted amounts and actual amounts are summarized as
follows:
Revenues:
 Local Property Tax revenue was $2.8 million more than the final budget (3.8 percent) due to a higher
than anticipated increase in assessments.
 Recordation Tax revenue was $2.6 million more than the final budget (31.7 percent), as a result of the
unexpected increase in the real estate market that occurred during the COVID pandemic.
 Transfer Tax revenue was $2.2 million more than the final budget (119.7 percent), also resulting from
the real estate market.
Expenditures:
 Final Budgeted Salaries and Benefits were $40.7 million for the year, while actual costs were $42.4
million. They were overspent at year-end by $1.7 million (4.3 percent). Budgeted salaries and
benefits include reversions of $2.1 million. Absent the budget for reversions, actual costs were $393
thousand less than budget. The savings were recognized in multiple departments due to vacant
positions.
 Final Budgeted Other Operating Charges were $120.8 million for the year, while actual costs were
$117.0 million. These costs were lower than budget at year end by $3.8 million (3.1 percent).
Operating Charges include contracted services, supplies, other charges, debt service, and transfers out.
-25-

o Contracted Services were underspent by $714 thousand, with the largest savings realized by
the Detention Center ($253 thousand), Legal ($137 thousand), Recreation ($75 thousand), and
Emergency Services ($64 thousand).
o Supplies were underspent by $390 thousand, largely due to savings by Roads ($378
thousand).
o Other Charges were underspent by $1.6 million. Savings were realized in Benefits ($629
thousand), Insurance ($119 thousand), and Detention Center ($90 thousand). The remaining
savings for other charges were spread throughout the General Fund.
o Debt Service was underspent by $158 thousand, which resulted from actual debt service for
the 2020 bonds being lower than estimated.
o Transfers Out were underspent by $938 thousand, due to savings realized by the Department
of Aging ($690 thousand), Housing and Community Services ($112 thousand) and the Golf
Course Enterprise Fund ($76 thousand), which allowed these departments to forgo this
portion of their appropriation.
Capital Assets and Debt Administration
Capital assets: Queen Anne’s County Government’s investment in capital assets for its governmental and
business-type activities as of June 30, 2021 amounted to $313.6 million (net of accumulated depreciation).
This investment in capital assets includes land and land improvements, intangible rights, construction in
progress, buildings, improvements other than buildings, infrastructure, autos, machinery, and equipment.
Capital asset activities, net of depreciation, are summarized as follows:
Governmental Activities Business Type Activities Total
Capital Assets, Net of Depreciation 2021 2020 2021 2020 2021 2020
Land and Land Improvements $ 86,326,959 $ 8 6,326,959 $ 13,383,344 $ 15,632,770 $ 99,710,303 $ 101,959,729
Intangible Rights - Easements 821,819 8 21,819 6,140 6,140 827,959 827,959
Construction in Progress 9,812,878 7 ,232,179 19,775,908 13,354,715 29,588,786 20,586,894
Buildings 51,969,009 5 1,584,860 5,781,870 6,056,202 57,750,879 57,641,062
Improvements other than Buildings 10,899,566 7 ,085,899 8,019,254 8,444,025 18,918,820 15,529,924
Infrastructure 9,572,977 9 ,586,115 69,083,222 68,556,560 78,656,199 78,142,675
Auto, Machinery, and Equipment 18,802,843 1 8,153,269 9,348,369 9,289,087 28,151,212 27,442,356
Total $ 188,206,051 $ 1 80,791,100 $ 125,398,107 $ 121,339,499 $ 313,604,158 $ 302,130,599
Queen Anne’s County’s total investment in capital assets for the current fiscal year, net of depreciation,
increased by 3.8 percent, or $11.5 million. Of this amount, governmental investment in capital assets
increased by $7.4 million, while business-type investment in capital assets increased by $4.1 million.
Changes in the County’s capital assets, with depreciation shown separately, are summarized as follows. Note
that completed projects that were reclassified from construction in progress (CIP) to other asset accounts
during the year net to zero and are reported in the same column.
-26-

Governmental Activities
Changes in Capital Assets 2020 Additions Transfers Retirements 2021
Land and Land Improvements $ 86,326,959 $ - $ - $ - $ 86,326,959
Intangible Rights - Easements 821,819 - - - 821,819
Construction in Progress 7,232,179 7,864,728 ( 4,952,107) (331,922) 9,812,878
Buildings 69,539,607 1,198,555 722,000 - 71,460,162
Improvements other than Buildings 11,195,655 2 04,609 4,207,692 - 15,607,956
Infrastructure 19,236,142 3 77,605 - - 19,613,747
Auto, Machinery, and Equipment 39,398,061 3,685,635 22,415 ( 1,006,038) 42,100,073
Total Assets before depreciation 233,750,422 13,331,132 - ( 1,337,960) 245,743,594
Less Depreciation (52,959,322) (5,460,087) - 881,866 (57,537,543)
Total Assets after depreciation $ 180,791,100 $ 7,871,045 $ - $ (456,094) $ 188,206,051
Business-Type Activities
Changes in Capital Assets 2020 Additions Transfers Retirements 2021
Land and Land Improvements $ 15,632,770 $ - $ - $ (2,249,426) $ 13,383,344
Intangible Rights - Easements 6,140 - - - 6,140
Construction in Progress 13,354,715 6,529,067 (42,250) (65,624) 19,775,908
Buildings 16,193,029 - - - 16,193,029
Improvements other than Buildings 15,126,030 111,000 - - 15,237,030
Infrastructure 105,843,185 2,668,490 - - 108,511,675
Auto, Machinery, and Equipment 25,856,625 691,992 42,250 (206,605) 26,384,262
Total Assets before depreciation 192,012,494 10,000,549 - (2,521,655) 199,491,388
Less Depreciation (70,672,995) (3,598,911) - 178,625 (74,093,281)
Total Assets after depreciation $ 121,339,499 $ 6,401,638 $ - $ (2,343,030) $ 1 25,398,107
Noteworthy capital asset events during the current fiscal year for governmental activities included the
following:
 Construction in Progress (CIP) increased by a net amount of $2.6 million. The following factors
contributed to this increase:
Major additions to Construction in Progress totaling $7.9 million include: (a) Kent Island Library
expansion ($3.8 million); (b) Emergency Services renovations ($1.5 million); (c) Emergency Services
911 phone system replacement ($756 thousand); (d) Emergency Services COM CAD replacement
($641 thousand); (e) Detention Center renovations ($411 thousand); (f) Terrapin Park improvements
($346 thousand); (g) Information Technology fiber network construction ($245 thousand); (h) ERP
software ($91 thousand); and (i) Sheriff’s Office vehicles ($65 thousand).
Costs reclassified from Construction in Progress totaling $5.0 million include: (a) Cross County
Connector Trail ($4.2 million); (b) New Courthouse ($700 thousand); (c) Chesapeake Heritage and
Visitor Center ($22 thousand) and (d) Emergency Services vehicles ($22 thousand).
Retirements from Construction in Progress of $332 thousand include: (a) New Courthouse ($290
thousand) and (b) Cross County Connector Trail ($42 thousand).
 Buildings increased by a net amount of $1.9 million. The following factors contributed to this
increase:
-27-

Major additions to Buildings totaling $1.2 million include: (a) Construction of the Emergency
Services Warehouse ($599 thousand); (b) Public Works storage building renovation ($334 thousand);
(c) Health Department improvements ($203 thousand); and (d) Chesapeake Heritage and Visitor
Center renovations ($63 thousand).
Costs reclassified from Construction in Progress totaling $722 thousand include: (a) Construction and
site work for the new Courthouse ($700 thousand) and (b) Chesapeake Heritage and Visitor Center
($22 thousand).
 Improvements other than Buildings increased by a net amount of $4.4 million. The following factors
contributed to this increase:
Major additions to Improvements other than Buildings totaling $205 thousand include: (a) 4-H Park
wireless network ($81 thousand); (b) New Courthouse alley improvements ($70 thousand); (c) fencing
at various Parks and Recreation properties ($32 thousand); and (d) fiber network installation at the 911
Center ($22 thousand).
Costs reclassified from Construction in Progress totaling $4.2 million relate to the completion of the
Cross County Connector Trail.
 Infrastructure increased by $378 thousand due to improvements of various County roads.
 Auto, Machinery and Equipment increased by a net amount of $2.7 million. The following factors
contributed to this net increase:
Major additions to Auto, Machinery and Equipment totaled $3.7 million and included departmental
vehicles and equipment replacement for the following: (a) Emergency Services ($1.7 million); (b)
Sheriff’s Office ($708 thousand); (c) Parks and Recreation ($456 thousand); (d) General Services
($196 thousand); (e) Aging ($138 thousand); (f) Roads ($122 thousand); (g) Circuit Court ($76
thousand); and (h) Information Technology ($59 thousand).
Costs reclassified from Construction in Progress totaling $22 thousand relate to Emergency Services
vehicles.
Retired assets of $1.0 million included the following, the majority of which were fully depreciated: (a)
Aging vehicles discarded ($306 thousand); (b) Roads vehicles and equipment sold ($288 thousand);
(c) Parks and Recreation vehicles and equipment sold or discarded ($260 thousand); (d) Sheriff’s
Office vehicles sold or discarded ($196 thousand); (e) Solid Waste equipment discarded ($25
thousand); and (f) Detention Center equipment discarded ($12 thousand).
Noteworthy capital asset transactions during the current fiscal year for business-type activities
included the following:
 Land decreased by $2.2 million resulting from the sale of a parcel of land owned by the Bay Bridge
Airport.
 Construction in Progress increased by a net amount of $6.4 million. The following factors contributed
to this increase:
Major additions to Construction in Progress totaling $6.5 million include: (a) planning, design and
construction work for the Southern Kent Island (SKI) sewer system ($6.2 million); (b) Sanitary
Critical Interconnections ($191 thousand); and (c) Runway Rehabilitation for the Bay Bridge Airport
($155 thousand).
-28-

Costs reclassified from Construction in Progress totaling $42 thousand included equipment for the
Sanitary department.
Retirements from Construction in Progress of $66 thousand include write-offs of costs incurred in the
Bay Bridge Airport Environmental Assessment project due to the project not resulting in an asset.
 Improvements other than Buildings increased by $111 thousand resulting from improvements at the
Blue Heron Golf Course.
 Infrastructure increased by $2.7 million resulting from various water and sewer infrastructure, of
which $1.1 million was contributed by commercial developers to be maintained by the County. The
remaining $1.6 million related to infrastructure for the Four Seasons development.
 Auto, Machinery and Equipment increased by a net amount of $527 thousand. The following factors
contributed to this increase:
Major additions totaling $692 thousand included: (a) New sewer pumps, well pumps and other
sanitation equipment ($343 thousand); (b) Sanitary District vehicles ($327 thousand); and (c) Bay
Bridge Airport equipment ($22 thousand).
Costs transferred from Construction in Progress totaling $42 thousand included equipment for the
Sanitary department.
Retired assets of $207 thousand included: (a) Sanitary District equipment and vehicles sold or
discarded ($164 thousand); (b) Public Landings vehicles discarded ($30 thousand); and (c) Blue
Heron Golf Course equipment and vehicles sold or discarded ($13 thousand).
Additional information on the County’s capital assets can be found in Note 6 of this report.
Long-term debt: At the end of the current fiscal year, Queen Anne’s County Government had total bonded
debt, loans, capital leases, OPEB (Other Post-Employment Benefits), net pension liability, LOSAP (Volunteer
Fireman Pension Plan Length of Service Award Program), and compensated absence obligations of $269.7
million for its governmental and business-type activities.
The full faith, credit and unlimited taxing power of the County are irrevocably pledged to the levy and
collection of taxes in order to provide for the payment of principal and interest due on the bonded debt.
Of this $269.7 million in debt, $47.0 million is considered to be self-supporting, in that obligations of the
County’s enterprise funds will be funded through charges and assessments related to the operations of those
funds. In addition, the Sanitary District’s Debt Service Fund holds total assets of $3.4 million, which are
restricted to payment of the Sanitary District’s subsequent year’s debt. See Note 10 for restricted assets and
subsequent year debt service obligations.
-29-

Debt activities are summarized as follows:
Governmental Activities Business Type Activities Total
Outstanding Debt 2021 2020 2021 2020 2021 2020
Bonds, Notes, and Premiums $ 143,674,736 $ 137,289,000 $ 36,769,976 $ 34,408,250 $ 1 80,444,712 $ 171,697,250
OPEB 3 4,912,910 44,880,492 6,872,895 8,227,553 41,785,805 53,108,045
Net Pension Liability 3 1,302,931 26,959,651 2,927,232 2,523,666 34,230,163 29,483,317
LOSAP Liability 9,602,464 8,048,034 - - 9,602,464 8 ,048,034
Compensated Absences 3,203,438 2,933,191 441,142 414,880 3,644,580 3 ,348,071
Total Long-term Debt $ 222,696,479 $ 220,110,368 $ 47,011,245 $ 45,574,349 $ 2 69,707,724 $ 265,684,717
During the 2021 fiscal year, the County’s total net debt increased by $4.0 million (1.5 percent). Of this
amount, governmental debt increased by $2.6 million (1.2 percent), while business-type debt increased by $1.4
million (3.2 percent). In fiscal year 2021, the County issued the public facilities bonds of 2021 totaling $13.0
million and public facilities refunding bonds totaling $10.9 million. The Sanitary District continued borrowing
funds through the Maryland Water Quality Administration for the Southern Kent Island (SKI) project. The
total amount borrowed for this project in fiscal year 2021 was $3.4 million. In addition, the total other post-
employment benefit obligations decreased by $11.3 million, the net pension liability increased by $4.7 million,
the LOSAP liability increased by $1.6 million, and compensated absences increased by $297 thousand.
Offsetting these increases and decreases were changes in accruals, plus the County’s repayment of existing
debt in accordance with established repayment schedules for bonds, notes, and capital lease agreements.
Additional information on the County’s long-term debt can be found in Note 9 of this report.
The public local laws of Queen Anne’s County limit the amount of general obligation debt to no more than
$8.0 million, beyond any bonded indebtedness of the County. Currently, approximately $7.3 million of this
authority is available. All other debt has been authorized under specific legislation. Additional information on
the computation of the legal debt margin can be found in Table 12 of the Statistical Section of this report.
During fiscal year 2021, Queen Anne’s County Government received “AAA” bond ratings from both Fitch
Rating Service and Standard & Poor’s and an “Aa1” bond rating from Moody’s.
Economic Factors and Next Year’s Budget and Rates
The following economic factors were considered in preparing Queen Anne’s County Government’s operating
and capital budgets for the 2022 fiscal year:
 Property assessments are projected to increase by 1.6 percent over the previous year, based on State
Assessment Office values used to compute the Constant Yield rate.
 Income tax revenue was projected at $61.2 million for the 2022 budget.
The following are a few of the highlights from the fiscal year 2022 budget:
o OPEB shall continue to be funded in accordance with the approved ten-year plan;
o The Board of Education will be funded at Maintenance of Effort in fiscal year 2022; and
o The County’s property and income tax rates remained the same.
Requests for information
This financial report is designed to provide a general overview of Queen Anne’s County Government’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 information should be addressed to the Queen
Anne’s County Finance Office, 107 N. Liberty Street, Centreville, Maryland 21617. This report can also be
found on the County’s website, http://www.qac.org (see Government, Departments, Budget and Finance
Accounting section, Link to 2021 Annual Comprehensive Financial Report (ACFR)).
-30-

Basic Financial Statements
-31-

QUEEN ANNE'S COUNTY, MARYLAND
STATEMENT OF NET POSITION
JUNE 30, 2021
PRIMARY GOVERNMENT
GOVERNMENTAL BUSINESS-TYPE
ACTIVITIES ACTIVITIES TOTAL
ASSETS
Equity in Pooled Cash and Investments $ 8 6,355,639 $ 16,522,051 $ 102,877,690
Cash and Cash Equivalents - - -
Taxes Receivable (Net) 827,959 - 827,959
Accounts and Loans Receivable (Net) 7,615,221 722,358 8,337,579
Special Assessments (Net) 741,744 - 741,744
Internal Balances 1,595,818 ( 1,595,818) -
Due from Primary Government - - -
Due from Other Governments 3 6,281,693 23,950 36,305,643
Inventories 1,209,864 777,853 1,987,717
Prepaid Items 4,541,830 - 4,541,830
Endowment Fund - - -
Restricted Assets:
LOSAP Plan Assets 3,851,036 - 3,851,036
Equity in Pooled Cash and Investments 21,576,369 19,198,318 40,774,687
Accounts Receivable (Net) - 3,362,798 3,362,798
Special Assessments Receivable (Net) - 15,599,525 15,599,525
Capital Assets:
Nondepreciable Assets 9 6,961,656 33,165,392 130,127,048
Depreciable Assets, Net 91,244,395 92,232,715 183,477,110
Total Assets 3 52,803,224 180,009,142 532,812,366
DEFERRED OUTFLOWS OF RESOURCES
OPEB 1,372,494 207,624 1,580,118
Pension Benefits 6,026,818 578,603 6,605,421
LOSAP Benefits 2,130,703 - 2,130,703
Deferred Charge on Refunding 552,398 7,076 559,474
Total Deferred Outflows of Resources 1 0,082,413 793,303 10,875,716
LIABILITIES
Accounts Payable and Other Current Liabilities 6,191,550 2,316,551 8,508,101
Accrued Interest Payable 1,781,949 146,237 1,928,186
Due to Component Units 479,529 - 479,529
Due to Other Governmental Agencies 343,857 - 343,857
Unearned Revenue 922,784 130,180 1,052,964
Escrow Deposits - 177,144 177,144
Noncurrent Liabilities:
Due within One Year 1 0,713,859 2,306,291 13,020,150
Due in More than One Year 2 11,982,620 44,704,954 256,687,574
Total Liabilities 2 32,416,148 49,781,357 282,197,505
DEFERRED INFLOWS OF RESOURCES
OPEB 9,154,787 1,244,420 10,399,207
Pension Benefits 2,114,541 198,602 2,313,143
LOSAP Benefits 391,401 - 391,401
Deferred Inflows related to Refundings 196,961 2,385 199,346
Deferred Assessments 741,744 15,599,525 16,341,269
Deferred Fees 838,031 - 838,031
Total Deferred Inflows of Resources 13,437,465 17,044,932 30,482,397
NET POSITION
Net Investment in Capital Assets 1 16,220,059 88,635,207 204,855,266
Amounts Restricted for:
General Government 12,619,200 - 12,619,200
Economic/Community Development 2,986,488 - 2,986,488
Public Safety 4,177,488 - 4,177,488
Conservation of Natural Resources 1,096,570 - 1,096,570
Social Services 3,382 - 3,382
Debt Service - 4,663,826 4,663,826
Capital Projects - - -
Other Purposes - 1,658,527 1,658,527
Unrestricted Amounts (Deficit) (20,071,163) 19,018,596 (1,052,567)
Total Net Position $ 1 17,032,024 $ 113,976,156 $ 231,008,180
The accompanying notes to the basic financial statements are an integral part of this statement.
-32-

QUEEN ANNE'S COUNTY, MARYLAND
STATEMENT OF NET POSITION
JUNE 30, 2021
(CONTINUED)
COMPONENT UNITS
BOARD OF FREE
EDUCATION LIBRARY
$ - $ -
20,404,504 1,336,002
- -
125,528 14,053
- -
- -
555,377 -
1,932,957 -
61,340 -
47,227 27,153
- 117,792
- -
- -
- -
- -
7,918,202 29,850
1 44,557,051 1,303,340
1 75,602,186 2,828,190
38,796,499 221,464
1,096,825 -
- -
- -
39,893,324 221,464
12,217,319 309,021
- -
- -
- -
1,351,041 -
- -
195,297 -
1 75,006,113 799,914
1 88,769,770 1,108,935
98,177,219 35,900
325,031 -
- -
- -
- -
- -
98,502,250 35,900
1 50,902,061 1,333,190
- -
- -
- -
- -
- -
- -
202,541 -
628,520 12,975
(223,509,632) 558,654
$ (71,776,510) $ 1,904,819
The accompanying notes to the basic financial statements are an integral part of this statement.
-33-

QUEEN ANNE'S COUNTY, MARYLAND
STATEMENT OF ACTIVITIES
FOR THE YEAR ENDED JUNE 30, 2021
PRIMARY GOVERNMENT
OPERATING CAPITAL
CHARGES FOR GRANTS AND GRANTS AND TOTAL
EXPENSES SERVICES CONTRIBUTIONS CONTRIBUTIONS REVENUE
PRIMARY GOVERNMENT
Governmental Activities
General Government $ 21,447,303 $ 2,027,823 $ 2,686,609 $ 1,056,963 $ 5,771,395
Public Safety 33,376,832 1,772,824 3,603,339 1,379,718 6,755,881
Public Works 13,898,271 1,083,030 1,494,842 - 2,577,872
Parks & Recreation 6,051,585 1,058,579 216,861 343,301 1,618,741
Health 2,412,059 - - - -
Social Services 4,557,075 37,025 2,381,707 157,905 2,576,637
Education 66,649,935 3,383,580 - - 3,383,580
Library 1,982,798 - - 973,747 973,747
Conservation of Natural Resources 3,621,749 163,971 111,443 1,612,662 1,888,076
Economic/Community Development 5,262,207 864,667 3,978,848 - 4,843,515
Interest and Fiscal Charges 4,330,706 - - - -
Total Governmental Activities 163,590,520 10,391,499 14,473,649 5,524,296 30,389,444
Business-type Activities
Water and Sewer 12,157,175 12,174,150 4,600,000 2,668,488 19,442,638
Airport 940,188 24,920 20,180 - 45,100
Golf Course 523,435 593,022 - - 593,022
Public Landings and Marinas 1,104,170 540,240 178,208 - 718,448
Total Business-type Activities 14,724,968 13,332,332 4,798,388 2,668,488 20,799,208
Total Primary Government $ 178,315,488 $ 23,723,831 $ 19,272,037 $ 8,192,784 $ 51,188,652
COMPONENT UNITS
Board of Education $ 128,200,374 $ 174,433 $ 24,427,222 $ 4,610,473 $ 29,212,128
Free Library 3,488,662 1,094 1,574,888 - 1,575,982
Total Component Units $ 131,689,036 $ 175,527 $ 26,002,110 $ 4,610,473 $ 30,788,110
General Revenues
Local Property Tax
Local Income Tax
Other Local Taxes
Admission and Amusement Taxes
Recordation Taxes
Hotel Taxes
County Transfer Taxes
Grants and Contributions Not Restricted to Specific Programs
Investment Income
Gain on Sale of Capital Assets
Miscellaneous
Transfers In (Out)
Total General Revenues and Transfers
Change in Net Position
Net Position - Beginning of Year
Net Position - End of Year
The accompanying notes to the basic financial statements are an integral part of this statement.
-34-

QUEEN ANNE'S COUNTY, MARYLAND
STATEMENT OF ACTIVITIES
FOR THE YEAR ENDED JUNE 30, 2021
(CONTINUED)
NET (EXPENSE) REVENUE AND CHANGES IN NET POSITION
PRIMARY GOVERNMENT COMPONENT UNITS
GOVERNMENTAL BUSINESS-TYPE BOARD OF FREE
ACTIVITIES ACTIVITIES TOTAL EDUCATION LIBRARY
$ (15,675,908) $ - $ (15,675,908) $ - $ -
(26,620,951) - (26,620,951) - -
(11,320,399) - (11,320,399) - -
(4,432,844) (4,432,844)
(2,412,059) - (2,412,059) - -
(1,980,438) - (1,980,438) - -
(63,266,355) - (63,266,355) - -
(1,009,051) - (1,009,051) - -
(1,733,673) - (1,733,673) - -
(418,692) - (418,692) - -
(4,330,706) - (4,330,706) - -
(133,201,076) - (133,201,076) - -
- 7,285,463 7,285,463 - -
- ( 895,088) (895,088) - -
- 69,587 69,587 - -
- ( 385,722) (385,722) - -
- 6,074,240 6,074,240 - -
$ (133,201,076) $ 6,074,240 $ (127,126,836) $ - $ -
$ - $ - $ - $ (98,988,246) $ -
- - - - (1,912,680)
- - - (98,988,246) (1,912,680)
74,474,109 - 74,474,109 - -
73,458,519 - 73,458,519 - -
183,601 - 183,601 - -
10,974,409 - 10,974,409 - -
596,806 - 596,806 - -
4,000,090 - 4,000,090 - -
- - - 89,373,379 2,163,204
239,908 424,983 664,891 41,036 49,395
95,687 573,500 669,187 - -
1,073,180 1,189,317 2,262,497 93,003 6,715
(150,236) 150,236 - - -
164,946,073 2,338,036 167,284,109 89,507,418 2,219,314
31,744,997 8,412,276 40,157,273 (9,480,828) 306,634
85,287,027 105,563,880 190,850,907 (62,295,682) 1,598,185
$ 117,032,024 $ 113,976,156 $ 231,008,180 $ (71,776,510) $ 1,904,819
The accompanying notes to the basic financial statements are an integral part of this statement.
-35-

QUEEN ANNE'S COUNTY, MARYLAND
BALANCE SHEET
GOVERNMENTAL FUNDS
JUNE 30, 2021
MAJOR FUNDS NON-MAJOR TOTAL
GENERAL GENERAL ROADS GOVERNMENTAL GOVERNMENTAL
FUND CAPITAL CAPITAL FUNDS FUNDS
ASSETS
Cash and Cash Equivalents $ 34,015,210 $ 24,936,494 $ 6,541,656 $ 20,862,279 $ 86,355,639
Prepaid Items 4,541,830 - - - 4,541,830
Receivables
Taxes Receivable (Net) 827,214 - - 745 827,959
Accounts and Loans Receivable 176,499 838,393 1,054 6,599,275 7,615,221
Special Assessments (Net) - - 39,149 702,595 741,744
Due from Other Governments 30,598,746 580,865 - 1,580,867 32,760,478
Due from Other Funds 1,261,072 1,069,448 - - 2,330,520
Inventory 1,209,864 - - - 1,209,864
Restricted
Restricted LOSAP Plan Assets 3,851,036 - - - 3,851,036
Restricted Equity in Pooled Cash - 21,576,369 - - 21,576,369
Total Assets $ 7 6,481,471 $ 49,001,569 $ 6,581,859 $ 29,745,761 $ 161,810,660
LIABILITIES
Accrued Liabilities $ 3,235,894 $ 1,995,219 $ 140,113 $ 458,226 $ 5,829,452
Due to Other Funds - - - 734,702 734,702
Due to Component Units - 479,529 - - 479,529
Due to Other Governmental Agencies - - - 343,857 343,857
Unearned Revenue 709,690 31,688 - 181,406 922,784
Total Liabilities 3,945,584 2,506,436 140,113 1,718,191 8,310,324
DEFERRED INFLOWS OF RESOURCES
Unavailable Income Taxes 21,927,500 - - - 21,927,500
Unavailable Property Taxes 114,331 - - - 114,331
Unavailable Inter-County Bonds Receivable 72,794 - - - 7 2,794
Unavailable Benefit Assessments - - 39,149 702,595 741,744
Unavailable Fees - - - 838,031 838,031
Total Deferred Inflows 22,114,625 - 39,149 1,540,626 23,694,400
FUND BALANCES
Nonspendable 5,751,694 - - - 5,751,694
Restricted 16,182,014 13,506,532 - 4,412,891 34,101,437
Committed 7,621,618 3,614,179 553,088 21,290,653 33,079,538
Assigned 1,525,829 29,374,422 5,849,509 803,049 37,552,809
Unassigned 19,340,107 - - ( 19,649) 19,320,458
Total Fund Balances 50,421,262 46,495,133 6,402,597 26,486,944 129,805,936
Total Liabilities, Deferred Inflows and
Fund Balances $ 7 6,481,471 $ 49,001,569 $ 6,581,859 $ 29,745,761 $ 161,810,660
The accompanying notes to the basic financial statements are an integral part of this statement.
-36-

QUEEN ANNE'S COUNTY, MARYLAND
RECONCILIATION OF THE BALANCE SHEET OF GOVERNMENTAL FUNDS
TO THE STATEMENT OF NET POSITION
JUNE 30, 2021
Total Fund Balance - Governmental Funds $ 1 29,805,936
Amounts reported for Governmental activities in the Statement of Net Position
are different because:
Receivables not included in the governmental funds because they relate to debt.
A portion of the County's 2014 Bond offering related to debt issued on behalf of Chesapeake College.
Although Queen Anne's County will submit the payments to the lender for the bonds, there are five
Counties total that will share the expense of the debt service for the Chesapeake College project.
A receivable is booked in Government-Wide in order to offset the debt recorded on the books related
to the portion of the Chesapeake College project that the other Counties are responsible for.
ADD Accounts Receivable - Related to Chesapeake College Debt 3,521,215
Capital assets used in governmental fund activities are not current financial resources
and therefore are not reported in the funds.
Capital Assets 2 45,743,594
Accumulated depreciation (57,537,543) 188,206,051
Revenues that are deferred in the governmental funds because they do not
provide current financial resources are recognized as revenues in the
Statement of Activities.
Property Taxes deferred in governmental funds 114,331
Income Taxes deferred in governmental funds 21,927,500
Loans receivable deferred in governmental funds 72,794 22,114,625
Long-term liabilities related to governmental fund activities are not due and
payable in the current period and therefore are not reported in the funds.
Accrued Interest Payable ( 1,781,949)
Liability for Retirement Incentive and Employee Contracts (362,098)
Long-Term Liabilities Due within One Year
Accrued Compensated Absences (1,738,066)
Bonds and Notes Payable (8,975,793) ( 10,713,859)
Long-Term Liabilities Due in More than One Year
OPEB (34,912,910)
Net Pension Liability (31,302,931)
Net LOSAP Liability (9,602,464)
Accrued Compensated Absences (1,465,372)
Bonds and Notes Payable (134,698,943) (211,982,620)
Deferred Inflows and Outflows
Deferred Inflows - OPEB (9,154,787)
Deferred Inflows - Maryland State Pension (2,114,541)
Deferred Inflows - LOSAP (391,401)
Deferred Inflows - Refunding (196,961)
Deferred Outflows - OPEB 1,372,494
Deferred Outflows - Maryland State Pension 6,026,818
Deferred Outflows - LOSAP 2,130,703
Deferred Charge On Refunding 552,398 ( 1,775,277)
Total Net Position - Governmental Activities $ 117,032,024
The accompanying notes to the basic financial statements are an integral part of this statement.
-37-

QUEEN ANNE'S COUNTY, MARYLAND
STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
GOVERNMENTAL FUNDS
FOR THE YEAR ENDED JUNE 30, 2021
MAJOR FUNDS NON-MAJOR TOTAL
GENERAL GENERAL ROADS GOVERNMENTAL GOVERNMENTAL
FUND CAPITAL CAPITAL FUNDS FUNDS
REVENUES
Taxes
Local Property Tax $ 74,732,398 $ - $ - $ 36,819 $ 74,769,217
Local Income Tax 67,985,531 - - - 67,985,531
Admission and Amusement Taxes 183,601 - - - 183,601
Recordation Taxes 10,641,852 - - 332,557 10,974,409
Hotel Taxes 596,806 - - - 596,806
County Transfer Taxes 4,000,090 - - - 4,000,090
State Shared Taxes 1,174,931 - - 111,443 1,286,374
Franchise Fee 473,507 - - - 473,507
Licenses and Permits 934,967 52,812 - - 987,779
Intergovernmental 1,786,650 4,797,704 - 12,121,437 18,705,791
Charges for Current Services 3,074,968 128,730 27,425 5,557,910 8,789,033
Fines and Forfeitures 80,749 230 - 60,201 141,180
Investment Income 170,634 46,444 5,197 17,633 239,908
Donations 290 - - 5 ,490 5,780
Miscellaneous 897,816 94,144 - 81,220 1,073,180
Total Revenues 166,734,790 5,120,064 32,622 18,324,710 190,212,186
EXPENDITURES
Current
General Government 10,247,041 513,220 - 2,210,466 12,970,727
Public Safety 27,067,386 1,076,161 - 1,170,858 29,314,405
Public Works 10,789,282 446,634 872,641 115,210 12,223,767
Parks & Recreation 4,556,265 484,911 - 216,351 5,257,527
Health 2,437,604 - - - 2,437,604
Social Services 180,556 13,542 - 4,100,236 4,294,334
Education 63,042,977 3,621,164 - - 66,664,141
Library 1,957,600 - - 1,957,600
Conservation of Natural Resources 598,450 - - 3,074,397 3,672,847
Economic/Community Development 661,533 (10,858) - 4,582,943 5,233,618
Intergovernmental 516,792 - - - 516,792
Miscellaneous 6,834,217 - - - 6,834,217
Capital Outlay - 11,153,673 499,367 1,137,560 12,790,600
Debt Service
Principal 7,271,609 - - 71,816 7,343,425
Debt Issuance Costs - 249,479 - - 249,479
Interest and Fiscal Charges 4,492,461 - - - 4,492,461
Total Expenditures 140,653,773 17,547,926 1,372,008 16,679,837 176,253,544
Excess of Revenues Over (Under) Expenditures 26,081,017 (12,427,862) (1,339,386) 1 ,644,873 13,958,642
OTHER FINANCING SOURCES (USES)
Issuance of Debt - 11,680,538 1,319,462 - 13,000,000
Issuance of Refunding Bonds - 10,835,995 - - 10,835,995
Bond Premiums - 3,814,696 - - 3,814,696
Other Financing Use - Principal on Refunded Debt - (12,970,537) - - (12,970,537)
Proceeds of Capital Asset Disposals 41,099 - - - 41,099
Insurance Proceeds 102,429 - - - 102,429
Transfers In 1,833,980 12,010,000 3,500,000 3 ,125,627 20,469,607
Transfers Out (18,721,892) (5,487) - (1,919,660) (20,647,039)
Other Financing Sources (Uses) (16,744,384) 25,365,205 4,819,462 1 ,205,967 14,646,250
Net Increase in Fund Balances 9,336,633 12,937,343 3,480,076 2 ,850,840 28,604,892
Fund Balances, July 1 41,084,629 33,557,790 2,922,521 2 3,636,104 101,201,044
Fund Balances, June 30 $ 50,421,262 $ 46,495,133 $ 6,402,597 $ 2 6,486,944 $ 129,805,936
The accompanying notes to the basic financial statements are an integral part of this statement.
-38-

QUEEN ANNE'S COUNTY, MARYLAND
RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES, AND
CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS TO THE STATEMENT OF ACTIVITIES
FOR THE YEAR ENDED JUNE 30, 2021
Change in Fund Balances - Total governmental funds, per Statement of Revenues, Expenditures,
and Changes in Fund Balances of Governmental Funds $ 2 8,604,892
Amounts reported for governmental activities in the Statement of Activities are different because:
Governmental funds report capital outlay as expenditures. However, in the Statement of Activities, the cost of capital assets is allocated
over the estimated useful lives of those assets through an annual depreciation charge. The differences are as follows:
Current year additions of capital assets 13,331,132
Current year disposals of capital assets (456,094)
Depreciation expenses recorded in the Statement of Activities (5,460,087)
Net Change in Capital Assets 7,414,951
Receivables not included in the governmental funds because they relate to debt.
A portion of the County's 2014 Bond offering related to debt issued on behalf of Chesapeake College. Although Queen Anne's County
will submit the payments to the lender for the bonds, there are five Counties that will share the expense of the debt service for the
Chesapeake College project. A receivable is booked in Government-Wide in order to offset the debt recorded on the books related to the
portion of the Chesapeake College project that the other Counties are responsible for.
Change in bond receivable related to 2014 bonds (203,662)
Liability for retirement incentive
As part of the retirement incentives offered in fiscal year 2018, retirees were given a certain period of health insurance
at no cost, rather than the normal premium. The maximum period of no cost health insurance was five years. The liability for the
benefit offered to the retirees is included in the government-wide statements and adjusted each year until the benefit period is over.
As part of an employee contract of a past employee, the County is responsible for a death benefit of $250,000 plus inflation.
This liability will remain until the payment is made.
Change in liability for the retirement incentive and employee contracts 19,045
Revenues that are earned but not collected within sixty days after the end of the fiscal year are not considered to
be "available" to meet current cash requirements and are deferred in the Governmental Funds to the following year. However, these revenues
are recognized in the Statement of Activities. The amount by which this type of deferred inflows increased or (decreased) relative to the
prior year is as follows:
Change in Property Tax Deferred Inflows (295,106)
Change in Income Tax Deferred Inflows 5,472,988
Issuance of long-term debt (e.g., bonds, notes, and capital leases) provides current financial resources
to Governmental Funds, while repayment of principal due for long-term debt consumes current resources. In the Statement of Net Position,
issuing debt increases long term liabilities, while repayment reduces those liabilities.
Retirements and repayments made on long term debt 21,264,955
Proceeds of debt (27,650,691)
College reimbursement received (48,029)
County's allocation to College for debt 14,205
Deferred Refunding Costs (112,518)
(6,532,078)
Some accrued expenses, reported in the Statement of Activities, do not require the use of current financial
resources and are not reported as expenditures in the Governmental Funds.
Change in:
Accrued Interest Payable (50,950)
OPEB 9,967,582
Net pension liability - Maryland State Pension (4,343,281)
Net LOSAP Liability (1,554,430)
Accrued Compensated Absences (270,246)
Deferred outflow of resources - OPEB (443,930)
Deferred outflow of resources - Maryland State Pension 1,436,587
Deferred outflow of resources - LOSAP 707,153
Deferred inflow of resources - OPEB (9,140,672)
Deferred inflow of resources - Maryland State Pension 1,014,631
Deferred inflow of resources - LOSAP 64,883
Deferred inflow of resources - Refundings (123,360)
Change in Net Position - governmental activities, per Statement of Activities $ 31,744,997
The accompanying notes to the basic financial statements are an integral part of this statement.
-39-

QUEEN ANNE'S COUNTY, MARYLAND
STATEMENT OF NET POSITION
ENTERPRISE FUNDS
JUNE 30, 2021
SANITARY DISTRICT
SEWER WATER RESTRICTED
ASSETS OPERATIONS OPERATIONS FUND
Current Assets
Unrestricted
Equity in Pooled Cash $ 7,119,528 $ 5,882,708 $ -
Accounts Receivable (Net) 374,640 1 95,607 -
Loans Receivable 74,132 - -
Due from Other Governments - - -
Inventories 738,969 - -
Restricted
Restricted Equity in Pooled Cash - - 1 6,513,330
Restricted Accounts Receivable (Net) - - 2 ,606,798
Total Current Assets 8,307,269 6 ,078,315 1 9,120,128
Noncurrent Assets
Restricted
Special Assessments Receivable (Net) - - 8 66,497
Capital Assets 134,786,721 3 3,869,728 -
Less Accumulated Depreciation (53,737,834) (12,158,586) -
Total Capital Assets, Net of Depreciation 81,048,887 2 1,711,142 -
Total Noncurrent Assets 81,048,887 2 1,711,142 8 66,497
Total Assets 89,356,156 2 7,789,457 1 9,986,625
DEFERRED OUTFLOWS OF RESOURCES
OPEB 154,036 4 4,532 -
Pension Benefits 400,216 116,230 -
Deferred Charge on Refunding - - -
Total Deferred Outflows of Resources 554,252 1 60,762 -
LIABILITIES
Current Liabilities
Payable from Unrestricted Assets
Accounts Payable 2,166,853 7 5,852 -
Accrued Interest Payable 118,806 - -
Escrow Deposits 159,244 - -
Due to Other Funds - - -
Unearned Revenue 127,383 - -
Current Portion of Compensated Absences 159,194 3 9,782 -
Current Portion of Bonds/Notes Payable 1,898,092 - -
Total Current Liabilities 4,629,572 115,634 -
Noncurrent Liabilities
Payable from Unrestricted Assets
Compensated Absences 134,217 3 3,541 -
OPEB 4,858,003 1 ,475,997 -
Net Pension Liability 2,042,931 5 80,677 -
Bonds/Notes Payable 32,534,843 - -
Total Noncurrent Liabilities 39,569,994 2 ,090,215 -
Total Liabilities 44,199,566 2 ,205,849 -
DEFERRED INFLOWS OF RESOURCES
OPEB 947,121 2 42,958 -
Pension Benefits 136,363 4 0,383 -
Bond Refundings - - -
Unavailable Water and Sewer Assessments - - 8 66,497
Total Deferred Inflows of Resources 1,083,484 283,341 866,497
NET POSITION
Net Investment in Capital Assets 46,615,952 2 1,711,142 -
Amounts Restricted for:
Debt Service - - -
Other Purposes - - -
Unrestricted Amounts (Deficit) (1,988,594) 3 ,749,887 1 9,120,128
Total Net Position $ 44,627,358 $ 25,461,029 $ 19,120,128
The accompanying notes to the basic financial statements are an integral part of this statement.
-40-

QUEEN ANNE'S COUNTY, MARYLAND
STATEMENT OF NET POSITION
ENTERPRISE FUNDS
JUNE 30, 2021
(CONTINUED)
TOTAL
PRIMARY
SANITARY DISTRICT NON-MAJOR GOVERNMENT
DEBT SERVICE BAY BRIDGE ENTERPRISE ENTERPRISE
FUND TOTAL AIRPORT FUNDS FUNDS
$ - $ 13,002,236 $ 2,986,737 $ 533,078 $ 16,522,051
- 570,247 15,490 6 2,489 6 48,226
- 74,132 - - 7 4,132
- - - 2 3,950 2 3,950
- 738,969 33,970 4 ,914 7 77,853
2 ,684,988 19,198,318 - - 1 9,198,318
7 56,000 3,362,798 - - 3 ,362,798
3 ,440,988 36,946,700 3,036,197 6 24,431 4 0,607,328
1 4,733,028 15,599,525 - - 1 5,599,525
- 168,656,449 21,433,630 9 ,401,309 199,491,388
- ( 65,896,420) (5,979,515) (2,217,346) (74,093,281)
- 102,760,029 15,454,115 7 ,183,963 125,398,107
1 4,733,028 118,359,554 15,454,115 7 ,183,963 140,997,632
1 8,174,016 155,306,254 18,490,312 7 ,808,394 181,604,960
- 198,568 1,848 7 ,208 2 07,624
- 516,446 16,298 4 5,859 5 78,603
- - 6,193 8 83 7 ,076
- 715,014 24,339 5 3,950 7 93,303
- 2,242,705 5,283 6 8,563 2 ,316,551
- 118,806 19,853 7 ,578 1 46,237
- 159,244 17,900 - 1 77,144
- - 1,049,799 5 46,019 1 ,595,818
- 127,383 - 2 ,797 1 30,180
- 198,976 14,092 2 6,279 2 39,347
- 1,898,092 105,703 6 3,149 2 ,066,944
- 4,745,206 1,212,630 7 14,385 6 ,672,221
- 167,758 11,881 2 2,156 2 01,795
- 6,334,000 267,533 2 71,362 6 ,872,895
- 2,623,608 82,580 2 21,044 2 ,927,232
- 32,534,843 1,505,849 6 62,340 3 4,703,032
- 41,660,209 1,867,843 1 ,176,902 4 4,704,954
- 46,405,415 3,080,473 1 ,891,287 5 1,377,175
- 1,190,079 11,223 4 3,118 1 ,244,420
- 176,746 5,464 1 6,392 1 98,602
- - 378 2 ,007 2 ,385
1 4,733,028 15,599,525 - - 1 5,599,525
1 4,733,028 16,966,350 17,065 6 1,517 1 7,044,932
- 68,327,094 13,848,756 6 ,459,357 8 8,635,207
3 ,440,988 3,440,988 1,222,838 - 4 ,663,826
- - 1,658,527 - 1 ,658,527
- 20,881,421 (1,313,008) (549,817) 1 9,018,596
$ 3,440,988 $ 92,649,503 $ 15,417,113 $ 5,909,540 $ 113,976,156
The accompanying notes to the basic financial statements are an integral part of this statement.
-41-

QUEEN ANNE'S COUNTY, MARYLAND
STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN NET POSITION
ENTERPRISE FUNDS
FOR THE YEAR ENDED JUNE 30, 2021
SANITARY DISTRICT
SEWER WATER RESTRICTED
OPERATIONS OPERATIONS FUND
OPERATING REVENUES
Charges for Services $ 6,845,336 $ 2,736,665 $ 2,313,335
Intergovernmental 90,000 - 3,495,250
Material Sales - 11,942 -
Miscellaneous Revenues 191,951 197,976 -
Total Operating Revenues 7,127,287 2,946,583 5,808,585
OPERATING EXPENSES
Cost of Sales and Services
Collection 3,288,538 - -
Distribution - 229,296 -
Treatment 1,490,366 1,233,916 -
Shop 208,504 105,273 -
Airport - - -
Recreation - - -
Total Cost of Sales and Services 4,987,408 1,568,485 -
Administration and Inspection 1,505,579 604,077 -
OPEB (39,615) (10,160) -
Pension Liability Adjustment 133,503 27,102 -
Depreciation 2,288,500 724,261 -
Total Operating Expenses 8,875,375 2,913,765 -
Operating Income (Loss) (1,748,088) 32,818 5,808,585
NON-OPERATING REVENUES (EXPENSES)
Investment Income 97,451 79,306 132,701
Interest Expense (368,035) - -
Gain on Disposal of Capital Assets 5,778 - -
Transfer of Capital Asset to Governmental Fund (18,946) - -
Total Non-Operating Revenues (Expenses) (283,752) 79,306 132,701
Income (Loss) Before Contributions and Transfers (2,031,840) 112,124 5,941,286
Capital Contributions, Fees and Grants 1,246,421 1,422,067 -
TRANSFERS
Transfers In 1,059,710 - -
Transfers Out (5,000) (5,000) (1,054,607)
Net Transfers In (Out) 1,054,710 (5,000) (1,054,607)
Change in Net Position 269,291 1,529,191 4,886,679
Total Net Position - Beginning of Year 44,358,067 23,931,838 14,233,449
Total Net Position - End of Year $ 44,627,358 $ 25,461,029 $ 19,120,128
The accompanying notes to the basic financial statements are an integral part of this statement.
-42-

QUEEN ANNE'S COUNTY, MARYLAND
STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN NET POSITION
ENTERPRISE FUNDS
FOR THE YEAR ENDED JUNE 30, 2021
(CONTINUED)
TOTAL
PRIMARY
SANITARY DISTRICT NON-MAJOR GOVERNMENT
DEBT SERVICE BAY BRIDGE ENTERPRISE ENTERPRISE
FUND TOTAL AIRPORT FUNDS FUNDS
$ 278,814 $ 12,174,150 $ 24,920 $ 1,133,262 $ 13,332,332
1,014,750 4,600,000 20,180 178,208 4,798,388
- 11,942 170,172 44,555 226,669
- 389,927 537,023 35,698 962,648
1,293,564 17,176,019 752,295 1,391,723 19,320,037
- 3,288,538 - - 3,288,538
- 229,296 - - 229,296
- 2,724,282 - - 2,724,282
- 313,777 - - 313,777
- - 417,623 - 417,623
- - - 1,448,613 1,448,613
- 6,555,893 417,623 1,448,613 8,422,129
- 2,109,656 - - 2,109,656
- (49,775) ( 469) (1,804) ( 52,048)
- 160,605 6,431 7,308 174,344
- 3,012,761 431,380 154,770 3,598,911
- 11,789,140 854,965 1,608,887 14,252,992
1,293,564 5,386,879 ( 102,670) (217,164) 5,067,045
115,209 424,667 316 - 424,983
- (368,035) ( 85,223) (18,718) ( 471,976)
- 5,778 566,316 1,406 573,500
- (18,946) - (8,250) ( 27,196)
115,209 43,464 481,409 (25,562) 499,311
1,408,773 5,430,343 378,739 (242,726) 5,566,356
- 2,668,488 - - 2,668,488
1,054,607 2,114,317 59,669 127,763 2,301,749
( 1,059,710) (2,124,317) - - ( 2,124,317)
( 5,103) (10,000) 59,669 127,763 177,432
1,403,670 8,088,831 438,408 (114,963) 8,412,276
2,037,318 84,560,672 14,978,705 6,024,503 105,563,880
$ 3,440,988 $ 92,649,503 $ 15,417,113 $ 5,909,540 $ 113,976,156
The accompanying notes to the basic financial statements are an integral part of this statement.
-43-

QUEEN ANNE'S COUNTY, MARYLAND
STATEMENT OF CASH FLOWS
ENTERPRISE FUNDS
FOR THE YEAR ENDED JUNE 30, 2021
SANITARY DISTRICT
SEWER WATER RESTRICTED
OPERATIONS OPERATIONS FUND
CASH FLOWS FROM OPERATING ACTIVITIES
Receipts from customers and users $ 6,735,922 $ 2,727,513 $ 2,347,006
Receipts from other operating sources 281,951 209,918 891,250
Payments to suppliers (1,030,598) (1,193,140) -
Payments to employees and on behalf of employees (4,195,269) (1,015,419) -
Net Cash Provided by Operating Activities 1,792,006 728,872 3,238,256
CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES
Transfers in from other funds 1,059,710 - -
Receipts from interfund loans - - -
Transfers to other funds (5,000) (5,000) (1,054,607)
Principal paid on interfund loans - - -
Net Cash Provided (Used) by Noncapital Financing Activities 1,054,710 (5,000) (1,054,607)
CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES
Proceeds from the disposition of capital assets 5,778 - -
Principal paid on capital debt (943,404) - -
Proceeds from the sale of bonds - - -
Proceeds from refunding of long term debt - - -
Premium on the sale of bonds - - -
Deferred Refunding costs on sale of bonds - - -
Receipts from state loan 3,443,970 - -
Increase in loans receivable (74,132) - -
Interest paid on capital debt (360,530) - -
Acquisition and construction of capital assets (6,532,565) (510,286) -
Net Cash Provided (Used) by Capital and Related Financing Activities (4,460,883) (510,286) -
CASH FLOWS FROM INVESTING ACTIVITIES
Net Cash Provided by Investing Activities - Investment Income 97,451 79,306 132,701
Net Increase (Decrease) in Cash and Cash Equivalents (1,516,716) 292,892 2,316,350
Balances - Beginning of the year 8,636,244 5,589,816 14,196,980
Balances - End of the year $ 7,119,528 $ 5,882,708 $ 16,513,330
Reconciliation of operating income (loss) to net cash
provided by operating activities
Operating income (loss) $ (1,748,088) $ 32,818 $ 5,808,585
Adjustments to reconcile operating income (loss)
to net cash provided by operating activities:
Depreciation 2,288,500 724,261 -
Effect of changes in operating assets and liabilities:
Accounts receivable, net 23,397 (9,152) 33,671
Special assessments receivable, net - - 405,694
Operating grants receivable - - (2,604,000)
Inventories and Prepaid Expenses (61,985) - -
Vendor accounts payable 1,294,681 (23,213) -
Compensated absences 34,424 (12,784) -
OPEB (39,615) (10,160) -
Pension Obligation 133,503 27,102 -
Escrow deposits payable (14,554) - -
Deferred revenue collected in advance (118,257) - (405,694)
Net Cash Provided (Used) by Operating Activities $ 1,792,006 $ 728,872 $ 3,238,256
Noncash investing, capital and financing activities:
Donation of capital assets (infrastructure) by developers $ 1,246,421 $ 1,422,067 $ -
The accompanying notes to the basic financial statements are an integral part of this statement.
-44-

QUEEN ANNE'S COUNTY, MARYLAND
STATEMENT OF CASH FLOWS
ENTERPRISE FUNDS
FOR THE YEAR ENDED JUNE 30, 2021
(CONTINUED)
TOTAL
PRIMARY
SANITARY DISTRICT NON-MAJOR GOVERNMENT
DEBT SERVICE BAY BRIDGE ENTERPRISE ENTERPRISE
FUND TOTAL AIRPORT FUNDS FUNDS
$ 284,265 $ 12,094,706 $ 32,705 $ 1,143,720 $ 13,271,131
258,750 1,641,869 786,976 247,641 2,676,486
- (2,223,738) (259,991) (1,060,647) (3,544,376)
- (5,210,688) (159,480) (379,096) (5,749,264)
543,015 6,302,149 400,210 (48,382) 6,653,977
1,054,607 2,114,317 59,669 127,763 2,301,749
- - - 546,019 546,019
(1,059,710) (2,124,317) - - (2,124,317)
- - (54,800) (693,566) (748,366)
(5,103) (10,000) 4,869 (19,784) (24,915)
- 5,778 2,881,366 1,406 2,888,550
- (943,404) (107,954) (131,557) (1,182,915)
- - 22,686 - 22,686
- - 11,134 67,871 79,005
- - 2,297 14,002 16,299
- - (37) (412) (449)
- 3,443,970 - - 3,443,970
- (74,132) - - (74,132)
- (360,530) (93,225) (29,255) (483,010)
- (7,042,851) (177,425) (111,000) (7,331,276)
- (4,971,169) 2,538,842 (188,945) (2,621,272)
115,209 424,667 316 - 424,983
653,121 1,745,647 2,944,237 (257,111) 4,432,773
2,031,867 30,454,907 42,500 790,189 31,287,596
$ 2,684,988 $ 32,200,554 $ 2 ,986,737 $ 533,078 $ 35,720,369
$ 1,293,564 $ 5,386,879 $ (102,670) $ (217,164) $ 5,067,045
- 3,012,761 431,380 154,770 3,598,911
- 47,916 6,985 11,015 65,916
(3,577,307) (3,171,613) - - (3,171,613)
(756,000) (3,360,000) 59,601 (10,820) (3,311,219)
- (61,985) 45 (2,150) (64,090)
- 1,271,468 (6,301) 10,806 1,275,973
- 21,640 4,408 214 26,262
- (49,775) (469) (1,804) (52,048)
- 160,605 6,431 7,308 174,344
- (14,554) 800 - (13,754)
3,582,758 3,058,807 - (557) 3,058,250
$ 543,015 $ 6,302,149 $ 400,210 $ (48,382) $ 6,653,977
$ - $ 2,668,488 $ - $ - $ 2,668,488
The accompanying notes to the basic financial statements are an integral part of this statement.
-45-

QUEEN ANNE'S COUNTY, MARYLAND
STATEMENT OF FIDUCIARY NET POSITION
PRIVATE PURPOSE TRUST, OTHER POST-EMPLOYMENT BENEFIT TRUST, AND CUSTODIAL FUNDS
JUNE 30, 2021
PRIVATE
PURPOSE
TRUST FUND OTHER
TAX SALE POST-EMPLOYMENT CUSTODIAL
DEPOSITS BENEFIT TRUST FUND FUNDS
ASSETS
Cash and Cash Equivalents $ 1 31,244 $ 700,075 $ 8 80,821
Investments, at Fair Value
Debt Securities - 3,606,810 -
Fixed Income Fund - 621,106 -
Mutual and Global Funds - 6,407,848 -
International - 1,845,276 -
Total Investments - 12,481,040 -
Total Assets 1 31,244 13,181,115 8 80,821
LIABILITIES
Accounts Payable and Other Liabilities - 1 2,420 -
Due to Other Governments - - 3 7,945
Total Liabilities - 1 2,420 3 7,945
NET POSITION
Restricted for:
Held in Trust 1 31,244 - -
Other Post-Employment Benefits - 13,168,695 -
Individuals, Organizations, and other Governments - - 842,876
Total Net Position $ 131,244 $ 13,168,695 $ 842,876
The accompanying notes to the basic financial statements are an integral part of this statement.
-46-

QUEEN ANNE'S COUNTY, MARYLAND
STATEMENT OF CHANGES IN FIDUCIARY NET POSITION
PRIVATE PURPOSE TRUST, OTHER POST-EMPLOYMENT BENEFIT TRUST, AND CUSTODIAL FUNDS
FOR THE YEAR ENDED JUNE 30, 2021
PRIVATE
PURPOSE
TRUST FUND OTHER
TAX SALE POST-EMPLOYMENT CUSTODIAL
DEPOSITS BENEFIT TRUST FUND FUNDS
ADDITIONS
Contributions:
Tax Sale Collections in Excess of Tax Due $ 79,149 $ - $ -
Employers - 3,612,555 -
Members - 384,264 -
Total Contributions 79,149 3,996,819 -
Investment Earnings
Net Increase in the Fair Value of Investments - 1,885,733 -
Interest - 430,535 -
Total Investment Earnings - 2,316,268 -
Less Investment Administrative Expenses - 5 ,652 -
Net Investment Earnings - 2,310,616 -
Tax Collections for Other Governments - - 1 3,936,739
Zoning Deposits - - 2 14,928
Motor Vehicle Administration - - 1 92,583
Inmate Welfare - - 2 08,288
Tax Ditch - - 2 3,447
Total Additions 79,149 6,307,435 1 4,575,985
DEDUCTIONS
Distributions to Property Holders 693 - -
Claims Paid for Other Post-Employment Benefits - 2,054,359 -
Administrative Expenses - 41,582 -
Withdrawal of Funds to Separate Trust - 553,404 -
Payments of Tax to Other Governments - - 1 3,936,739
Payments of Escheat to Other Governments - - 3 ,677
Payments of Escheat to Others - - 1 1,601
Refund of Zoning Deposits - - 3 0,031
Payments to Motor Vehicle Administration - - 1 92,583
Distributions of Inmate Welfare Funds - - 1 92,784
Distributions of Tax Ditch Funds - - 1 5,508
Total Deductions 693 2,649,345 1 4,382,923
Net Increase in Fiduciary Net Position 78,456 3,658,090 1 93,062
Net Position-Beginning of Year, as restated 52,788 9,510,605 6 49,814
Net Position-End of Year $ 131,244 $ 13,168,695 $ 8 42,876
The accompanying notes to the basic financial statements are an integral part of this statement.
-47-

QUEEN ANNE'S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
INDEX
Note
1 Summary of Significant Accounting Policies 49-60
2 Budgets and Budgetary Accounting 60-61
3 Cash, Investments and Investment Income 62-67
4 Accounts Receivable 68-69
5 Unearned Revenue 70
6 Capital Assets 71-75
7 Interfund Receivables and Payables 76
8 Interfund Transfers 77
9 Noncurrent Liabilities 78-86
10 Restricted Assets and Liabilities
and Fund Balances 87-90
11 Risk Management 90-91
12 Retirement Plans 91-100
13 Deferred Compensation Plan 100
14 Other Post-Employment Benefits 100-115
15 Volunteer Fireman Pension Plan Length of Service Award Program 115-118
16 Deficit Equity Balances 118
17 Commitments and Contingencies 119
18 Joint Venture 120
19 Pollution Remediation Obligations 120-121
20 Prior Period Restatement 121
-48-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The accounting policies of the County conform to accounting principles generally accepted in the United States of
America (GAAP) applicable to local government entities. The following is a summary of significant policies.
A. REPORTING ENTITY
Queen Anne’s County, Maryland (the County) was founded in 1706. The County is governed by five Commissioners who are
elected to serve four-year terms. This board assumes responsibilities conferred upon them by the Maryland General Assembly
under Code Home Rule and provides the following services: public safety, public facility/infrastructure maintenance and
improvements, sanitation, health and social services, education, recreation and culture, library, conservation of natural resources,
economic and community development, and general administrative services.
As required by GAAP, these financial statements present the primary government and its component units, which are entities for
which the primary government is considered financially accountable. The decision to include a potential component unit in the
financial reporting entity was made by applying the criteria set forth in the Government Accounting Standards Board (GASB)
Statements No. 14 and 39. Blended component units, although separate entities, are in substance, part of the government’s
operations. However, each discretely presented component unit is reported in a separate column in the government-wide financial
statements (see note below for descriptions) to emphasize that it is legally separate from the government.
Blended Component Units
The Queen Anne’s County Sanitary District serves citizens of the government and is governed by a board comprised of the
government’s elected Commissioners. The rates for user charges and bond issuance authorizations are approved by the Board of
Commissioners and the legal liability for the general obligation portion of the District’s debt remains with the government. The
Sanitary District is reported as an enterprise fund.
The Queen Anne’s County Roads Board serves all the citizens of the government and is governed by a board comprised of the
government’s elected Commissioners. All operations of the Roads Board are approved by the Board of Commissioners and the
legal liability for any debt remains with the government. The Roads Operating Fund is included in with the General Fund.
Discretely Presented Component Units
Component units are legally separate entities that are included in the County’s reporting entity because of the significance of their
operating or financial relationships with the County. The criteria for including organizations as component units within the
County’s reporting entity include whether:
 the organization is legally separate
 the County Commissioners appoint a voting majority of the organization’s board
 the County Commissioners have the ability to impose their will on the organization
 the organization has the potential to impose a financial benefit/burden on the County
 the organization is fiscally dependent on the County
Based on the application of these criteria, the following organizations are considered component units of Queen Anne’s County
Government. Their financial data is discretely presented in separate columns in the government-wide financial statements. Both
discretely presented component units have a June 30 year end.
The Board of Education of Queen Anne’s County is a five-member body responsible for the operation of Queen Anne’s County
Schools. Beginning with the November 2008 election, the members were elected by the County voters. The Board of Education
is a component unit of Queen Anne’s County, Maryland by virtue of the Board’s fiscal dependency on the County through the
County’s responsibility for levying taxes, issuing debt, and its budgetary control over the Board of Education.
The Queen Anne’s County Free Library is a component unit of the Queen Anne’s County Government by virtue of the
Library’s fiscal dependency on the County. The County levies taxes and approves the Library’s budget. The Library Board of
Trustees governs the Library. Vacancies on the Board of Trustees are filled by vote of the remaining members of that Board.
-49-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
A. REPORTING ENTITY (CONTINUED)
Discretely Presented Component Units (continued)
Complete financial statements of the discretely presented component units can be obtained from their respective
administrative offices listed below:
Board of Education of Queen Anne’s County
Queen Anne’s County Free Library
202 Chesterfield Avenue 121 S. Commerce Street
Centreville, MD 21617 Centreville, MD 21617
Joint Venture
The operation of the Midshore Regional Landfill is considered a joint venture of the County. Disclosure of the County’s
participation in this joint venture is presented in Note 18.
Complete financial statements can be obtained at the joint ventures’ administrative office listed below:
Maryland Environmental Service
259 Najoles Road
Millersville, Maryland 21108
B. GOVERNMENT-WIDE AND FUND FINANCIAL STATEMENTS
Government-Wide Financial Statements – The government-wide financial statements report information on all of the non-
fiduciary activities of the Primary Government and its component units. Since, by definition, assets of fiduciary funds are held for
the benefit of a third party (other local governments, private parties, etc.) and cannot be used to address activities or obligations of
the County, these funds are not incorporated into the government-wide statements.
Interfund activity within the primary government’s governmental activities and business-type activities has been
eliminated from the government-wide statements. Interfund services provided and used are not eliminated in the process
of consolidation. Residual balances between the governmental and business-type categories are presented on the
Statement of Net Position as “Internal balances”.
Governmental activities of the Primary Government, which normally are supported by taxes and intergovernmental revenues, are
reported separately from business-type activities, which rely to a significant extent on fees and charges for support.
Statement of Net Position – This statement is designed to display the financial position of the reporting entity as of year-end.
Governments report all capital assets, including infrastructure, in the government-wide Statement of Net Position and report
depreciation expense, the cost of “using up” capital assets, in the Statement of Activities. Net position is divided into three
categories: 1) net investment in capital assets; 2) restricted amounts; and 3) unrestricted amounts. Net Investment in capital assets
consists of capital assets, net of accumulated depreciation, and reduced by the outstanding balances of any bonds, mortgages,
notes, or other borrowings that are attributable to the acquisition, construction, or improvement of those capital assets. Restricted
amounts are assets for which constraints are placed due to restrictions that are either (1) externally imposed by creditors, grantors,
contributors, or laws and regulations of the government, or (2) imposed by law through constitutional provisions or enabling
legislation. Unrestricted amounts consist of net assets that do not meet the definition of restricted or invested in capital assets.
-50-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
B. GOVERNMENT-WIDE AND FUND FINANCIAL STATEMENTS (CONTINUED)
Statement of Activities – This statement demonstrates the degree to which the direct expenses of a given function for the fiscal
year are offset by program revenues. Therefore, this statement reflects both the gross and net costs per functional category (general
government; public safety; public works; parks and recreation; health; social services; education; library; conservation of natural
resources; and economic/community development) that are otherwise supported by general revenues. Direct expenses (including
depreciation) are those that are clearly identifiable with a specific function. Program revenues include: 1) charges to customers or
applicants who purchase, use, or directly benefit from goods, services, or privileges provided by a given function and 2) grants and
contributions that are restricted to meeting the operational or capital requirements of a particular function. The operating grants
and contributions column includes operating-specific and discretionary (either operating or capital) grants, while the capital grants
and contributions column reflects capital-specific grants. Taxes and other items not properly included among program revenues
are reported as general revenues. The County does not allocate indirect expenses.
Fund Financial Statements – Separate financial statements are provided for governmental funds and proprietary funds. Major
individual governmental funds and major individual enterprise funds are reported as separate columns in the fund financial
statements.
In the fund financial statements, financial transactions and accounts of the County are organized on the basis of funds, each of
which is considered a separate accounting entity. The operations of each fund are accounted for with a separate set of self-
balancing accounts that comprise assets, liabilities, fund balance/net assets, revenues, and expenditures/expenses.
Governmental Fund Budget-to-Actual Comparison Statements – Demonstrating compliance with the legally adopted budget
is an important component of government’s accountability to the public. The County provides a budget-to-actual comparison of
the General Fund as part of the required supplementary information section located after the Notes to the basic financial
statements. A budget-to-actual comparison is provided for the General Fund on a departmental level as required supplementary
information, and for all non-major governmental funds with legally adopted budgets in the supplementary information section.
The County and many other governments revise their original budgets over the course of the year for a variety of reasons; the
County’s amended budget is reflected in a separate column in the budget-to-actual comparison statements. Variances are
calculated based on final budgets.
C. MEASUREMENT FOCUS, BASIS OF ACCOUNTING, AND FINANCIAL STATEMENT PRESENTATION
Measurement Focus and Basis of Accounting
Full Accrual Basis Financial Statements – The government-wide financial statements are reported using the economic resources
measurement focus and the accrual basis of accounting, as are the proprietary fund financial statements. Revenues are recorded
when earned and expenses are recorded when a liability is incurred, regardless of the timing of related cash flows. Property taxes
are recognized as revenue in the year in which they are levied. Grants and similar items are recognized as revenues as soon as all
eligibility requirements imposed by the provider have been met. Capital assets and related depreciation are recorded in these
statements, as well as debt, accrued compensated absences, other post-employment benefits, and other accruals.
Modified Accrual Basis Financial Statements – Governmental fund financial statements are reported using the current financial
resources measurement focus and the modified accrual basis of accounting.
-51-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
C. MEASUREMENT FOCUS, BASIS OF ACCOUNTING, AND FINANCIAL STATEMENT PRESENTATION
(CONTINUED)
Revenues are recorded as soon as they are susceptible to accrual (i.e., when they are both measurable and available). Revenues are
considered to be available when they are collectible within the current period, or soon enough thereafter to pay liabilities of the
current period. Expenditures generally are recorded when a liability is incurred, as under accrual accounting. However, debt
service expenditures are recorded only when payment has matured and is due. Similarly, expenditures related to claims,
judgments, compensated absences, and other post-employment benefits are recorded only to the extent that they are expected to be
liquidated with expendable available financial resources. Capital assets, and related depreciation, as well as long-term liabilities
are not recorded in these statements.
In applying the susceptible to accrual concept to income taxes (distributed by the State), property taxes, and inter-governmental
revenues other than grants, the County defines “available” as received within 60 days after year-end.
In the State of Maryland, the State has assumed responsibility for the collection of all income taxes and for distributing those
collections to the respective counties. The counties set their individual tax rates within limits provided by State law. However,
collection and pursuit of delinquent taxes are the responsibility of the State. The County records estimated receivables relating to
income taxes when the underlying income is earned. Amounts not received within 60 days are reported as deferred inflows of
resources. At year-end, deferred revenue relating to income taxes primarily includes the final fiscal year distribution (which is
normally received in September after the fiscal year-end) and amounts related to late filers, delinquent returns and audits, and
unallocated withholding, all of which are not received within the County’s availability period. Most deferred inflows are expected
to be received from the State within the next fiscal year; however, collections related to delinquent returns and audits as well as
unallocated withholding may not be remitted to the County for several years.
In applying the susceptible to accrual concept to operating and capital grants, which are classified with intergovernmental revenues
in the fund financial statements, the County records receivables when the applicable eligibility requirements including time
requirements are met. Related revenues are recognized to the extent that cash is expected to be received within one year of year-
end. Resources received before the eligibility requirements are met are reported as unearned revenue.
Licenses and permits, charges for services, and miscellaneous revenues (except earnings on investments) are generally recorded as
revenues when received in cash during the year. At year-end, receivables are recorded for significant amounts due. If such
amounts are received in cash after year-end within the County’s 60-day availability period, they are recognized as revenue. Benefit
assessment receivables not billed at year end are reported as deferred inflows of resources.
Fiduciary Funds – The County’s trust fund financial statements are reported using the economic resources measurement focus
and accrual basis of accounting, as is used by proprietary funds. Custodial funds report assets, liabilities, and changes in net
position. Since fiduciary funds are, by their very nature, independent of the County, they are omitted from all government-wide
statements.
Financial Statement Presentation - The County reports the following major governmental and proprietary funds, as well as
fiduciary funds.
-52-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
C. MEASUREMENT FOCUS, BASIS OF ACCOUNTING, AND FINANCIAL STATEMENT PRESENTATION
(CONTINUED)
General Fund – This fund is the general operating fund of the County. It is used to account for all financial resources
except those required or recommended, by GAAP, to be accounted for in another fund.
Capital Projects Funds –
General Capital Projects - This fund accounts for financial resources to be used for the acquisition or
construction of major capital facilities, as well as other large multi-year projects that relate to capital assets, that
are financed from general governmental resources.
Roads Capital Projects - This fund accounts for financial resources to be used for the construction of County
Road infrastructure, as well as other large multi-year projects that relate to capital assets, that are financed from
grants received from State and Federal Governments, Highway User Tax funds, and general governmental
resources.
Non-Major Governmental Funds – There are eighteen non-major governmental funds, which are used to account for
and report the proceeds of specific revenue sources. Included in the eighteen non-major governmental funds are fifteen
special revenue funds and three capital project funds.
Major Enterprise Funds - Enterprise Funds are used to account for those activities of the Primary Government that are
financed and operated in a manner similar to private business enterprises in that all costs and expenses, including
depreciation, are recovered primarily or partially through user charges. The Sanitary District Funds are intended to be
self-supporting as a whole, while the Airport is intended to be only partially self-supporting. The County reports the
following major enterprise funds:
Sanitary District -
Sewer Operations - This fund is used to account for the operation of the sewer system serving
approximately 9,455 customers.
Water Operations - This fund is used to account for the operation of the water supply system
serving approximately 5,232 customers.
Restricted Fund - This fund is used to account for the proceeds of sewer and water capacity charges
(one-time allocation fees) and is used to fund capital and debt service expenses.
Debt Service Fund - This fund is used to account for the collection of special benefit assessments,
and financial resources from other sources, to fund debt associated with construction of water and
sewer facilities in accordance with debt covenants.
Bay Bridge Airport – This fund is used to account for the operation of the County’s airport that serves small,
private aircraft.
-53-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
C. MEASUREMENT FOCUS, BASIS OF ACCOUNTING, AND FINANCIAL STATEMENT PRESENTATION
(CONTINUED)
Non-Major Enterprise Funds – Non-major Enterprise Funds account for activities which are commercial in nature and
are primarily or partially intended to be self-supporting. The County has two non-major enterprise funds, neither of
which is meant to be fully self-supporting. These funds include the Golf Course and Public Landings and Marinas.
Fiduciary Funds – Fiduciary Funds are used to report assets held in a trustee or agency capacity for entities other than
the County. The County reports the following fiduciary fund types:
Private-Purpose Trust Fund – This fund accounts for an arrangement under which monies received at tax sale,
in excess of taxes due, are legally held in trust for property owners who have not been located within a legally-
defined time frame.
Other Post-Employment Benefit Trust Fund– This fund accounted for the funding of retiree benefit plans of
Queen Anne’s County and other participating agencies, which are the Queen Anne’s County Board of
Education and Queen Anne’s County Free Library through August 2020. In August 2020, the
combined Trust was closed. From that period on, this fund only accounts for the Queen Anne’s County
portion of the MACo (Maryland Association of Counties) pooled OPEB Investment Trust Fund.
Custodial Funds - These funds are used to account for deposits that are collected and held on behalf of
individuals, organizations, and other governments. These monies include escrow deposits for tax ditches, zoning
deposits, state and town tax collections, motor vehicle administration deposits, abandoned property, and inmate
welfare funds.
Certain amounts in the prior years’ financial statements have been reclassified to conform to the current year’s
presentation.
The financial statements of the County have been prepared in conformity with generally accepted accounting principles
(GAAP) as applied to local government units. The Governmental Accounting Standards Board (GASB) is the accepted
standard-setting body for establishing governmental accounting and financial principles. The most significant of the
County’s accounting policies are described below.
In the process of aggregating data for the Statement of Net Position and the Statement of Activities, some amounts reported as
interfund activity and balances in the funds should be eliminated or reclassified. As a general rule, the effect of interfund activity
has been eliminated from the government-wide financial statements. The effect of interfund services provided and used between
functions has not been eliminated in the Statement of Activities, since to do so would distort the direct costs and program revenues
reported for the various functions concerned.
Proprietary funds distinguish operating revenues and expenses from non-operating items. Operating revenues and expenses
generally result from providing services and producing and delivering goods in connection with a proprietary fund’s principal
ongoing operations. The principal operating revenues of the enterprise funds are charges to customers for sales and services.
Operating expenses for enterprise funds include the cost of sales and services, administrative expenses, and depreciation on capital
assets. All revenues and expenses not meeting this definition are reported as non-operating revenues and expenses.
-54-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
D. ASSETS, LIABILITIES, AND NET POSITION OR EQUITY
1) Cash and Investments
Cash and Cash Equivalents – For Statement of Cash Flows reporting purposes, the County has defined “cash
equivalents” as short-term, highly liquid investments that are both readily convertible to known amounts of cash and
so near their maturity that they present an insignificant risk of changes in value because of changes in interest rates.
Generally, only investments with maturities of three months or less at time of purchase meet this definition. The
balance sheet classification for “cash and cash equivalents” in the Statement of Cash Flows includes the following:
“Equity in pooled cash and investments,” “Cash and cash equivalents,” and “Restricted Equity in pooled cash and
investments.”
2) Receivables and Payables
Due To/From Other Funds and Internal Balances – Activity between funds that are representative of
lending/borrowing arrangements outstanding at the end of the year are current and are referred to as “due to/from
other funds.” On the Statement of Net Position, these balances are referred to as “internal balances” and are
reported as positive and negative “assets” that net to zero for the primary government as a whole.
Trade Accounts Receivable – Trade and other receivables are shown net of an allowance for uncollectible
accounts. The allowance for uncollectible accounts is calculated based on historical collection data and, in some
cases, specific account analysis.
3) Inventories, Prepaids, and Other Assets
Inventories consisting of materials, parts and supplies are recorded at cost and determined by the first-in, first-out
method. Inventories held for resale are reported at lower of cost or market and also determined by the first-in, first-
out method. For budgetary purposes, the cost is recorded as an expenditure at the time individual inventory items
are purchased (purchase method). The consumption method is used for financial reporting purposes whereby
expense is recognized as the items are used (consumed). Reported inventories are equally offset by a fund balance
reserve. Inventories in the Proprietary Funds are also recorded using the consumption method.
Prepaid items are payments made to vendors for services that will benefit periods beyond the end of the fiscal year.
4) Capital Assets
Capital assets, which include property, plant, equipment, intangibles, and infrastructure assets (e.g. roads, bridges,
curbs and gutters, streets and sidewalks, drainage systems, lighting systems, and similar items) are reported in the
applicable governmental or business-type activities columns in the government-wide financial statements. The
County defines capital assets as assets with an initial, individual cost of $5,000 or more and an estimated useful life
in excess of one year. Such assets are valued at cost where historical records are available and at estimated historical
cost where no historical records exist. Donated capital assets, donated works of art and similar items, and capital
assets received in a service concession arrangement are recorded at acquisition value at the date of donation.
The costs of normal maintenance and repairs that do not add to the value or functionality of the asset, or materially
extend asset lives, are not capitalized.
Land and other inexhaustible assets such as intangible property easements and other land usage rights are capitalized
but not depreciated, as these assets are expected to have indefinite useful lives.
-55-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
D. ASSETS, LIABILITIES, AND NET POSITION OR EQUITY (CONTINUED)
4) Capital Assets (continued)
Major outlays for capital assets and improvements are capitalized as the projects are constructed. Interest is
capitalized on proprietary fund assets acquired with tax-exempt debt. The amount of interest to be capitalized is
calculated by offsetting interest expense, incurred from the date of the borrowing until completion of the project,
with interest earned on invested proceeds over the same period. Capital projects that are under construction and not
yet ready for their intended use at year-end are classified as “construction in progress” (CIP).
Capital assets are depreciated using the straight-line method over the following estimated useful lives:
Assets Years
Buildings and structures 20 - 50
Improvements other than buildings 15 - 50
Infrastructure 20 - 50
Machinery and equipment 5 - 20
Office furniture, fixtures and equipment 5 - 15
Vehicles 5 – 10
5) Deferred Outflows/Inflows of Resources
In addition to assets, the statement of financial position will 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.
In addition to liabilities, the statement of financial position will 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 until that time.
6) Other Post-Employment Benefit Obligation (OPEB)
Primary Government – The Queen Anne’s County post-employment benefit plan provides medical insurance
benefits to retirees and their eligible dependents. The Plan’s financial information is prepared based on full accrual
accounting. Expenses are recognized on the accrual basis as retirees’ insurance costs are incurred. Typically, OPEB
liabilities are liquidated in the following governmental funds: the General Fund, Department of Aging, Housing and
Community Services, and Community Partnerships for Children. OPEB liabilities are also liquidated in the
following enterprise funds: Sanitary Sewer, Sanitary Water, Bay Bridge Airport, Golf Course, and Public Landings
and Marinas. Additional details regarding OPEB can be found in Notes 9 and 14.
In both the government-wide and enterprise funds, the liability for OPEB is adjusted at the end of the fiscal year.
For the year ended June 30, 2021, OPEB amounted to $41,785,805, including both governmental ($34,912,910)
and business-type activities ($6,872,895).
Component Unit - Board of Education – For the year ended June 30, 2021, OPEB for the Board of Education
amounted to $166,845,063.
Component Unit – Free Library – For the year ended June 30, 2021, OPEB for the Library amounted to
$799,914.
-56-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
D. ASSETS, LIABILITIES, AND NET POSITION OR EQUITY (CONTINUED)
7) Net Pension Liability
Primary Government – The Queen Anne’s County government participates in the Maryland State Retirement and
Pension Systems. Beginning in fiscal year 2015, the County was required to report the net pension liability
associated with this system. Typically, pension liabilities are liquidated in the following governmental funds: the
General Fund, Department of Aging, Housing and Community Services, and Community Partnerships for Children.
Pension liabilities are also liquidated in the following enterprise funds: Sanitary Sewer, Sanitary Water, Bay Bridge
Airport, Golf Course, and Public Landings and Marinas. Additional details regarding retirement benefits can be
found in Notes 9 and 12. For the year ended June 30, 2021, the net pension liability amounted to $34,230,163,
including both governmental ($31,302,931) and business-type activities ($2,927,232).
Component Unit - Board of Education – For the year ended June 30, 2021, the net pension liability for the Board
of Education amounted to $5,794,422.
8) Volunteer Fireman Pension Plan Length of Service Award Program (LOSAP)
Primary Government – The LOSAP is a single-employer defined benefit length of service award program
that covers all volunteer members of the County’s Fire and EMS Commission. The County began
recording the net LOSAP liability associated with this benefit in fiscal year 2019 with the implementation
of Governmental Accounting Standards Board’s Statement No. 73, Accounting and Financial Reporting for
Pensions and Related Assets That are Not Within the Scope of GASB Statement 68. Additional details
regarding LOSAP benefits can be found in Notes 9 and 15. For the year ended June 30, 2021, the net LOSAP
liability amounted to $9,602,464 entirely in governmental activities.
9) Compensated Absences
Primary Government – The County’s policy is to pay employees for any unused vacation time, up to a maximum
of 65 days, upon termination of employment. Compensated absences are reported in governmental funds only if
they have matured, such as payments upon termination of employment, vacation, and compensatory time paid as
they are used during the year. Such time is paid as regular wages. Compensated absences are reported in enterprise
funds as they are accrued. In the government-wide statements, the liability for compensated absences is adjusted at
the end of each fiscal year to current salary costs. Accumulated unpaid leave of the County amounted to $3,644,580
at June 30, 2021, including both governmental ($3,203,438) and business-type activities ($441,142).
Component Unit - Board of Education – Accumulated unpaid annual leave is accrued when earned in the
Unrestricted Current Expense Fund using the modified accrual basis of accounting. In fiscal year 1992, the Board
adopted the practice of paying for any unused vacation time, up to the maximum number of days that employees
can carry over from one year to the next, upon termination of employment. Maximum number of days varies from
20 to 30 days, depending on classification. Liabilities for compensated absences are inventoried at the end of each
fiscal year and adjusted to current salary costs. Accumulated compensated absences as of June 30, 2021 amounted
to $988,733. Because payment of sick leave is contingent upon employees’ future illness or retirement, the Board of
Education expects its commitment to provide sick leave to be met during the normal course of activities over the
working lives of its present employees. Any accumulated unused sick leave at retirement will ultimately be taken
into consideration and paid through retirement benefits by the State of Maryland.
10) Long-Term Obligations
In the government-wide financial statements and proprietary fund types in the fund financial statements, long-term
debt and other long-term obligations are reported as liabilities in the applicable governmental activities, business-
type activities, or proprietary fund type statements of net assets. Bond premiums are deferred and amortized over
the life of the bonds using the bonds outstanding method. Bonds payable in the proprietary fund financial
statements and noncurrent liabilities in the government-wide financial statements are reported net of the applicable
bond premium or discount. Bond issuance costs are reported in the period in which they have been incurred.
-57-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
D. ASSETS, LIABILITIES, AND NET POSITION OR EQUITY (CONTINUED)
10) Long-Term Obligations (continued)
In the fund financial statements, governmental fund types recognize bond premiums and discounts, as well as bond
issuance costs, during the current period. The face amount of debt issued is reported as other financing sources.
Premiums received on debt issuances are reported as other financing sources while discounts on debt issuances are
reported as other financing uses. Issuance costs, whether or not withheld from the actual debt proceeds received, are
reported as expenditures. When debt is refunded in an advance refunding, payments to the Bond Refunding Agent
and associated bond issuance costs are reported as other financing uses. When debt is refunded in a current
refunding, the principal on refunded debt is reported as other financing uses.
11) Net Position/Fund Equity
In the government-wide financial statements, the County has reported an unrestricted net deficit of $1,052,567. This
deficit is due to the fact that the County issues general obligation bonded debt for purposes of capital construction on
behalf of the Queen Anne’s County Board of Education. The capital assets constructed with the proceeds of this
debt are reported on the financial statements of Queen Anne’s County Board of Education. This amount is also
classified as net investment in capital assets in the Board of Education column of the Component Units section of
the County’s government-wide Statement of Net Position. Since the Board of Education is not authorized to borrow
funds, they do not have any debt.
Since the issuance of such debt has not resulted in capital assets owned by the Primary Government, the effect of
this debt is reflected in a deficit balance in unrestricted net assets in the Governmental Activities column of the
government-wide Statement of Net Position. At June 30, 2021, the County has reported outstanding general
obligation debt related to assets held by the Board of Education amounting to $56,855,185 (of which $51,097,497
has been spent and the remaining $5,757,688 relates to unspent bond proceeds). Absent the effect of this
relationship, the County would have reported unrestricted net assets of governmental activities in the amount of
$55,802,618.
The County reports a portion of its net position in its government-wide financial statements as restricted. In this
context, restricted means that, as of June 30, 2021, this portion of net position was restricted for a particular purpose
either by external parties; by provision of the County Charter; or by enabling legislation. Net position restricted by
enabling legislation represents legislative restrictions that a party external to the government can compel the
government to honor. For the County, such amounts represent primarily accumulated net position attributed to
revenue streams that are restricted for specified purposes in the County Code. This generally includes the Rainy
Day Fund, Capital Projects Fund impact fee collections and developer exactions on hand for outside entities;
restricted amount for special revenue funds; and ending restricted net assets of the Sanitary District and other
enterprise funds. Such amounts, which are restricted in the government-wide Statement of Net Position, are as
follows at year-end:
Restricted Amounts
Governmental activities $ 20,883,128
Business-type activities:
Debt Service $ 4,663,826
Other Purposes 1,658,527 6,322,353
Total Restricted Amounts $ 27,205,481
Note that unspent bond proceeds of $13,218,309 are included in restricted fund balance for the General
Capital Projects Fund. At the Government-Wide level, the unspent bond proceeds are offset by the
liability.
-58-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
D. ASSETS, LIABILITIES, AND NET POSITION OR EQUITY (CONTINUED)
11) Net Position/Fund Equity (continued)
In the fund financial statements, fund balances of governmental funds are classified as follows:
Nonspendable – amounts that cannot be spent either because they are not in a spendable form or because they are
legally or contractually required to be maintained intact. Nonspendable fund balances for the County include
inventory and prepaid items.
Restricted – amounts that can be spent only for specific purposes because of constitutional provisions or enabling
legislation or because of constraints that are externally imposed by creditors, grantors, contributors, or the laws or
regulations of other governments.
Committed – amounts that can be used only for specific purposes determined by a formal action of the Queen
Anne’s County Commissioners. The Commissioners are the highest level of decision-making authority for the
County. Commitments may be established, modified, or rescinded only through formal actions such as a County
Ordinance approved by the County Commissioners.
Assigned – amounts that do not meet the criteria to be classified as restricted or committed but that are intended to
be used for specific purposes. The assignment of funds rests with the County Commissioners. In addition, GASB
54 requires all positive residual amounts in special revenue funds to be reported as assigned.
Unassigned – all other spendable amounts; however, the General Fund is the only fund permitted to have a positive
unassigned fund balance. Negative unassigned fund balances may occur in other governmental funds.
The County typically uses restricted fund balances first, followed by committed resources, and then assigned
resources, as appropriate opportunities arise, but reserves the right to selectively spend unassigned resources first to
defer the use of these other classified funds.
12) Property Tax
The County's real property tax is levied each July 1 on the assessed values certified as of that date for all taxable real
property located in the County. The levy functions as a lien against the property. Assessed values are established by
the Maryland State Department of Assessments and Taxation at estimated market value. A revaluation of all
property is required to be completed every three years. Taxes are then billed to property owners and collected by the
County. Property represented by delinquent taxes is sold at a public auction in May of the following calendar year,
with title transferring after foreclosure proceedings have been completed.
For small businesses that meet certain criteria and also principal residences, an installment plan is offered whereby
total tax is paid in two equal installments. The first installment is due by September 30. Beginning October 1, a 1%
penalty is charged on the first day of each month that the installment remains unpaid. This 1% penalty is based on
the amount of the first installment only. The second installment is due by December 31. Beginning January 1, the
1% penalty would then include all outstanding balances. The County accepts partial payments.
For non-principal residences, payment is due in full by September 30. Beginning October 1, a penalty is charged
for each month that taxes remain unpaid. For new construction, completed and assessed between July 1 and
December 31, a supplementary tax is levied equal to half of the full-year levy. Payment in full is due by March 31.
Beginning April 1, a penalty is charged for each month that taxes remain outstanding.
-59-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
D. ASSETS, LIABILITIES, AND NET POSITION OR EQUITY (CONTINUED)
12) Property Tax (continued)
Real and personal property taxes are levied at rates enacted by the County Commissioners in the annual
budget on the assessed value as determined by the Maryland Department of Assessments and Taxation. The
rates of levy cannot exceed the constant yield rate furnished by the Maryland Department of Assessments
and Taxation without public notice and only after public hearings. The County tax rate for the fiscal year ended
June 30, 2021 was $0.8471 per $100 of assessed value.
E. NEW ACCOUNTING PRONOUNCEMENTS
In fiscal year ended June 30, 2021, the County adopted the following new GASB statements:
Statement No. 84, Fiduciary Activities. This GASB Statement improves guidance regarding the identification
of fiduciary activities for accounting and financial reporting purposes and how those activities should be
reported. The implementation of this Statement resulted in a prior period restatement, which details can be
found in Note 20.
Statement No. 98, The Annual Comprehensive Financial Report. This statement establishes the term annual
comprehensive financial report and its acronym ACFR. The new term and acronym replaces instances of
comprehensive annual financial report and its acronym in generally accepted accounting principles for state and
local governments.
The County will be analyzing the effects of these pronouncements and plans to adopt them as applicable by their
effective date.
GASB Statement No. 87, Leases; Statement No. 89, Accounting for Interest Cost Incurred before the End of a
Construction Period; Statement No. 91, Conduit Debt Obligations, Statement No. 96, Subscription-Based
Information Technology Arrangements, Statement No. 97, Certain Component Unit Criteria, and Accounting
and Financial Reporting for Internal Revenue Code Section 457 Deferred Compensation Plans – an amendment
of GASB Statements No. 14 and No. 84, and a supersession of GASB Statement No. 32.
NOTE 2 - BUDGETS AND BUDGETARY ACCOUNTING
Pursuant to the Code of Public Local Laws of Queen Anne's County, the County Commissioners adopt an annual
operating budget and real property tax rate prior to July 1 each year. This action, taken after public hearings, provides
the spending authority for the fiscal year beginning on July 1. Unexpended and unencumbered appropriation authority
expires the following June 30, except in the case of Capital Projects where appropriations lapse only upon completion or
cancellation of each project by the County Commissioners. The appropriated budgets are prepared at the fund, function,
and departmental level. Expenditures/expenses may not legally exceed appropriations, based on the level at which they
were adopted. For the General Fund, annual expenditure budgets are legally adopted at the departmental level. For all
other Governmental Funds, for which annual budgets are adopted, expenditure budgets are legally adopted at the fund
level.
-60-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 2 - BUDGETS AND BUDGETARY ACCOUNTING (CONTINUED)
During the fiscal year, the Commissioners may adopt supplemental appropriations. For the year ended June 30, 2021,
supplemental appropriations were as follows:
Original Final
Supplemental Appropriations Budget Budget Increase
General Fund - expenditures and transfers $ 143,830,540 $ 161,515,492 $ 17,684,952
Special Revenue Funds that adopt annual budgets
Non-Major Funds that adopt annual budgets -
Department of Aging - expenditures $ 3,189,320 $ 3,320,903 $ 131,583
Housing & Community Services - expenditures 1,295,207 2,349,214 1,054,007
Grants Fund - expenditures 892,634 8,186,016 7,293,382
Economic Development Incentive - expenditures 125,000 210,680 85,680
BRIDGE Fund - transfers - 85,680 85,680
Community Partnerships for Children - expenditures 1,099,703 1,080,969 (18,734)
Agricultural Transfer - expenditures 850,000 1,184,792 334,792
Rural Legacy - expenditures - 2,292,285 2,292,285
Fire Company Impact Fees - expenditures 290,500 417,186 126,686
Total Special Revenue Funds that adopt annual budgets $ 7,742,364 $ 19,127,725 $ 11,385,361
All final budgets are presented as amended. The County Administrator may approve budget amendments of $10,000 or
less throughout the year. Amendments greater than $10,000 require the approval of the County Commissioners.
Annual operating budgets are legally adopted for the General Fund (includes the Roads Board) and the following non-
major governmental funds: Department of Aging, Housing and Community Services, Grants Fund, Economic
Development Incentive, BRIDGE Fund, Community Partnerships for Children, Law Library, Inmate Welfare,
Agricultural Transfer, Rural Legacy, Dredging Special Assessments, Kent Narrows, School Impact Fees Capital
Projects, Fire Company Impact Fees Capital Projects, and Parks and Recreation Impact Fees Capital Projects.
Proprietary Fund budgets are adopted for management control only and include all enterprise funds. Budgets are
adopted using the same method of accounting as that used for Fund reporting purposes.
Budgets for the General Capital Projects Fund and the Roads Capital Projects Fund reflect multi-year appropriations at
the individual project level. Expenditures may not legally exceed appropriations at that level and appropriations lapse at
the completion or cancellation of individual projects. Since these capital projects funds do not adopt an annual budget
per project, a Statement of Revenues, Expenditures, and Changes in Fund Balances on a budget-to-actual basis is not
presented for these funds.
No General Fund departments exceeded their legally adopted expenditure budgets for the year ended June 30, 2021.
However, salary reversions are budgeted as a lump sum negative $2,124,856, but actual amounts are realized in the
individual departments and are not reported as a lump sum in the reversions activity.
-61-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 3 – CASH, INVESTMENTS AND INVESTMENT INCOME
A. DEPOSITS AND INVESTMENTS
PRIMARY GOVERNMENT AND FIDUCIARY FUNDS
Deposits are maintained in a variety of financial institutions. Statutes authorize the County to invest in obligations of the
United States Government, Federal government agency obligations, secured time deposits in Maryland banks, bankers’
acceptances, the Maryland Local Government Investment Pool, money market mutual funds, commercial paper and
repurchase agreements secured by direct government or agency obligations.
At year-end, the County Primary Government had deposits of $75,693,579 with local banks (carrying value
$72,669,569), all of which was covered by federal depository insurance or by collateral held by the County’s agent in the
County’s name.
Of these options, the County participates in the Maryland Local Government Investment Pool (MLGIP), which provides
all local government units of the state with a safe investment vehicle for short-term investment of funds. The State
Legislature created MLGIP with the passage of Article 95 Section 22G, of the Annotated Code of Maryland. PNC
Financial manages the MLGIP, under administrative control of the State Treasurer. A MLGIP Advisory Committee of
current participants reviews the activities of the Fund on a quarterly basis and provides suggestions to enhance the pool.
The MLGIP portfolio is managed in a manner consistent with the Securities and Exchange Commission’s Rule 2a-7 of
the Investment Company Act of 1940. Standard and Poors rates the MLGIP as AAAm. The fair value of the pool is the
same as the value of the pool shares. At June 30, 2021, the County had investments in MLGIP of $70,982,808, which
are recorded at cost, which approximates fair value.
As of June 30, 2021, the County’s investments (excluding investments held for retiree health benefits), for both custodial
and credit risk purposes, consisted solely of shares in the MLGIP. This investment is not deemed to have either risk and
is in conformity with the County’s policy relating to minimal credit risk of investments.
The majority of the Retiree Health Trust investments are invested in the Maryland Association of Counties Pooled OPEB
Trust (MACO Trust). The MACO Trust is administered by Davenport & Company LLC, and is a wholly-owned
instrumentality of its members. The following members who are the active sole contributors to the Trust consist of the
following: Allegany, Queen Anne’s, Kent, and Talbot County, City of Annapolis, College of Southern Maryland, Town
of Bel Air, Talbot and Queen Anne’s County Boards of Education, St. Mary’s County Metropolitan Commission,
Harford Community College, Harford and Queen Anne’s County Public Libraries, and LaVale Sanitary Commission.
The assets of the Trust are managed by a Board of Trustees and consist of U.S. Treasury obligations, U.S. government
agencies, corporate and foreign bonds, municipal obligations, taxable fixed income securities, mutual funds, global
funds, and international equity securities.
Cash and cash equivalents for the MACO Trust include an investment in a money market mutual fund. At June 30, 2021,
the weighted average maturity (WAM) for the Trust’s money market mutual fund investment was 28 days. At June 30,
2021, the short-term rating of the money market mutual fund was AAAm by Standard & Poor’s.
The main objectives of the Trust’s investment policy are the protection of investment principal, maximizing investment
income through diversification while assuring financial liquidity. The policy allows for investment in U.S. and Non-U.S.
equities, corporate, government, or government agency bonds, non-U.S. bonds, Real Estate and Limited Partnerships.
-62-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 3 – CASH, INVESTMENTS AND INVESTMENT INCOME (CONTINUED)
A. DEPOSITS AND INVESTMENTS (CONTINUED)
PRIMARY GOVERNMENT AND FIDUCIARY FUNDS (CONTINUED)
The Trust categorizes its fair value measurements with the fair value hierarchy established by U.S. GAAP. The hierarchy
is based on the valuation inputs used to measure the fair value of the asset and gives the highest priority to unadjusted
quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to
unobservable inputs (Level 3 measurements). The three levels of the fair value hierarchy are described below:
 Level 1 – Valuations based on unadjusted quoted prices for identical assets or liabilities in active markets;
 Level 2 – Valuations based on quoted prices for similar assets or liabilities in active markets or identical assets
or liabilities in less active markets, such as dealer or broker markets; and
 Level 3 – Valuations derived from valuation techniques in which one or more significant inputs or significant
value drivers are unobservable, such as pricing models, discounted cash flow models and similar techniques not
based on market, exchange, dealer or broker-traded transactions.
Transactions are recorded on the trade date. Realized gains and losses are determined using the identified cost method.
Any change in net unrealized gain or loss from the preceding period is reported in the statement of revenues, expenses
and changes in net position. Dividends are recorded on the ex-dividend date. Interest is recorded on the accrual basis.
Following is a description of the valuation methodologies used for assets measured at fair value.
Equity securities classified in Level 1 are valued using prices quoted in active markets for those securities. Debt
securities 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.
The Trust has the following recurring fair value measurements as of June 30, 2021, of which Queen Anne’s County’s
portion was 19.8% of the total:
Level 1 Level 2 Level 3 Total
Investments by fair value level:
Debt Securities
U.S. Treasury Obligations $ - $ 4,822,747 $ - $ 4,822,747
U.S. Governmental Agencies - 1,940,627 - 1,940,627
Corporate & Foreign Bonds - 10,901,129 - 10,901,129
Municipal Obligations - 592,555 - 592,555
Equity and Mutual Fund Investments
Taxable Fixed Income Funds - 3,143,931 - 3,143,931
Mutual Funds 26,664,236 - - 26,664,236
Global Funds 5,771,200 - - 5,771,200
International 9,340,472 - - 9,340,472
Total $ 41,775,908 $ 21,400,989 $ - $ 63,176,897
Interest rate risk is the risk that changes in market interest rates that will adversely affect the fair value of an investment.
Generally, the longer the maturity of an investment, the greater the sensitivity of its fair value to changes in market
interest rates. The Trust’s investment policy states that the duration of the portfolio should be within 6 months of the
Barclays Capital Aggregate Bond Index. The Trusts’ weighted average years to maturity as of June 30, 2021 was 9.2
years.
-63-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 3 – CASH, INVESTMENTS AND INVESTMENT INCOME (CONTINUED)
A. DEPOSITS AND INVESTMENTS (CONTINUED)
PRIMARY GOVERNMENT AND FIDUCIARY FUNDS (CONTINUED)
Information about the sensitivity of the fair values of the Trust’s investments to market interest rate fluctuations is
provided by the following table that shows the distribution of the Trust’s investments by maturity as of June 30, 2021:
Investment Maturities (in Years)
Less than 1 1 - 5 6 - 10 More than 10 Total
Investments with Maturities
U.S. Treasury Obligations $ - $ 1,959,472 $ 2,074,882 $ 788,393 $ 4,822,747
U.S. Governmental Agencies 18,423 84,104 374,960 1,463,140 1,940,627
Corporate & Foreign Bonds - 3,970,025 5,587,485 1,343,619 10,901,129
Municipal Obligations 61,075 325,041 65,506 140,933 592,555
Total $ 79,498 $ 6,338,642 $ 8,102,833 $ 3,736,085 $ 18,257,058
Credit Risk. The Trust is exposed to both market risk, the risk arising from changes in fair value, and credit risk, the risk
of failure by another party to perform according to the terms of a contract. Trust assets may only be invested in
investment grade bonds with a minimum rating of Baa3 by Moody’s or BBB- by S&P. The Trust bears the risk of loss
only to the extent of the fair value of its respective investments. At June 30, 2021 the ratings of the underlying
investments of the Trust’s investments were as follows:
Rating
Aa1/Aa2/ Baa1/Baa2/
Type Aaa Aa3 A1/A2/A3 Baa3 Not Rated Total
U.S. Treasury Obligations $ 4,697,388 $ - $ - $ - $ 125,359 $ 4,822,747
U.S. Governmental Agencies 58,020 - - - 1,882,607 1,940,627
Corporate & Foreign Bonds 408,975 897,492 4,250,951 2,697,994 2,645,717 10,901,129
Municipal Obligations 104,481 347,141 - - 140,933 592,555
Total $ 5,268,864 $ 1,244,633 $ 4,250,951 $ 2,697,994 $ 4,794,616 $ 18,257,058
The custodial credit risk for investments is the risk that, in the event of the failure of the counterparty (e.g. broker-dealer)
to a transaction, the Trust will not be able to recover the value of its investment or collateral securities that are in the
possession of another party. The Trust’s investment policy does not contain legal or policy requirements that would limit
the exposure to custodial credit risk for deposits or investments. The Trust has all of its assets on deposit with
Wilmington Trust Company in connection with its investing and cash management activities. All of the investments held
by the Trust at June 30, 2021 were exposed to custodial credit risk as the investments are uninsured and unregistered.
The following tables summarizes the composition of the Trust’s investment balances by type as well as the interest rate
range as of June 30, 2021:
Fair Value Interest Rate Range
U.S. Treasury Obligations $ 4,822,747 .25 to 4.50%
U.S. Governmental Agencies 1,940,627 1.3 to 4.50%
Corporate & Foreign bonds 10,901,129 1.94 to 5.87%
Municipal Obligations 592,555 2.68 to 5.55%
Taxable Fixed Income Funds 3,143,931 N/A
Mutual Funds 26,664,236 N/A
Global Funds 5,771,200 N/A
International 9,340,472 N/A
Total $ 63,176,897
-64-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 3 – CASH, INVESTMENTS AND INVESTMENT INCOME (CONTINUED)
A. DEPOSITS AND INVESTMENTS (CONTINUED)
PRIMARY GOVERNMENT AND FIDUCIARY FUNDS (CONTINUED)
Concentration of credit risk. The following general asset allocation guidelines have been established through the Trust’s
investment policy.
Asset Class Minimum Maximum Target
Equities 50% 70% 65%
Fixed Income 30% 50% 35%
Cash and Equivalents 0% 10% 0%
The Trust held the following investments as of June 30, 2021 that exceeded 5% of the total investment balance as of June
30, 2021:
Name Amount
FULLER & THALER BEHAVIORAL SC GR R6 $ 4,114,891
VANGUARD MID CAP INDEX FUND-ADM 4,808,626
VANGUARD RUSSELL 1000 GR-IS 4,809,872
VANGUARD 500 INDEX CL ADML 9,684,961
NEW WORLD FUND-R6 5,771,200
LAZARD INTL STRATEGIC EQUITY FD CL-I 4,665,054
TRANSAMERICA TS&W INTL EQ-IS 4,675,418
VANGUARD 500 INDEX CL ADML 9,684,961
COHEN & STEERS REALTY INCM-I 3,245,884
Foreign currency risk is the risk that changes in the exchange rate of investments will adversely affect the fair value of
an investment. The Trust was not exposed to Foreign Currency risk as of June 30, 2021 as the Trust did not have any
investments denominated in foreign currencies.
For the year ended June 30, 2021, the annual money-weighted rate of return on investments, net of expense, was 10.81%.
The money-weighted rate of return expresses investment performance, net of investment expenses, adjusted for the
changing amounts actually invested.
Capital Accounts
The Trust accounts for contributions, allocations and redemptions on a per member capital account basis. The revenues,
consulting and management fees, and administrative service fee are allocated pro rata to the capital accounts of each
member based on committed capital. The fair value of member capital accounts is determined monthly.
Income Taxes
The Trust complies with the requirements of Section 115 of the Internal Revenue Code and is exempt from income taxes.
LOSAP Funds
The LOSAP funds are invested in an Empower Retirement General Investment Account (GIA). The GIA, backed by
Empower Retirement’s general assets, is designed to provide stable, guaranteed rate of return and guarantee of principal.
General investment account assets are managed with reference to their associated liabilities so product specifications and
obligations to clients can be met with a high degree of certainty, even when market conditions change. Investment risk
management is a high priority. Strict diversification among industries and individual issuers help mitigate credit risk.
Various quantitative tools and systems, as well as qualitative approaches, are used to manage interest rate risk and
liquidity risk. Assets in the GIA were managed to range from 5 to 6 years.
-65-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 3 – CASH, INVESTMENTS AND INVESTMENT INCOME (CONTINUED)
A. DEPOSITS AND INVESTMENTS (CONTINUED)
PRIMARY GOVERNMENT AND FIDUCIARY FUNDS (CONTINUED)
LOSAP Funds (Continued)
If the GIA Contract is fully or partially terminated, participants will receive the liquidation value of the GIA instead of
the book value (i.e., contract value), which is the value disclosed on participant statements and recorded within these
financial statements. The liquidation value is determined in accordance with a formula contained in the GIA Contract
and is designed to reflect the value of the assets in the general investment account. This liquidation value may be more or
less than the book value of the plan’s investment in the GIA Contract. This means that upon partial or full termination of
the GIA Contract a participant’s account balance in the GIA may be either increased or decreased.
The County’s LOSAP fund GIA account balance as of June 30, 2021 is $3,851,036 and is included in restricted LOSAP
plan assets on the general fund balance sheet.
The fair value GAAP hierarchy is based on the valuation of inputs used to measure the fair value of the asset. Level 1
inputs are quoted market prices in active markets for identical assets; Level 2 inputs are significant other observable
inputs; and Level 3 are significant unobservable inputs. GIA is measured on recurring basis and is considered to be
Level 3 as liquidation value is based on actuarial formula as defined under the terms of the contract with no observable
price.
COMPONENT UNITS (BOARD OF EDUCATION AND LIBRARY)
Component Unit - Board of Education - At year-end, the carrying amount of deposits was $20,404,504, including
$300,000 in certificates of deposit and excluding the carrying amount of fiduciary funds. At June 30, 2021, the Board
had deposits of approximately $21.3 million with local banks and the bank deposits were fully insured or collateralized.
Component Unit – Library - At year-end, the carrying amount of all bank deposits, including a $10,500 certificate of
deposit, was $1,336,002 while collected bank balances were $1,346,135. Of the bank balances, $250,000 was secured by
the FDIC and $1,096,135 was secured by collateral held by the pledging bank’s trust department but not in the Library’s
name.
-66-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 3 – CASH, INVESTMENTS AND INVESTMENT INCOME (CONTINUED)
B. INVESTMENT INCOME
PRIMARY GOVERNMENT
Total investment income earned in all governmental and business-type funds was credited for use as follows:
Investment
Governmental Funds Income
Major Governmental Funds
General Fund $ 170,634
General Capital Projects 46,444
Roads Capital Projects 5,197
Non-Major Governmental Funds 17,633
Total Investment Income $ 239,908
Business-Type Funds
Major Enterprise Funds
Sanitary District $ 424,667
Bay Bridge Airport 316
Total Investment Income $ 424,983
-67-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 4 - ACCOUNTS RECEIVABLE
Receivables as of June 30, 2021 for the governmental and business-type activities are as follows:
Total
General Roads Non-Major Total Total Governmental
General Capital Capital Governmental Governmental Enterprise and Enterprise
Accounts Receivable Fund Projects Projects Funds Funds Funds Funds
Receivables
Taxes - Real Property $ 180,496 $ - $ - $ - $ 180,496 $ - $ 1 80,496
Taxes - Property Used for Generating Electricity 581 - - - 581 - 581
Taxes - Other 646,137 - - 745 646,882 - 6 46,882
Subtotal Taxes 827,214 - - 745 827,959 - 8 27,959
Other Accounts Receivable:
Queen Anne's County Public Housing Authority - 614,942 - - 614,942 - 6 14,942
Sanitary District - User and Septage Fees - - - - - 570,247 5 70,247
Board of Education 25,778 - - - 25,778 - 25,778
Retirees Insurance 33,583 - - - 33,583 - 33,583
Governmental Funds - User Fees 8,019 - 1 ,054 - 9,073 - 9,073
Public Landings Receivables - - - - - 62,489 62,489
Tesla Refund 11,119 - - - 11,119 - 11,119
Detention Center Housing Reimbursement 20,565 - - - 20,565 - 20,565
Upper Shore Career Technology Grant 25,000 - - - 25,000 - 25,000
Airport - Fuel Sales and User and Rental Fees - - - - - 15,490 15,490
Miscellaneous Receivables 52,435 223,451 - 25,573 301,459 - 3 01,459
Subtotal Other Accounts Receivable 176,499 838,393 1 ,054 25,573 1,041,519 648,226 1 ,689,745
Loans Receivable - - - 6,573,702 6,573,702 74,132 6 ,647,834
Subtotal Other Accounts and Loans Receivable 176,499 838,393 1 ,054 6,599,275 7,615,221 722,358 8 ,337,579
Special Assessments - - 3 9,149 702,595 741,744 - 7 41,744
Intergovernmental
Income Taxes Held by State 28,204,588 - - - 28,204,588 - 28,204,588
Grants Receivable 326,795 580,865 - 1,580,867 2,488,527 23,950 2 ,512,477
Recordation Tax 1,554,982 - - - 1,554,982 - 1 ,554,982
State-Shared Highway User Tax 439,587 - - - 439,587 - 4 39,587
Bonds Receivable 72,794 - - - 72,794 - 72,794
Subtotal Intergovernmental 30,598,746 580,865 - 1,580,867 32,760,478 23,950 32,784,428
Restricted Receivables
Accounts Receivable - - - - - 3,362,798 3 ,362,798
Special Assessments - - - - - 15,599,525 15,599,525
Subtotal Restricted Receivables - - - - - 18,962,323 18,962,323
Total Receivables $ 31,602,459 $ 1,419,258 $ 4 0,203 $ 8,883,482 $ 41,945,402 $ 19,708,631 $ 61,654,033
The County does not have any allowance for doubtful accounts related to the above receivables.
In Fiscal Year 2014, the County issued bonds on behalf of three mid-shore counties (Dorchester, Caroline, and Talbot) in
order to provide funding for the new Center for Allied Health and Athletics at Chesapeake College. Therefore, in addition
to the Governmental and Enterprise Fund receivables listed above, the County also has a $3.5 million receivable on its
government-wide Statement of Net Position, which represents the collective obligation of the three aforementioned
counties for funding the facility at Chesapeake College.
-68-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 4 - ACCOUNTS RECEIVABLE (CONTINUED)
The County expects to receive all receivables listed in the table within one year, excluding the following items.
Intergovernmental receivables include bonds receivable from four other counties. In years 2000 and 2003, Queen Anne’s
County sold $2,815,000 and $710,000, respectively, of its general obligation bonds for the purpose of providing the local
share of capital projects at Chesapeake College. Five counties, including Queen Anne’s County, provide local support for
the College. The other four counties supporting Chesapeake College reimburse Queen Anne’s County for their portion of
the debt service. Bonds are amortized over the 20-year life of each of the original Queen Anne's County Bonds. The
current carrying value for the bonds receivable from the other four counties is $72,794. The College bills and collects from
the original five counties an amount sufficient to cover this debt service and reimburses this amount to Queen Anne’s
County on a semi-annual basis. In addition to the receivable related to Chesapeake College, there is also a receivable of
$3.5 million included in the Government-Wide Statement of Net Position. Details are included on the previous page.
Loans receivable in the amount of $6,573,702 relate to the Housing and Community Services, Impact Fees, and Revolving
Loan Special Revenue Funds. Loans receivable in the amount of $5,644,749 for Housing and Community Services will be
repaid when the homes are sold, in virtually all cases. These loans support housing rehabilitation and home-ownership.
When the loans are repaid to the County, the funds are then loaned out again to serve the same purpose. Loans for the
Revolving Loan Fund in the amount of $90,922 are also repaid over a number of years.
The remaining loan receivable balance of $838,031 relates to school, fire, and parks and recreation impact fees. In July
2007, the County began accepting promissory notes for impact fees, in certain situations, with the understanding that when
certificate of occupancy was obtained, these notes would be paid in full. To ensure repayment, the notes attach to the
property incurring the impact fee; therefore, payment will be required automatically prior to legal transfer of title.
A loan receivable in the amount of $74,132 relates to the Sanitary Sewer Operations Fund. In fiscal year 2021, the County
contracted with the Town of Sudlersville and agreed to provide certain operation and maintenance services of the
wastewater and water treatment facilities for the Town. As part of the contract, the County agreed to make up to $100,000
available as a loan to the Town to make necessary repairs to the wastewater plants. The Town of Sudlersville shall repay
the loan to the County without interest in 48 equal monthly installments commencing in February 2022.
Income taxes held by the State in the amount of $28,204,588 have been estimated by the State as income tax due to the
County. Local income tax revenue is collected by the State and distributed to the local governments throughout the year.
The State’s distribution of the County’s share of income taxes lags behind the County’s fiscal year. However, the State
indicates that this is a reasonable estimate of their liability to the County and the County reports this amount in accordance
with GAAP.
Special Assessments in the amount of $741,744 represent receivables for governmental activities. Part of this amount
consists of $39,149 for assessments levied on homeowners to reimburse the County for construction or upgrade of private
roads prior to their acceptance into the County Roads System. The other part of this amount consists of $702,595 for
assessments levied on homeowners relating to dredging costs. Payment of these assessments is expected over a number of
years.
Restricted Special Assessments in the amount of $15,599,525 represent restricted receivables for the Sanitary District.
These receivables relate to assessments levied on homeowners for the construction of sewer and water lines, as well as for
hook up costs. Only the current portion due is billed and the remaining balances are repaid over a number of years, as
determined by the original agreement. As the funds are paid back, the County uses the money to repay debt.
-69-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 5 – UNEARNED REVENUE
Governmental funds report unearned revenue in connection with resources that have been received, but unearned. At the
end of the current fiscal year, the components of unearned revenue were reported as follows:
Unearned
Governmental Funds Revenue
General Fund
Property Tax Deferrals $ 14,183
Inspection Fees Collected in Advance 695,507
Subtotal 709,690
General Capital Projects Fund
Grant Drawdowns in Excess of Expenditures 31,688
Non-Major Governmental Funds
Grant Drawdowns in Excess of Expenditures 181,406
Total Unearned Revenue $ 922,784
Business-Type Funds
Major Enterprise Funds
Sanitary District
Inspection Fees $ 127,383
Non-Major Enterprise Funds 2,797
Total Unearned Revenue $ 130,180
-70-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 6 – CAPITAL ASSETS
PRIMARY GOVERNMENT
Changes in the County’s capital assets for governmental activities for the year ended June 30, 2021 are summarized as
follows, with depreciation shown separately. Assets resulting from completed capital projects are shown in the Transfers
column. Asset retirements are shown in the Decreases column.
Balance Balance
Governmental Activities June 30, 2020 Increases Transfers Decreases June 30, 2021
Capital Assets, not being depreciated:
Land $ 38,721,813 $ - $ - $ - $ 38,721,813
Intangible Rights - Easements 821,819 - - - 821,819
Land Improvements 3,714,283 - - - 3,714,283
Construction in Progress 7,232,179 7,864,728 (4,952,107) (331,922) 9,812,878
Land - Inexhaustible Infrastructure Improvements 43,890,863 - - - 43,890,863
Total Capital Assets, not being depreciated 94,380,957 7,864,728 (4,952,107) (331,922) 96,961,656
Capital Assets, being depreciated:
Buildings and Building Improvements 69,539,607 1,198,555 722,000 - 71,460,162
Improvements other than Buildings 11,195,655 204,609 4,207,692 - 15,607,956
Vehicles 13,932,679 2,256,336 22,415 (664,725) 15,546,705
Equipment 13,828,970 1,289,547 - (341,313) 14,777,204
Furniture and Fixtures 11,636,412 139,752 - - 11,776,164
Infrastructure Improvements - Depreciable 19,236,142 377,605 - - 19,613,747
Total Capital Assets, being depreciated 139,369,465 5,466,404 4,952,107 (1,006,038) 148,781,938
Less Accumulated Depreciation for:
Buildings and Building Improvements 17,954,747 1,536,406 - - 19,491,153
Improvements other than Buildings 4,109,756 598,634 - - 4,708,390
Vehicles 8,347,471 1,050,470 - (577,677) 8,820,264
Equipment 8,276,322 869,276 - (304,189) 8,841,409
Furniture and Fixtures 4,620,999 1,014,558 - - 5,635,557
Infrastructure Improvements - Depreciable 9,650,027 390,743 - - 10,040,770
Total Accumulated Depreciation 52,959,322 5,460,087 - (881,866) 57,537,543
Total Capital Assets, being depreciated, net 86,410,143 6,317 4,952,107 (124,172) 91,244,395
Governmental activities Capital Assets, net $ 180,791,100 $ 7,871,045 $ - $ (456,094) $ 188,206,051
-71-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 6 – CAPITAL ASSETS (CONTINUED)
PRIMARY GOVERNMENT (CONTINUED)
Changes in the County’s capital assets for business-type activities for the year ended June 30, 2021 are summarized as
follows, with depreciation shown separately. Assets resulting from completed capital projects are shown in the Transfers
column. Asset retirements are shown in the Decreases column.
Balance Balance
Business-Type Activities June 30, 2020 Increases Transfers Decreases June 30, 2021
Capital Assets, not being depreciated:
Land $ 13,142,176 $ - $ - $ (2,249,426) $ 10,892,750
Land Improvements 9,500 - - - 9,500
Intangible Rights 6,140 - - - 6,140
Construction in Progress 13,354,715 6,529,067 (42,250) (65,624) 19,775,908
Land - Inexhaustible Infrastructure Improvements 2,481,094 - - - 2,481,094
Total Capital Assets, not being depreciated 28,993,625 6,529,067 (42,250) (2,315,050) 33,165,392
Capital Assets, being depreciated:
Buildings and Improvements to Buildings 16,193,029 - - - 16,193,029
Improvements other than Buildings 15,126,030 111,000 - - 15,237,030
Vehicles 1,802,978 326,658 - (160,560) 1,969,076
Equipment 24,010,381 365,334 42,250 (46,045) 24,371,920
Furniture and Fixtures 43,266 - - - 43,266
Infrastructure Improvements - Depreciable 105,843,185 2,668,490 - - 108,511,675
Total Capital Assets, being depreciated 163,018,869 3,471,482 42,250 (206,605) 166,325,996
Less Accumulated Depreciation for:
Buildings and Improvements to Buildings 10,136,827 274,332 - - 10,411,159
Improvements other than Buildings 6,682,005 535,771 - - 7,217,776
Vehicles 1,286,164 91,717 - (132,580) 1,245,301
Equipment 15,262,274 552,057 - (46,045) 15,768,286
Furniture and Fixtures 19,100 3,206 - - 22,306
Infrastructure Improvements - Depreciable 37,286,625 2,141,828 - - 39,428,453
Total Accumulated Depreciation 70,672,995 3,598,911 - (178,625) 74,093,281
Total Capital Assets, being depreciated, net 92,345,874 (127,429) 42,250 (27,980) 92,232,715
Business-Type activities Capital Assets, net $ 121,339,499 $ 6,401,638 $ - $ (2,343,030) $ 125,398,107
-72-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 6 – CAPITAL ASSETS (CONTINUED)
PRIMARY GOVERNMENT (CONTINUED)
Depreciation expense was charged to functions/programs of the primary government as follows:
Governmental Activities Depreciation
General Government $ 814,141
Public Safety 2,001,375
Public Works 1,513,346
Parks & Recreation 755,648
Health 21,121
Social Services 251,014
Library 25,198
Conservation of Natural Resources 35,613
Economic/Community Development 42,631
$ 5,460,087
Business-Type Activities
Major Enterprise Funds:
Sanitary District $ 3,012,761
Bay Bridge Airport 431,380
Non-Major Enterprise Funds 154,770
$ 3,598,911
-73-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 6 – CAPITAL ASSETS (CONTINUED)
COMPONENT UNITS
Board of Education: Capital asset activity for the year ended June 30, 2021 is as follows:
Balance Balance
Board of Education June 30, 2020 Increases Transfers Decreases June 30, 2021
Capital Assets, not being depreciated:
Land $ 6,363,040 $ - $ - $ - $ 6,363,040
Construction in Progress 1,515,983 39,179 - - 1,555,162
Total Capital Assets, not being depreciated 7,879,023 39,179 - - 7,918,202
Capital Assets, being depreciated:
Land Improvements 5,410,966 - - - 5,410,966
Buildings 211,695,528 - - - 211,695,528
Furniture, Fixtures, and Equipment 16,750,058 721,366 - (296,324) 17,175,100
Total Capital Assets, being depreciated 233,856,552 721,366 - (296,324) 234,281,594
Less Accumulated Depreciation for:
Land Improvements 4,718,350 105,860 - - 4,824,210
Buildings 68,440,642 4,375,608 - - 72,816,250
Furniture, Fixtures, and Equipment 11,221,892 1,153,349 - (291,158) 12,084,083
Total Accumulated Depreciation 84,380,884 5,634,817 - (291,158) 89,724,543
Total Capital Assets, being depreciated, net 149,475,668 (4,913,451) - (5,166) 144,557,051
Capital Assets, net $ 157,354,691 $ (4,874,272) $ - $ (5,166) $ 152,475,253
-74-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 6 – CAPITAL ASSETS (CONTINUED)
COMPONENT UNITS (CONTINUED)
Queen Anne’s County Free Library: Capital asset activity for the year ended June 30, 2021 is as follows:
Balance Balance
Library June 30, 2020 Increases Decreases June 30, 2021
Capital Assets, not being depreciated:
Artwork $ 29,850 $ - $ - $ 29,850
Capital Assets, being depreciated:
Books and Media 1,874,377 191,661 (272,343) 1,793,695
Building Improvements 402,207 - - 402,207
Equipment 155,885 7,107 - 162,992
Total Capital Assets, being depreciated 2,432,469 198,768 (272,343) 2,358,894
Less Accumulated Depreciation 1,117,569 183,094 (245,109) 1,055,554
Total Capital Assets, being depreciated, net 1,314,900 1 5,674 ( 27,234) 1,303,340
Capital Assets, net $ 1,344,750 $ 15,674 $ (27,234) $ 1 ,333,190
-75-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 7 - INTERFUND RECEIVABLES AND PAYABLES
Interfund receivables and payables are usually used by the County to cover temporary cash deficits in individual funds
until grant or similar resources are received. Occasionally, these receivables and payables are used in lieu of short-term
external borrowing, such as for capital lease agreements.
The interfund and intra-entity receivables and payables consist of the following at June 30, 2021:
Due from Fund
Non-Major Bay Bridge Non-Major
Governmental Airport Enterprise Total Due
Due to Fund
General Fund $ 715,053 $ - $ 546,019 $ 1,261,072
General Capital Projects 19,649 1,049,799 - 1,069,448
Total Due to Other Funds $ 734,702 $ 1,049,799 $ 546,019 $ 2,330,520
Note that there is a $75,848 reconciling item between the Board of Education and the County as of June 30, 2021 due to
a state receivable being included in Due from Primary Government on the Board of Education’s financials statements.
Interfund receivables and payables are reported on the Statement of Net Position as Internal Balances, net of transactions
between the same types of funds.
-76-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 8 - INTERFUND TRANSFERS
Interfund transfers represent a transfer of resources from one fund to another without expectation of repayment. Usually,
these transfers are undertaken to enable the receiving entity to provide services that the government has determined to be
in the best interest of the County.
The transfers from the General Fund provide funding for capital projects and to fund programs in the non-major special
revenue funds. Transfers from the General Fund to the enterprise funds are to pay for a portion of debt service related to
an Airport project and also to provide funding to the Golf Course Fund. Transfers from General Capital Projects
represent a miscellaneous transfer to the General Fund. Transfers from Water and Sewer Sanitary District funds are to
provide funding for the County mapping project. The transfers from Restricted and Debt Service Sanitary funds are to
cover Sanitary related debt service.
The following interfund transfers were made during the fiscal year ended June 30, 2021:
Transfers in Fund
Total General General Roads Non-Major Major Non-Major Total
Transfers Out Fund Capital Projects Capital Governmental Enterprise Enterprise Transfers In
Transfers Out Fund
General Fund $ 18,721,892 $ - $ 12,000,000 $ 3 ,500,000 $ 3,039,947 $ 59,669 $ 122,276 $ 18,721,892
General Capital Projects 5,487 - - - - - 5,487 5,487
Total Major Governmental Funds 18,727,379 - 12,000,000 3 ,500,000 3,039,947 59,669 127,763 18,727,379
Non-Major Governmental 1,919,660 1,833,980 - - 85,680 - - 1,919,660
Sanitary District - Sewer 5,000 - 5,000 - - - - 5,000
Sanitary District - Water 5,000 - 5,000 - - - - 5,000
Sanitary District - Restricted 1,054,607 - - - - 1,054,607 - 1,054,607
Sanitary District - Debt Service 1,059,710 - - - - 1,059,710 - 1,059,710
Total Major Enterprise Funds 2,124,317 - 10,000 - - 2,114,317 - 2,124,317
Total Transfers Out $ 22,771,356 $ 1,833,980 $ 12,010,000 $ 3 ,500,000 $ 3,125,627 $ 2,173,986 $ 127,763 $ 22,771,356
Reconciliation of interfund transfers to the Statement of Activities
Governmental Funds Transfers In 20,469,607
Governmental Funds Transfers Out (20,647,039)
Government-Wide Transfer In 27,196
Total Governmental Activities (150,236)
Enterprise Funds Transfers In 2,301,749
Enterprise Funds Transfers Out (2,124,317)
Reclassification of Non-Operating Expense (27,196)
Total Business-Type Activities 150,236
The above entries for $27,196 relate to capital assets with a remaining book value transferred from Enterprise Funds to Governmental Activities.
-77-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 9 - NONCURRENT LIABILITIES
A. CHANGES IN NONCURRENT LIABILITIES
During the year ended June 30, 2021, the following changes occurred in the noncurrent liabilities of the primary
government’s governmental activities:
PRIMARY GOVERNMENT Retirements Due in
Balance Additions and Balance Due Within More than
Governmental Activities June 30, 2020 of debt Repayments June 30, 2021 One Year One Year
General Bonds Payable $ 123,310,090 $ 23,835,995 $ 20,105,095 $ 127,040,990 $ 7,717,839 $ 119,323,151
General Bonds Payable - Related to PHA 694,356 - 79,414 614,942 83,684 531,258
General Bonds Payable - Related to Ches College 3,724,877 - 203,662 3,521,215 212,237 3,308,978
Notes Payable 775,589 - 71,816 703,773 47,816 655,957
Bond Premiums 8,784,088 3,814,696 804,968 11,793,816 914,217 10,879,599
Subtotal Governmental Activities Debt 137,289,000 27,650,691 21,264,955 143,674,736 8,975,793 134,698,943
OPEB 44,880,492 - 9,967,582 34,912,910 - 34,912,910
Net Pension Liability 26,959,651 4,343,280 - 31,302,931 - 31,302,931
LOSAP Liability 8,048,034 1,554,430 - 9,602,464 - 9,602,464
Compensated Absences 2,933,191 1,971,142 1,700,895 3,203,438 1,738,066 1,465,372
Total Governmental Activities Debt $ 220,110,368 $ 35,519,543 32,933,432 $ 222,696,479 $ 10,713,859 $ 211,982,620
Less College Reimbursements (48,029)
Total Governmental Retirements and Repayments $ 32,885,403
The reconciliation from retirements and repayments in the above table to the total principal payments on the Statement of
Revenues, Expenditures, and Changes in Fund Balance is as follows:
Retirements and Repayments
General Bonds Payable $ 20,105,095
General Bonds Payable - PHA 79,414
Notes Payable 71,816
LESS: Payment for Refunding (12,970,537)
PLUS: Refunding premium 65,816
PLUS: Bond Payment adjustment - PHA 62,536
LESS: Distributions of 2020 Bonds (22,686)
LESS: College Reimbursements (48,029)
Total Principal Payments $ 7,343,425
The County added amounts to several bond offerings on behalf of Chesapeake College, which cannot borrow money on
its own. The College reimbursed the County $48,029 for this year’s principal and interest payments.
-78-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 9 – NONCURRENT LIABILITIES (CONTINUED)
A. CHANGES IN NONCURRENT LIABILITIES (CONTINUED)
During the year ended June 30, 2021, the following changes occurred in the noncurrent liabilities of the primary
government’s business-type activities:
PRIMARY GOVERNMENT Retirements Due in
Balance Additions and Balance Due Within More than
Business-Type Activities June 30, 2020 of debt Repayments June 30, 2021 One Year One Year
Golf Course $ 91,993 $ - $ 3,835 $ 88,158 $ 4,017 $ 84,141
Bay Bridge Airport 1,602,579 33,820 107,954 1,528,445 98,219 1,430,226
Public Landings and Marinas 596,105 67,871 127,722 536,254 49,004 487,250
Sanitary District 31,932,369 3,443,970 943,404 34,432,935 1,898,092 32,534,843
Subtotal Debt 34,223,046 3,545,661 1,182,915 36,585,792 2,049,332 34,536,460
Bond Premiums
Golf Course 6,162 - 362 5,800 362 5,438
Bay Bridge Airport 88,224 2,297 7,414 83,107 7,484 75,623
Public Landings and Marinas 90,818 14,002 9,543 95,277 9,766 85,511
Subtotal Bond Premiums 185,204 16,299 17,319 184,184 17,612 166,572
Subtotal Business-Type Activities Debt 34,408,250 3,561,960 1,200,234 36,769,976 2,066,944 34,703,032
OPEB 8,227,553 - 1,354,658 6,872,895 - 6,872,895
Net Pension Liability 2,523,666 403,566 - 2,927,232 - 2,927,232
Compensated Absences 414,880 266,842 240,580 441,142 239,347 201,795
Total Business-Type Activities Debt $ 45,574,349 $ 4,232,368 $ 2,795,472 $ 47,011,245 $ 2,306,291 $ 44,704,954
Additions of debt listed for the Bay Bridge Airport include $22,686 in distributions of the 2020 bonds.
-79-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 9 – NONCURRENT LIABILITIES (CONTINUED)
A. CHANGES IN NONCURRENT LIABILITIES (CONTINUED)
During the year ended June 30, 2021, the following changes occurred in the noncurrent liabilities of the primary
government’s Component Units:
COMPONENT UNITS Retirements Due in
Balance Additions and Balance Due Within More than
Board of Education and Free Library June 30, 2020 of new debt Repayments June 30, 2021 One Year One Year
Queen Anne's County
Board of Education
Compensated Absences $ 1,158,057 $ - $ 169,324 $ 988,733 $ - $ 988,733
Capital Leases 1,756,436 - 183,244 1,573,192 1 95,297 1,377,895
OPEB 224,997,744 - 58,152,681 166,845,063 - 166,845,063
Net Pension Liability 5,209,719 584,703 - 5,794,422 - 5,794,422
Subtotal 233,121,956 584,703 58,505,249 175,201,410 1 95,297 175,006,113
Free Library
OPEB 835,814 - 35,900 799,914 - 799,914
Total Noncurrent Liabilites: Component Units $ 233,957,770 $ 584,703 $ 58,541,149 $ 176,001,324 $ 1 95,297 $ 175,806,027
-80-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 9 – NONCURRENT LIABILITIES (CONTINUED)
B. GENERAL OBLIGATION BONDS, NOTES, OTHER POST-EMPLOYMENT BENEFIT OBLIGATION,
NET PENSION LIABILITY, AND COMPENSATED ABSENCES
PRIMARY GOVERNMENT
All general obligation bonds are valid and legally binding general obligations of Queen Anne’s County and constitutes
an irrevocable pledge of its full faith and credit and unlimited taxing power. Governmental bonds are payable from ad
valorem taxes, unlimited as to rate or amount on all real, tangible, personal, and certain intangible property subject to
taxation at full rate for local purposes in the County.
Business-type bonds, while representing general obligations of the County government, are to be paid from income
earned by the related enterprise fund. Enterprise funds that have such debt are: Sewer Operations, Bay Bridge Airport,
Blue Heron Golf Course, and Public Landings and Marinas.
During fiscal year 2019, the County implemented Governmental Accounting Standards Board’s Statement (GASB)
Statement 73, Accounting and Financial Reporting for Pensions and Related Assets That are Not Within the Scope of
GASB Statement 68. The County’ Fire and EMS Commission Pension Plan Length of Service Award Program
(“LOSAP”) is included in GASB 73 reporting. For governmental funds, the LOSAP obligations are reported in the
government-wide statements in the public safety function. There are not any LOSAP obligations in the enterprise funds.
LOSAP costs in governmental funds are charged to the General Fund. Additional information can be found in Note 15.
During fiscal year 2018, the County implemented the provisions of Governmental Accounting Standards Board (GASB)
Statement 75, Accounting and Financial Reporting for Postemployment Benefit Plans Other than Pensions. For
governmental funds, OPEB is reported in the government-wide statements in the function in which that employee
usually charges their productive time. For enterprise funds, OPEB is reported in the enterprise fund in which that
employee charges the majority of their productive time. OPEB costs in governmental funds are charged to the General
Fund. Additional information can be found in Note 14, Other Post-Employment Benefits.
During fiscal year 2015, the County implemented the provisions of Governmental Accounting Standards Board (GASB)
Statement 68, Accounting and Financial Reporting for Pensions. For governmental funds, the net pension liability is
reported in the government-wide statements in the function in which that employee usually charges their productive
time. For enterprise funds, these obligations are reported in the enterprise fund in which the employee charges the
majority of their productive time. Net Pension Liability costs in governmental funds are charged to the Governmental
Fund in which the employee charges their time. Additional information can be found in Note 12, Retirement Plans.
Compensated absences that mature during the fiscal year, in that they are paid when the employee takes vacation leave or
upon the employee’s termination, are typically liquidated from the governmental or enterprise fund in which that
employee charges the majority of their productive time. They are paid as regular wages. Compensated absences that do
not mature during the fiscal year are accrued at year-end as an adjustment to liability for compensated absences. For
governmental funds, these adjustments are reported in the government-wide statements in the function in which that
employee usually charges their productive time. For enterprise funds, these adjustments are reported in the enterprise
fund in which that employee charges the majority of their productive time. In the case of grant-funded activities that
disallow compensated absences as an eligible cost, they are paid as administrative wages in the same Fund.
Compensated absences in governmental funds are primarily charged to the General Fund or Special Revenue Funds; they
are usually not charged to Capital Projects Funds.
-81-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 9 – NONCURRENT LIABILITIES (CONTINUED)
B. GENERAL OBLIGATION BONDS, NOTES, OTHER POST-EMPLOYMENT BENEFIT OBLIGATION,
NET PENSION LIABILITY, AND COMPENSATED ABSENCES (CONTINUED)
PRIMARY GOVERNMENT (CONTINUED)
As of June 30, 2021, general obligation bonds and notes payable for governmental activities are comprised of the
following, along with other post-employment benefits, net pension liability, and accrued compensated absences:
Year Amount Outstanding Due in
Paying Interest Series of Original June 30, Due Within More than
Governmental Activities Fund Rate Matures Issue 2021 One Year One Year
General Obligation Bonds Payable
2012 Refunding Bonds General 2.00%-4.00% 2023 $ 8,010,000 $ 1,776,228 $ 866,230 $ 909,998
2014 Public Facilities General 2.00%-4.00% 2034 17,590,000 12,170,199 733,547 11,436,652
2015 Public Facilities General 3.00%-5.00% 2036 11,622,756 9,421,209 467,050 8,954,159
2015 Refunding Bonds General 2.00%-5.00% 2027 13,521,625 8,746,439 1,302,764 7,443,675
2016 Public Facilities General 2.00%-4.00% 2036 13,934,364 11,981,842 545,983 11,435,859
2017 Public Facilities General 3.00%-5.00% 2037 12,600,000 11,370,000 455,000 10,915,000
2018 Public Facilities General 3.00%-5.00% 2038 16,000,000 14,985,000 545,000 14,440,000
2019 Public Facilities General 3.00%-5.00% 2039 11,000,000 10,650,000 365,000 10,285,000
2019 Refunding Bonds General 4.00%-5.00% 2029 14,236,594 13,126,764 1,175,113 11,951,651
2020 Public Facilities General 2.00%-5.00% 2040 9,000,000 8,977,314 284,282 8,693,032
2021 Public Facilities General 1.50%-5.00% 2041 13,000,000 13,000,000 - 13,000,000
2021 Refunding Bonds General 1.50%-5.00% 2030 10,835,995 10,835,995 977,870 9,858,125
2012 Refunding Bonds (2003 Bonds) Due from PHA 3.50%-4.50% 2023 335,000 48,772 23,770 25,002
2015 Refunding Facilities (2006 Bonds) Due from PHA 2.00%-3.00% 2027 240,112 155,316 23,134 132,182
2019 Refunding Facilities (2009 Bonds) Due from PHA 4.00%-5.00% 2029 445,590 410,854 36,780 374,074
2014 Public Facilities Due from other Counties 2.00%-4.00% 2034 4,800,000 3,521,215 212,237 3,308,978
Subtotal Bonds Payable 131,177,147 8,013,760 123,163,387
Notes Payable
State of Maryland - Grove Ck. Spec. Rev. 0.00% 2034 510,617 265,517 20,425 245,092
State of Maryland - Narrows Pointe Spec. Rev. 0.00% 2037 525,318 438,256 27,391 410,865
Subtotal Notes Payable 703,773 47,816 6 55,957
Subtotal Bonds and Notes Payable 131,880,920 8,061,576 123,819,344
Bond Premiums 11,793,816 914,217 10,879,599
Subtotal Governmental Activities Debt 143,674,736 8,975,793 134,698,943
OPEB 34,912,910 - 34,912,910
Net Pension Liability 31,302,931 - 31,302,931
LOSAP Liability 9,602,464 - 9,602,464
Compensated Absences 3,203,438 1,738,066 1,465,372
Total Governmental Activities $ 222,696,479 $ 10,713,859 $ 211,982,620
-82-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 9 – NONCURRENT LIABILITIES (CONTINUED)
B. GENERAL OBLIGATION BONDS, NOTES, OTHER POST-EMPLOYMENT BENEFIT OBLIGATION,
NET PENSION LIABILITY, AND COMPENSATED ABSENCES (CONTINUED)
PRIMARY GOVERNMENT (CONTINUED)
The annual requirements to amortize general obligation bonds and notes payable outstanding as of June 30, 2021 for
governmental activities are as follows:
Governmental Activities
Year Ending Governmental Bonds Payable Governmental Notes Payable
June 30, Principal Interest Total Principal Interest Total
2022 $ 8,013,760 $ 4,556,052 $ 12,569,812 $ 47,816 $ - $ 47,816
2023 8,932,462 4,433,804 13,366,266 47,816 - 47,816
2024 8,340,372 4,045,717 12,386,089 47,816 - 47,816
2025 8,702,780 3,713,001 12,415,781 47,816 - 47,816
2026 9,070,256 3,340,570 12,410,826 47,816 - 47,816
2027-2031 42,305,468 11,153,132 53,458,600 239,080 - 239,080
2032-2036 30,006,377 4,460,158 34,466,535 198,222 - 198,222
2037-2041 15,155,672 815,113 15,970,785 27,391 - 27,391
2042 650,000 6,500 656,500 - - -
$ 131,177,147 $ 36,524,047 $ 167,701,194 $ 703,773 $ - $ 703,773
-83-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 9 – NONCURRENT LIABILITIES (CONTINUED)
B. GENERAL OBLIGATION BONDS, NOTES, OTHER POST-EMPLOYMENT BENEFIT OBLIGATION,
NET PENSION LIABILITY, AND COMPENSATED ABSENCES (CONTINUED)
PRIMARY GOVERNMENT (CONTINUED)
General obligation bonds and notes payable outstanding as of June 30, 2021 for business-type activities are comprised of
the following, as well as other post-employment benefits, net pension liability, and accrued compensated absences:
Year Amount Outstanding Due in
Interest Series of Original June 30, Due Within More than
Business -Type Activities Rate Matures Issue 2021 One Year One Year
Golf Course
2016 Public Facilities Bonds 2.00%-4.00% 2036 $ 85,636 $ 88,158 $ 4,017 $ 84,141
Bond Premiums 5,800 362 5,438
Subtotal Golf Course 93,958 4,379 89,579
Bay Bridge Airport
2014 Public Facilities Bonds 2.00%-4.00% 2034 964,940 733,587 44,216 689,371
2015 Public Facilities Bonds 3.00%-5.00% 2036 577,244 563,791 27,950 535,841
2015 Refunding Bonds 2.00%-5.00% 2027 173,556 112,265 16,722 95,543
2019 Refunding Bonds 4.00%-5.00% 2029 92,167 84,982 7,608 77,374
2020 Public Facilities Bonds 2.00%-5.00% 2040 22,686 22,686 718 21,968
2021 Refunding Bonds 1.50%-5.00% 2030 11,134 11,134 1,005 10,129
Bond Premiums 83,107 7,484 75,623
Subtotal Airport 1,611,552 1 05,703 1,505,849
Public Landings and Marinas
2015 Refunding Bonds 2.00%-5.00% 2027 24,707 15,983 2,380 13,603
2019 Refunding Bonds 4.00%-5.00% 2029 490,649 452,400 40,499 411,901
2021 Refunding Bonds 1.50%-5.00% 2030 67,871 67,871 6,125 61,746
Bond Premiums 95,277 9,766 85,511
Subtotal Public Landings and Marinas 631,531 58,770 572,761
Sanitary District
Maryland Water Quality-2005 Enhancement 1.00% 2027 18,252,291 5,847,107 9 52,838 4,894,269
Maryland Water Quality-2017 Loan 0.80% 2051 28,585,828 28,585,828 9 45,254 27,640,574
Subtotal Sanitary District 34,432,935 1 ,898,092 32,534,843
Total Business-Type Activities Debt 36,769,976 2 ,066,944 34,703,032
OPEB 6,872,895 - 6,872,895
Net Pension Liability 2,927,232 - 2,927,232
Compensated Absences 441,142 2 39,347 201,795
Total Business-Type Activities $ 47,011,245 $ 2 ,306,291 $ 44,704,954
-84-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 9 – NONCURRENT LIABILITIES (CONTINUED)
B. GENERAL OBLIGATION BONDS, NOTES, OTHER POST-EMPLOYMENT BENEFIT OBLIGATION,
NET PENSION LIABILITY, AND COMPENSATED ABSENCES (CONTINUED)
PRIMARY GOVERNMENT (CONTINUED)
The annual requirements to amortize business-type bonds and notes outstanding at June 30, 2021, are as follows:
Business-Type Activities
Year Ending Business-Type Bonds Payable Business-Type Notes Payable
June 30, Principal Interest Total Principal Interest Total
2022 $ 151,240 $ 81,790 $ 233,030 $ 1,898,092 $ 4 36,745 $ 2,334,837
2023 157,534 75,678 233,212 1,915,182 3 98,950 2,314,132
2024 164,627 68,317 232,944 1,932,429 3 81,705 2,314,134
2025 172,220 61,510 233,730 1,949,832 3 64,302 2,314,134
2026 179,745 54,589 234,334 1,967,394 3 46,739 2,314,133
2027-2031 844,533 167,657 1,012,190 5,981,373 1 ,335,685 7,317,058
2032-2036 468,625 40,644 509,269 5,200,830 1 ,071,285 6,272,115
2037-2041 14,333 515 14,848 5,403,489 8 59,895 6,263,384
2042-2046 - - - 5,587,498 6 39,914 6,227,412
2047-2051 - - - 2,596,816 2 74,654 2,871,470
$ 2,152,857 $ 550,700 $ 2,703,557 $ 34,432,935 $ 6 ,109,874 $ 40,542,809
C. ISSUANCE OF NEW DEBT
PRIMARY GOVERNMENT
In April 2021, Queen Anne's County issued Public Facilities Bonds of 2021 for $13,000,000. These General Obligation
Bonds carry interest rates of 1.5 to 5.0 percent and mature serially through 2041. The primary use of the bond proceeds
is to provide funding for the various County facility renovations, the Kent Island Public Library expansion, Roads capital
projects, various Board of Education projects, with minor amounts earmarked for construction of general government
capital projects. Moody’s Investor Service has assigned the rating of Aa1, Fitch Ratings has assigned a rating of AAA
and Standard & Poor’s also assigned a AAA rating to the Queen Anne’s County 2021 Bonds.
In April 2021, the County issued $10,915,000 in Public Facilities Refunding Bonds, with interest rates ranging from 1.5
to 5.0 percent. The net proceeds of $13,058,721 (after a premium of $2,251,781 and payments of $108,060 in
underwriting fees, insurance and other issue costs) were used to refund $13,000,000 of outstanding Public Facilities
Bonds of 2011. The refunding resulted in a difference between the reacquisition price and the net carrying amount of the
old debt of $136,742. This difference, reported in the accompanying financial statements as a deduction from bonds
payable, is being charged to operations through the year 2031 using the effective interest method. The County completed
the refunding to reduce the total debt service payments over a period of 10 years by $2,422,701 and to obtain an
economic gain (difference between the present values of the old and new debt service payments) of $2,176,435.
In fiscal year 2017, the County began borrowing funds through the Maryland Water Quality Financing Administration
for the Southern Kent Island (SKI) Sanitary Project. The total loan amount will be approximately $32 million and funds
will be disbursed as the project costs are incurred. Principal payments will begin in 2022 and the loan will be repaid
over 30 years at an interest rate of 0.80%. In fiscal year 2021, the County received $3,443,970 as part of this loan. The
total received as of June 30, 2021 was $28,585,828. At completion of the SKI project, it is anticipated that $1,267,000 of
the loan with the Maryland Water Quality Financing Administration will be forgiven and the County will not need to
repay those funds. At that time, the County will clear the debt for the final amount forgiven.
-85-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 9 – NONCURRENT LIABILITIES (CONTINUED)
D. LEASE OBLIGATIONS
OPERATING LEASE – PRIMARY GOVERNMENT
In October 2009, Queen Anne’s County entered into an operating lease agreement as lessor for ground space at the Bay
Bridge Airport. The Airport leased a parcel of land approximately 9,000 square feet to CSP Properties, LLC beginning in
November 2009 for a term of twenty-five years, ending in fiscal year 2035. Included in the lease agreement is the
requirement that the lessee, CSP Properties, LLC, construct an aircraft hangar at its sole expense, subject to certain
criteria. At the end of the lease, the aircraft hangar and any improvements made to it become the sole property of the
Bay Bridge Airport.
Lease revenues for the year ended June 30, 2021 amounted to $5,635. Minimum future lease revenues are as follows:
Fiscal Year Ending Lease
June 30, Payments
2022 $ 5,710
2023 5,748
2024 5,748
2025 5,824
2026 5,863
2027-2031 29,824
2032-2035 20,453
Minimum Future Rental Revenue $ 79,170
In fiscal year 2019, Queen Anne’s County entered into an agreement with the Division of Housing and Community
Services (DHCS) to lease property from DHCS for $1 per year for 25 years.
E. LOCAL DEBT POLICY
PRIMARY GOVERNMENT
In May 2013, Queen Anne’s County adopted Resolution No. 13-04, which updated and replaced Resolution No. 09-13,
to continue a local debt policy in compliance with Article 95, Section 22F of the Annotated Code of Maryland. This
policy requires that the County’s Director of Budget and Finance: (1) prepare a six-year capital project plan each year;
(2) propose an amount to be transferred from the General Fund operating balances to the General Capital Projects Fund
to serve as pay-as-you-go funding in the latter Fund, in order to lessen the need for future County debt; (3) limit the
County’s non-bonded indebtedness to $8.0 million for general operating expenses or capital improvements; and (4)
certify that the sum of outstanding general bonded debt and any new general obligation debt is 2.5% or less of the total
taxable assessable base and is $3,000 or less per capita. This policy also stipulates that although there is some flexibility
as to the acceptable percentage of debt service to general fund expenditures, and no absolute limit has been established
by the rating agencies or the Government Finance Officers Association, anything above 12% of total general fund
expenditures would be a cause to carefully monitor debt service. In addition to the debt policy, the Spending
Affordability Committee recommended that the limit of debt service to general fund expenditures should be limited to
10% and the County Commissioners have adopted that as a limit.
Queen Anne’s County has complied with the above policy and has not had any violations. For calculations relating to
this local debt policy, see Table 12-b in the Statistical Section of this document.
-86-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 10 – RESTRICTED ASSETS AND LIABILITIES AND FUND BALANCES
A. RESTRICTED ASSETS AND RELATED LIABILITIES
PRIMARY GOVERNMENT
BUSINESS-TYPE ACTIVITIES
Queen Anne’s County Sanitary District
Restricted Fund - The County Commissioners created a restricted fund within the Sanitary District Enterprise Fund in
November of 1989 by enabling legislation. Revenue sources to the fund are sales of water and sewer allocations and
interest earned on investments. Authorized uses of restricted funds are major capital expenses for repairs, construction,
plant expansion, debt service, or other similar uses within the Sanitary District. To date, such funds have been used
almost exclusively for debt service.
Debt Service Fund - Principal and interest payments for water and wastewater debt used to expand the service area are
payable primarily from water and sewer special benefit assessments. These assessments, made at the time the expansion
is ready for use, are created by enabling legislation and amortized over the same life as underlying debt. They constitute
a lien on the served property and may be prepaid at any time. The amount of assessments collectable in future years is
recorded as benefit assessments receivable. A portion of those assessments receivable is not due currently and is
recorded as unearned revenue.
Water Quality Revolving Loan Fund debt covenants stipulate that sufficient financial resources must be available in the
Debt Service Fund as of June 30 of each year to cover the subsequent year’s debt service payments. If such resources
are not available at that time, the covenants require that the County increase service rates, impose benefit assessments, or
otherwise increase financial resources so that debt service payments are covered before they are due throughout the year.
The assets and related liabilities restricted for the above purposes at June 30, 2021 are as follows:
Sanitary District
Business -Type Activities Restricted Debt Service Total
Current Restricted Assets
Equity in Pooled Cash $ 16,513,330 $ 2,684,988 $ 19,198,318
Accounts Receivable (Net) 2,606,798 756,000 3,362,798
Subtotal Current Restricted Assets 19,120,128 3,440,988 22,561,116
Noncurrent Restricted Assets
Special Assessments Receivable (Net) 866,497 14,733,028 15,599,525
LESS Deferred Inflows - Unavailable Water and Sewer Assessments ( 866,497) (14,733,028) (15,599,525)
Net Restricted Assets $ 19,120,128 $ 3,440,988 $ 22,561,116
-87-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 10 – RESTRICTED ASSETS AND LIABILITIES AND FUND BALANCES (CONTINUED)
B. RESTRICTED NET POSITION
PRIMARY GOVERNMENT
GOVERNMENTAL ACTIVITIES
Net Investment in Capital Assets for governmental activities, is calculated as follows:
Governmental Activities
Total Debt excluding Compensated Absences, Pension, OPEB, and LOSAP Obligations $ ( 143,122,338)
(includes $552,398 for deferred charge on refunding)
Add back: Debt relating to Board of Education Assets $ 51,097,497
Add back: Unspent portion of Bond Proceeds for Board of Education debt 5,757,688
Add back: Unspent portion of Bond Proceeds for Governmental debt 7,460,621
Add back: Debt relating to Chesapeake College 5,501,825
Add back: Debt relating to PHA 614,942
Add back: Debt relating to non-capital assets (Dredging) 703,773
Add back debt unrelated to Capital Assets 71,136,346
Net Assets Invested in Capital Assets 188,206,051
Net Investment in Capital Assets $ 116,220,059
BUSINESS-TYPE ACTIVITIES
Net Investment in Capital Assets, Restricted Amounts, Unrestricted Amounts, and Net Position for business-type
activities, are as follows:
Sanitary District Non-Major Total
Sewer Water Restricted Debt Service Total Bay Bridge Enterprise Enterprise
Business-Type Activities Operating Operating Fund Fund Sanitary Airport Funds Funds
Capital Assets, net of Accumulated Depreciation $ 81,048,887 $ 21,711,142 $ - $ - $ 102,760,029 $ 15,454,115 $ 7,183,963 $ 125,398,107
Less: Debt excluding Compensated Absences,
OPEB, and Net Pension Liability (34,432,935) - - - (34,432,935) (1,611,552) (725,489) ( 36,769,976)
Plus: Deferred Charge on Refunding - - - - - 6,193 883 7,076
Net Investment in Capital Assets 46,615,952 21,711,142 - - 68,327,094 13,848,756 6,459,357 88,635,207
Restricted Amounts
Debt Service - - - 3,440,988 3,440,988 1,222,838 - 4,663,826
Other Purposes - - - - - 1,658,527 - 1,658,527
Total Restricted Amounts - - - 3,440,988 3,440,988 2,881,365 - 6,322,353
Total Unrestricted Amounts (Deficit) (1,988,594) 3,749,887 19,120,128 - 20,881,421 (1,313,008) (549,817) 19,018,596
Total Net Position $ 44,627,358 $ 25,461,029 $ 19,120,128 $ 3,440,988 $ 92,649,503 $ 15,417,113 $ 5,909,540 $ 113,976,156
-88-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 10 – RESTRICTED ASSETS AND LIABILITIES AND FUND BALANCES (CONTINUED)
C. FUND BALANCES
PRIMARY GOVERNMENT
Governmental fund balances are composed of the following:
Total
General General Roads Non-Major Governmental
Governmental Funds Fund Capital Capital Governmental Funds
Nonspendable
Inventory $ 1 ,209,864 $ - $ - $ - $ 1,209,864
Prepaid Items 4 ,541,830 - - - 4,541,830
Subtotal Nonspendable 5,751,694 - - - 5,751,694
Restricted
Rainy Day Fund 1 2,194,588 - - - 12,194,588
Unspent Bond Proceeds - 13,218,309 - - 13,218,309
Economic and Community Development - - - 2,986,487 2,986,487
Employee Benefits - LOSAP 3 ,851,036 - - - 3,851,036
Agricultural Easements - - - 757,719 757,719
Impact Fees - 247,435 - - 247,435
Inmate Welfare - - - 213,444 213,444
Critical Areas - - - 332,421 332,421
Mosquito Control 7 6,505 - - - 76,505
Sheriff's Drug Task Force - - - 113,008 113,008
Vehicle Acquisition - 40,788 - - 40,788
Dredging - - - 6,430 6,430
Donor-Specified Purposes 5 9,885 - - 3,382 63,267
Subtotal Restricted 1 6,182,014 13,506,532 - 4,412,891 34,101,437
Committed
Impact Fees - - - 13,595,273 13,595,273
Revenue Stabilization Fund 7 ,621,618 - - - 7,621,618
Economic Development - 1,769,133 - 7,695,380 9,464,513
Rubble Surcharge - 768,205 - - 768,205
Developer Exactions - 1,076,841 553,088 - 1,629,929
Subtotal Committed 7,621,618 3,614,179 553,088 21,290,653 33,079,538
Assigned
Encumbrances - 8,692,602 1,945,042 - 10,637,644
Subsequent Years' Expenditures 1 ,525,829 3,271,419 720,000 563,049 6,080,297
Capital Projects - 15,512,400 3,184,467 - 18,696,867
Loans Receivable - 1,898,001 - - 1,898,001
Economic Development - - - 240,000 240,000
Subtotal Assigned 1,525,829 29,374,422 5,849,509 803,049 37,552,809
Unassigned
General Fund 1 9,340,107 - - - 19,340,107
Fire Company Impact Fees - - - (19,649) (19,649)
Subtotal Unassigned 1 9,340,107 - - (19,649) 19,320,458
Total Governmental Funds Balances $ 5 0,421,262 $ 46,495,133 $ 6,402,597 $ 26,486,944 $ 129,805,936
-89-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 10 – RESTRICTED ASSETS AND LIABILITIES AND FUND BALANCES (CONTINUED)
C. FUND BALANCES (CONTINUED)
PRIMARY GOVERNMENT (CONTINUED)
Encumbrances included in the General Capital and Roads Capital funds are for the following purposes:
General Roads
Capital Capital
General Government $ 2,773,739 $ -
Parks & Recreation 1,792,443 -
Economic Development 1,546,304 -
Education 1,180,765 -
Public Works 375,921 -
Public Safety 417,362 -
Library 345,816 -
Conservation of Natural Resources 151,563 -
Social Services 108,689 -
Resurfacing Contracts and Materials - 1,170,326
Roads Construction Equipment - 774,716
Total Encumbrances $ 8,692,602 $ 1,945,042
NOTE 11 - RISK MANAGEMENT
The County is exposed to various risks of loss related to torts; theft of, damage to, and destruction of assets; errors
and omissions; and natural disasters. The government carries commercial insurance to cover such risks. Certain
assets of the County such as roads, bridges, and other infrastructure are not insurable due to their nature.
General Insurance Coverage - The County is a participant in the Local Government Insurance Trust (LGIT), which is
a consortium of Maryland local governments created to provide insurance coverage and services to Maryland local
governments. The LGIT provides general liability, public officials’ liability, fleet insurance, and building and
property insurance to its members.
Workmen’s compensation and fidelity insurance are obtained from various commercial insurance companies.
Risk Sharing - Subscribers to coverage provided by LGIT share the risk among participants of the pools. As a result,
the County's annual premium requirements will be affected by the loss experience of the various insurance pools in
which it participates. Also, the County may be subject to additional assessments from time to time. These amounts
would be recorded as expenditures when they are probable and can be reasonably estimated. Conversely, favorable
performance of certain insurance pools may result in reduced premiums.
Health Insurance - Effective with the 1996 fiscal year, the County joined together with other Eastern Shore county
governments, libraries, and Boards of Education to form the Eastern Shore of Maryland Education Consortium
Health Insurance Alliance (ESMEC), a public entity risk pool currently operating as a common risk management and
insurance program for health insurance coverage. CareFirst BlueCross BlueShield, of Maryland, administers this
program.
The agreement for formulation of the alliance provides that the pool will be self-sustaining through member
premiums. In addition to the annual premiums, the pooling agreement provides for additional assessments, if needed,
but not to exceed certain limits. No additional assessments were needed for fiscal year 2021 and, as of the date of
this report, it is believed that there are no outstanding claims in excess of the equity of the trust.
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 11 - RISK MANAGEMENT (CONTINUED)
Effective January 2017, the County prescription plan moved to a new pharmacy benefit manager, Express Scripts,
which is separate from CareFirst.
Settlements – In fiscal years 2019, 2020 and 2021, settlements have not exceeded insurance coverage for any type of
policy in effect.
NOTE 12 - RETIREMENT PLANS
Virtually all full and eligible part-time employees of Queen Anne’s County, Maryland, and its related agencies are
covered by one of the statewide contributory pension systems of the State of Maryland.
Maryland State Retirement and Pension Systems
Organization
The State Retirement Agency is the administrator of the Maryland State Retirement and Pension System (the System).
The System was established by the State Personnel and Pensions Article of the Annotated Code of Maryland to provide
retirement allowances and other benefits to State employees, teachers, police, judges, legislators, and employees of
participating governmental units. Responsibility for the System’s administration and operation is vested in a 15-member
Board of Trustees. The System is made up of two cost-sharing employer pools: the “State Pool” and the “Municipal
Pool”. The State Pool consists of State agencies, boards of education, community colleges, and libraries. The Municipal
Pool consists of participating governmental units that elected to join the System. Neither pool shares in each other’s
actuarial liabilities, thus participating governmental units that elect to join the System (the “Municipal Pool”) share in the
liabilities of the Municipal Pool only. Currently, the System has 153 participating employers in addition to the State.
The State of Maryland is the statutory guarantor for the payment of all pensions, annuities, retirement allowances,
refunds, reserves, and other benefits of the System. The State is obligated to annually pay into the accumulation fund of
each State system at least an amount that, when combined with the State’s accumulation funds, is sufficient to provide
benefits payable under each plan during that fiscal year. The System is accounted for as one defined benefit plan as
defined in accordance with accounting principles generally accepted in the United States of America. Additionally, the
System is fiscally dependent on the State by virtue of the legislative and executive controls exercised with respect to its
operations, policies, and administrative budget. Accordingly, the System is included in the State’s reporting entity and
disclosed in its financial statements as a pension trust fund.
The System is comprised of the Teachers’ Retirement and Pension Systems, Employees’ Retirement and Pension
Systems, State Police Retirement System, Judges’ Retirement System, and the Law Enforcement Officers’ Pension
System (LEOPS).
The following groups of employees participate in:
Employees Plan
Board of Education - regular employees Employees System
Board of Education - teachers Teachers System
Library Teachers System
Queen Anne's County:
Elected officials Employees System
Sheriff's Deputies LEOPS
Regular employees Employees System
The System is a cost sharing multiple-employer defined benefit pension plan.
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 12 - RETIREMENT PLANS (CONTINUED)
Covered Members
Teachers’ Retirement System
The Teachers’ Retirement System was established on August 1, 1927, to provide retirement allowances and other
benefits to teachers in the State. Effective January 1, 1980, the Teachers’ Retirement System was closed to new members
and the Teachers’ Pension System was established. As a result, teachers hired after December 31, 1979, became
members of the Teachers’ Pension System as a condition of employment. On or after January 1, 2005, an individual
who is a member of the Teachers’ Retirement System may not transfer membership to the Teachers’ Pension System.
Employees’ Retirement System
On October 1, 1941, the Employees’ Retirement System was established to provide retirement allowances and other
benefits to State employees, elected and appointed officials and the employees of participating governmental units.
Effective January 1, 1980, the Employees’ Retirement System was essentially closed to new members and the
Employees’ Pension system was established. As a result, State employees (other than correctional officers) and
employees of participating governmental units hired after December 31, 1979, became members of the Employees’
Pension System as a condition of employment, while all State correctional officers and members of the Maryland
General Assembly continue to be enrolled as members of the Employees’ Retirement System. On or after January 1,
2005, an individual who is a member of the Employees’ Retirement System may not transfer membership to the
Employees’ Pension System.
State Police Retirement System
The State Police Retirement System was established on July 1, 1949, to provide retirement allowances and other benefits
to any police employee or cadet of the Maryland State Police.
Judges’ Retirement System
The Judges’ Retirement System was established on June 30, 1969, to provide retirement allowances and other benefits to
for State and local, appointed, or elected judges.
The Law Enforcement Officers’ Pension System (LEOPS)
The Law Enforcement Officers’ Pension System (LEOPS) was established on July 2, 1990, to provide retirement
allowances and other benefits for certain State and local law enforcement officers. This System includes both retirement
plan and pension plan provisions which are applicable to separate portions of the System’s membership. The retirement
plan provisions are only applicable to those members who, on the date they elected to participate in LEOPS, were
members of the Employees’ Retirement System. This System’s pension plan provisions are applicable to all other
participating law enforcement officers.
Summary of Significant Plan Provisions
All plan benefits are specified by the State Personnel and Pensions Article of the Annotated Code of Maryland. For all
individuals who are members of the Employees’, Teachers’, Correctional Officers’ or State Police Retirement System on
or before June 30, 2011, retirement allowances are computed using both the highest three years’ Average Final
Compensation (AFC) and the actual number of years of accumulated creditable service. For individuals who become
members of the State Police Retirement System or the Correctional Officers’ Retirement System on or after July 1, 2011,
retirement allowances are computed using both the highest five years’ AFC and the actual number of years of
accumulated creditable service. For all individuals who are members of the pension systems of the State Retirement and
Pension System on or before June 30, 2011, pension allowances are computed using both the highest three consecutive
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 12 - RETIREMENT PLANS (CONTINUED)
years’ AFC and the actual number of years of accumulated creditable service. For any individual who becomes a
member of one of the pension systems on or after July 1, 2011, pension allowances are computed using both the highest
five consecutive year’s AFC and the actual number of years of accumulated creditable service. Various retirement
options are available under each system which ultimately determines how a retiree’s benefit allowance will be computed.
Some of these options require actuarial reductions based on the retiree’s and/or designated beneficiary’s attained age and
similar actuarial factors.
The member contribution rate for members of the Teachers’ Retirement Pension System and Employees’ Retirement
Pension System is 7% for both. The member contribution rate for members of the State Police Retirement System is 8%
up until 28 years of service. The member contribution rate for members of the Judges’ Retirement System is 8% until 16
years of service and 7% for members of the Law Enforcement Officers’ Pension system up to 32 years and six months of
service.
In addition, the benefit attributable to service on or after July 1, 2011 in many of the pension systems now will be subject
to different cost-of-living adjustments (COLA) that is based on the increase in the Consumer Price Index (CPI) and
capped at 2.5% or 1.0% based on whether the fair value investment return for the preceding calendar year was higher or
lower than the investment return assumption used in the valuation (currently 7.40%).
A brief summary of the retirement eligibility requirements of and the benefits available under the various systems in
effect during fiscal year 2020, are as follows:
Service Retirement Allowances
A member of either the Teachers’ or Employees’ Retirement System is generally eligible for full retirement benefits
upon the earlier of attaining age 60 or accumulating 30 years of creditable service regardless of age. The annual
retirement allowance equals 1/55 (1.81%) of the member’s AFC multiplied by the number of years of accumulated
creditable service.
An individual who is a member of either the Teachers’ or Employees’ Pension System on or before June 30, 2011, is
eligible for full retirement benefits upon the earlier of attaining age 62, with specified years of eligibility service, or
accumulating 30 years of eligibility service regardless of age. An individual who becomes a member of either the
Teachers’ or Employees’ Pension System on or after July 1, 2011, is eligible for full retirement benefits if the member’s
combined age and eligibility service equals at least 90 years or if the member is at least age 65 and has accrued at least
10 years of eligibility service.
For most individuals who retired from either the Teachers’ or Employees’ Pension System on or before June 30, 2006,
the annual pension allowance equals 1.2% of the member’s AFC, multiplied by the number of years of creditable service
accumulated prior to July 1, 1998, plus 1.4% of the member’s AFC, multiplied by the number of years of creditable
service accumulated subsequent to June 30, 1998. With certain exceptions, for individuals who are members of the
Teachers’ or Employees’ Pension System on or after July 1, 2006, the annual pension allowance equals 1.2% of the
member’s AFC, multiplied by the number of years of creditable service accumulated prior to July 1, 1998, plus 1.8% of
the member’s AFC, multiplied by the number of years of creditable service accumulated subsequent to June 30, 1998.
Beginning July 1, 2011, any new member of the Teachers’ or Employees’ Pension System shall earn an annual pension
allowance equal to 1.5% of the member’s AFC multiplied by the number of years of creditable service accumulated as a
member of the Teachers’ or Employee’s Pension System.
Exceptions to these benefit formulas apply to members of the Employees’ Pension System, who are employed by a
participating governmental unit that does not provide the 1998 or 2006 enhanced pension benefits or the 2011 reformed
pension benefits. The pension allowance for those members equals 0.8% of the member’s AFC up to the social security
integration level (SSIL), plus 1.5% of the member’s AFC in excess of the SSIL, multiplied by the number of years of
accumulated creditable service. For the purpose of computing pension allowances, the SSIL is the average of the social
security wage bases for the past 35 calendar years ending with the year the retiree separated from service.
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 12 - RETIREMENT PLANS (CONTINUED)
An individual who is a member of the State Police Retirement System on or before June 30, 2011, is eligible for full
retirement benefits upon the earlier of attaining age 50 or accumulating 22 years of eligibility service regardless of age.
An individual who becomes a member of the State Police Retirement System on or after July 1, 2011 is eligible for full
retirement benefits upon the earlier of attaining age 50 or accumulating 25 years of eligibility service regardless of age.
The annual retirement allowance equals 2.55% of the member’s AFC multiplied by the number of years of accumulated
creditable service and may not exceed 71.4% of the member’s AFC.
A member of the Judges’ Retirement System is eligible for full retirement benefits upon attaining age 60. The annual
retirement allowance for a member with at least 16 years of accumulated creditable service equals 2/3 (66.7%) of the
salary of an active judge holding a comparable position. The annual retirement allowance is prorated if the member
retires with fewer than 16 years of accumulated creditable service.
A member of the Law Enforcement Officers’ Pension System is eligible for full retirement benefits upon the earlier of
attaining age 50 or accumulating 25 years of eligibility service regardless of age. The annual retirement allowance for a
member who is covered under the retirement plan provisions equals 1/50 (2.0%) of the member’s AFC multiplied by the
number of years of accumulated creditable service up to 30 years, plus 1/100 (1.0%) of the member’s AFC multiplied by
the number of years of accumulated creditable service in excess of 30 years. For members subject to the pension
provisions, full service pension allowances equal 2.0% of AFC up to a maximum of 60% (30 years of credit).
Vested Allowances
Any individual who is a member of the State Retirement and Pension System on or before June 30, 2011 (other than a
judge or a legislator), and who terminates employment before attaining retirement age but after accumulating 5 years of
eligibility service is eligible for a vested retirement allowance. Any individual who joins the State Retirement and
Pension System on or after July 1, 2011 (other than a judge or a legislator), and who terminates employment before
attaining retirement age but after accumulating 10 years of eligibility service is eligible for a vested retirement
allowance. A member, who terminates employment prior to attaining retirement age and before vesting, receives a
refund of all member contributions and interest.
Early Service Retirement
A member of either the Teachers’ or Employees’ Retirement System may retire with reduced benefits after completing
25 years of eligibility service. Benefits are reduced by 0.5% per month for each month remaining until the retiree either
attains age 60 or would have accumulated 30 years of creditable service, whichever is less. The maximum reduction for
a Teachers’ or Employees’ Retirement System member is 30%.
An individual who is a member of either the Teachers’ or Employees’ Pension System on or before June 30, 2011 may
retire with reduced benefits upon attaining age 55 with a least 15 years of eligibility service. Benefits are reduced by
0.5% per month for each month remaining until the retiree attains age 62. The maximum reduction for these members of
the Teachers’ or Employees’ Pension System is 42%. An individual who becomes a member of either the Teachers’ or
Employees’ Pension System on or after July 1, 2011, may retire with reduced benefits upon attaining age 60 with at least
15 years of eligibility service. Benefits are reduced by 0.5% per month for each month remaining until the retiree attains
age 65. The maximum reduction for these members of the Teachers’ or Employees’ Pensions System is 30%.
Members of the State Police, Judges’, Law Enforcement Officers’ and Local Fire and Police Systems are not eligible for
early service benefits.
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 12 - RETIREMENT PLANS (CONTINUED)
Disability and Death Benefits
Generally, a member covered under retirement plan provisions who is permanently disabled after 5 years of service
receives a service allowance based on a minimum percentage (usually 25%) of the member’s AFC. A member covered
under pension plan provisions who is permanently disabled after accumulating 5 years of eligibility service receives a
service allowance computed as if service had continued with no change in salary until the retiree attained age 62. A
member (other than a member of the Maryland General Assembly or a judge, both of which are ineligible for accidental
disability benefits) who is permanently and totally disabled as the result of an accident occurring in the line of duty
receives 2/3 (66.7%) of the member’s AFC plus an annuity based on all member contributions and interest. Death
benefits are equal to a member’s annual salary as of the date of death plus all member contributions and interest.
Adjusted Retirement Allowances
Retirement and pension allowances are increased annually to provide for changes in the cost of living according to
prescribed formula. Such adjustments for retirees are based on the annual change in the CPI. For the Teachers’ and
Employees’ Retirement Systems (TRS/ERS) the method by which the annual COLA’s are computed depends upon
elections made by members who were active on July 1, 1984 (or within 90 days of returning to service, for members who
were inactive on July 1, 1984) enabling the member to receive either an unlimited COLA, a COLA limited to 5% or a
two part combination COLA depending upon the COLA election made by the member.
Members of the State Police Retirement System (SPRS) and Law Enforcement Officers’ Pension System (LEOPS) are
eligible to participate in a Deferred Retirement Option Program (DROP). For members who enter the DROP on or after
July 1, 2011, the member is deemed retired and the retirement allowance is placed in an account earning 4% interest
per year, compounded annually. At the end of the DROP period, the lump sum held in the DROP account is paid to
the retiree. The SPRS and LEOPS members must end employment and fully retire at the end of the DROP period. The
maximum period of participation is 4 years for SPRS and 5 years for LEOPS. The amount of funds held in the DROP as
of June 30, 2020 and 2019, was $25,017,803 and $21,724,997, respectively.
However, beginning July 1, 2011, for benefits attributable to service earned on or after July 1, 2011, in all of the systems
except the judges’ and legislators’ systems, the adjustment is capped in the lesser of 2.5% or the increase in CPI if the
most recent calendar year fair value rate of return was greater than or equal to the assumed rate. The adjustment is
capped at the lesser of 1% or the increase in CPI if the fair value return was less than the assumed rate of return. In years
in which COLAs would be less than zero due to a decline in the CPI, retirement allowances will not be adjusted.
COLAs in succeeding years are adjusted until the difference between the negative COLA that would have applied and
the zero COLA is fully recovered.
Retirement allowances for legislators and judges are recalculated when the salary of an active member holding a
comparable position is increased.
Net Pension Liability
Based on actuarial valuations performed as of June 30, 2019 and 2018 and rolled forward to measurement dates of June
30, 2020 and 2019, respectively, the components of the net pension liability of the participating employers at June 30,
2020 and 2019, respectively, were as follows:
(expressed in thousands)
2020 2019
Total Pension Liability (TPL) $ 77,187,399 $ 74,569,030
Plan Fiduciary Net Position 54,586,037 53,943,420
Net Pension Liability $ 22,601,362 $ 20,625,610
Ratio - Fiduciary Net Position/TPL 70.72% 72.34%
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 12 - RETIREMENT PLANS (CONTINUED)
Actuarial Assumptions
The actuarial assumptions presented below were adopted pursuant to an experience study for the period July 1, 2014 to
July 30, 2018.
Inflation In the 2020 actuarial valuation, 2.60% general, 3.10% wage.
In the 2019 actuarial valuation, 2.65% general, 3.15% wage.
Salary Increases In the 2020 actuarial valuation, 3.10% to 11.6%.
In the 2019 actuarial valuation, 3.10% to 11.6%.
Investment Rate of Return In the 2020 actuarial valuation, 7.40%.
In the 2019 actuarial valuation, 7.40%.
Retirement Age Experience-based table of rates that are specific to the type of
eligibility condition. Last updated for the 2018 valuation pursuant to
an experience study of the period July 1, 2014 to July 30, 2018.
Mortality Public Sector 2010 Mortality Tables calibrated to MSRPS experience
with generational projections using MP-2018 (2-dimensional)
mortality improvement scale.
Investments
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 weighing the expected future real rates of return by the target asset allocation percentage and
by adding expected inflation. Best estimates of geometric real rates of return were adopted by the Board of Trustees
after considering input from the System’s investment consultant(s) and actuary(s). For each major asset class that is
included in the System’s target asset allocation as of June 30, 2020, these best estimates are summarized in the following
table:
Long-Term
Expected Real Rate
Asset Class Target Allocation of Return
Public Equity 37% 5.2%
Private Equity 13% 6.5%
Rate Sensitive 19% -0.3%
Credit Opportunity 9% 2.8%
Real Assets 14% 4.3%
Absolute Return 8% 1.8%
Total 100%
The above was the Board of Trustees adopted asset allocation policy and best estimate of geometric real rates of return
for each major asset class as of June 30, 2020.
For the years ended June 30, 2020 and 2019, the annual money-weighted rate of return on pension plan investments, net
of the pension plan investment expense, was 3.50% and 6.44%, respectively. The money-weighted rate of return
expresses investment performance, net of investment expense, adjusted for the changing amounts actually invested.
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 12 - RETIREMENT PLANS (CONTINUED)
Discount rate
A single discount rate of 7.40% was used to measure the total pension liability. The single discount rate was based on
the expected rate of return on pension plan investments of 7.40%. The projection of cash flows used to determine this
single discount rate assumed that plan member contributions will be made at the current contribution rate and that
employer contributions will be made at rates equal to the difference between actuarially determined contribution rates
and the member rate. Based on these 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.
Sensitivity of the Net Pension Liability
Regarding the sensitivity of the net pension liability to changes in the single discount rate, the following presents the
plan’s net pension liability, calculated using a single discount rate of 7.40%, as well as what the plan’s net pension
liability would be if it were calculated using a single discount rate that is 1% point lower or 1% point higher:
1% Decrease Discount Rate 1% Increase
System to 6.40% 7.40% to 8.40%
County $ 48,732,183 $ 34,230,163 $ 22,151,348
Board of Education 8,249,300 5,794,422 3,749,742
Teachers’ and Employees’ Retirement Systems and Teachers’ and Employees’ Pension Systems
Teachers’ Retirement and Pension Systems:
In accordance with Maryland Senate Bill 1301, Budget Reconciliation and Financing Act of 2012, the Board is required
to pay the State 100% of the normal cost portion of the total pension cost for teachers. The normal cost is the portion of
the total retirement benefit cost that is allocated to the current year of the employee’s service. As contractually required,
during fiscal year 2021, the Board contributed $2,307,291 to the Teachers’ Retirement and Pension System.
Employees’ Retirement and Pension Systems:
During fiscal year 2021, the Board contributed $632,990 to the Employees’ Retirement and Pension System.
Pension Liabilities, Pension Expense, Deferred Outflows of Resources, and Deferred Inflows of Resources Related
to Pensions
Because the State of Maryland pays the unfunded liability for the Teachers’ Systems on behalf of the Board and Library,
and the Board pays the normal cost for the Teachers’ Systems, the Board and Library are not required to record its’ share
of the unfunded pension liability for the Teachers’ Systems, the State of Maryland is required to record that liability.
The Board is required to record a liability for the Employees’ Systems.
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 12 - RETIREMENT PLANS (CONTINUED)
At June 30, 2021, the Board of Education reported a liability for its proportionate share of the net pension liability that
reflected a reduction for State pension support provided to the Board. The amount recognized by the Board as its
proportionate share of the net pension liability, the related State support, and the total portion of the net pension liability
that was associated with the Board were as follows:
Board's proportionate share of the net pension liability
(Employees' Systems) $ 5,794,422
State's proportionate share of the net pension liability
(Teachers' Systems) 63,718,224
Total $ 69,512,646
The net pension liability was measured as of June 30, 2020, and the total pension liability used to calculate the net
pension liability was determined by an actuarial valuation as of that date. The County’s proportion of the net pension
liability was calculated as follows by the System(s):
1. Net pension liability for the entire System was calculated. For purposes of funding the System, all calculations
are determined on an actuarial basis and are completed through the development of rates based on two separate
asset pools, one for employees of the State of Maryland (the State) and one for the Participating Governmental
Units (“PGUs”). These pools are kept on an actuarial basis and allow for the State to fund only State employees
and PGUs to fund only PGU employees. For the accounting of the System, however, the assets of the System
are accounted in a single pool which is audited annually.
2. Determine the total contributions to the System by the State and PGUs, inclusive of any underfunding of
contributions.
3. Based on the number of participants at each Board of Education, calculate the difference between what each
Board would have contributed if they funded at the rate of all other participating governments and what the
Board actually contributed. The difference between what the Board contributed and what they would have
contributed if they funded at the rate of the other participating governments, is then added to the total
contribution to the System, to calculate the System’s adjusted contribution.
4. Calculate for each participating government, their percentage of the adjusted System contribution by dividing
the total adjusted System contribution into each primary government contribution.
5. Provide each PGU its adjusted percentage of contribution and the System’s net pension liability and other
related amounts.
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 12 - RETIREMENT PLANS (CONTINUED)
At June 30, 2021, the County reported the following related to pensions:
BOARD OF
COUNTY EDUCATION
Employer's proportionate (percentage) of the collective net pension liability 0.1514518% 0.0256375%
Employer's proportionate share of the collective net pension liability $ 34,230,163 $ 5,794,422
Pension expense recognized by the employer for the year ended June 30, 2021 $ 5,545,215 $ 3,032,428
Deferred outflows of resources June 30, 2020 $ 5,034,494 $ 736,335
Year end June 30, 2020 contributions (3,247,222) (549,684)
Net difference between projected and actual investment earnings 2,520,995 426,750
Difference between expected and actual experience - -
Change in assumptions - -
Amortization of items allowed by GASB 68 (1,181,655) (149,566)
Year end June 30, 2021 contributions 3,478,809 632,990
Deferred outflows of resources June 30, 2021 $ 6,605,421 $ 1,096,825
Deferred inflows of resources June 30, 2020 $ 3,422,656 $ 457,007
Net difference between projected and actual investment earnings - -
Difference between actual and expected experience 55,287 9,359
Change in assumptions - -
Amortization of items allowed by GASB 68 (1,164,800) (141,335)
Deferred inflows of resources June 30, 2021 $ 2,313,143 $ 325,031
NPL June 30, 2020 $ 29,483,317 $ 5,209,719
Change in NPL factored for contributions 4,746,846 584,703
NPL June 30, 2021 $ 34,230,163 $ 5,794,422
Pension expense for the Maryland State Retirement and Pension System and the LOSAP program totaled $5,545,215 and
$1,014,209, respectively for an aggregated pension expense of $6,559,424.
The $3,478,809 and $632,990 of deferred outflows of resources resulting from the County and the Board’s contributions
to the Employees’ Systems subsequent to the measurement date will be recognized as a reduction of the net pension
liability in the year ending June 30, 2022. Other amounts reported as deferred outflows of resources for the County will
be amortized over a five-year period, as follows:
Deferred
Outflows
June 30, (Inflows)
2022 $ (230,607)
2023 147,749
2024 444,589
2025 457,931
2026 (6,193)
Total $ 8 13,469
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 12 - RETIREMENT PLANS (CONTINUED)
Total Covered On-Behalf
Payroll Payroll By State
County - MD Retirement and pension $ 3 5,115,123 $ 26,110,792 $ -
Board of Education 62,493,154 58,883,836 5,867,199
Library 1,297,081 1,297,081 182,888
Covered payroll refers to all compensation paid to active employees covered by the Systems.
Pension contributions made by the State of Maryland, on behalf of the Board of Education and the Library are
recognized as both revenue and expenditure.
NOTE 13 - DEFERRED COMPENSATION PLAN
The County offers its employees a deferred compensation plan created in accordance with Internal Revenue Code
Section 457. The Plan, available to all County employees, permits them to defer a portion of their salary until future
years. Participation in the plan is optional. The deferred compensation is not available to employees until termination,
retirement, death or unforeseeable emergency.
All amounts of compensation deferred under the plan; all property and rights purchased with those amounts; and all
income attributable to those amounts, property or rights are solely the property and rights of the participants. The
County has no liability for losses under the plan.
Investments are managed by the plan’s administrator based on several different investment options, or combinations
thereof. The choice of the investment option(s) to be used is made by each participant. The County has no management
control over the assets of the plan. Accordingly, per GASB Statement No. 32, the assets of the plan are not included in
these financial statements.
NOTE 14 - OTHER POST-EMPLOYMENT BENEFITS
Other Post-Employment Benefit Trust (OPEB Trust)
On June 23, 2009, the County enacted County Ordinance No. 09-12, which established a Trust entity entitled “Other
Post-Employment Benefit Trust – County Commissioners of Queen Anne’s County, County Commissioners of Kent
County, and Participating Agencies” (OPEB Trust). The purpose of the OPEB Trust is to: (1) fund costs of health
insurance and other post-employment benefits to eligible retirees of the primary government, the Queen Anne’s County
Board of Education, and the Queen Anne’s County Free Library; (2) accumulate and invest financial resources for this
purpose; (3) provide health insurance and other post-employment benefits for eligible retirees; and (4) provide related
administrative services. Other agencies and political subdivisions had the right to participate in the past. In August
2020, the “Other Post-Employment Benefit Trust – County Commissioners of Queen Anne’s County, County
Commissioners of Kent County, and Participating Agencies” (OPEB Trust) was closed and all members transferred their
respective funds to the MACo (Maryland Association of Counties) Pooled OPEB Investment Trust Fund.
In fiscal year 2015, the County Commissioners approved the County joining the MACo Pooled OPEB Investment Trust
Fund. A separate Trust document for the MACo OPEB Trust can be found on the MACo website at
www.mdcounties.org.
-100-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 14 - OTHER POST-EMPLOYMENT BENEFITS (CONTINUED)
Other Post-Employment Benefit Trust (OPEB Trust) (Continued)
PRIMARY GOVERNMENT
Plan Reporting
The measurement date for GASB 74 is the Employer’s fiscal year end, June 30, 2021. Plan assets (Fiduciary Net
Position) are measured as of this date. The Total OPEB Liability (TOL) as of this date is based on an actuarial valuation
as of January 1, 2021, with adjustments made for the half year difference. Adjustments include Service Cost, Interest on
Total OPEB Liability, and expected benefit payments during the year. This is also known as a roll-forward.
Under GASB 74, the Net OPEB Liability (NOL) is established as the difference between the Total OPEB Liability and
the Plan Fiduciary Net Position. The NOL is very much like the unfunded actuarial accrued liability that is developed for
the funding valuation, with adjustments for any time between the valuation date and the measurement date.
Relevant Dates
 Valuation Date: January 1, 2021
 Measurement Date: June 30, 2021
 Reporting Date: June 30, 2021
Plan Membership
The following is a summary of the plan membership as of January 1, 2021.
Active 438
Retired 273
Total 711
Plan Description
The County’s Other Post-Employment Benefit Plan (OPEB Plan) is an agent multiple-employer defined benefit
healthcare plan that covers retired employees of the primary government, the Queen Anne’s County Board of Education,
and the Queen Anne’s County Free Library. The Plan was established as specified in County Ordinance No. 09-12.
Plan descriptions and actuarial assumptions for each participant are described: (1) as follows for the primary government
and (2) in financial statements issued separately for all other participants.
The County’s Retiree Health Insurance Program provides medical insurance benefits to retirees and their eligible
dependents. The retiree and their dependents will receive a subsidy as outlined in the tables below provided that (1) the
retiree retired directly from County service with a County retirement/pension allowance, (2) has health insurance through
the County prior to retirement, (3) retired with at least 15 years of County service, and (4) the retiree elects to participate
upon retirement. Retirees who retire directly from County service with a County retirement/pension with less than 15
years of County service, who have health insurance through the County prior to retirement and who elect to participate
upon retirement are eligible for the County’s Retiree Health Insurance Program however are not eligible for a subsidy.
-101-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 14 - OTHER POST-EMPLOYMENT BENEFITS (CONTINUED)
PRIMARY GOVERNMENT (CONTINUED)
Plan description (Continued)
Medical/Drug Plan
PPO (80/20), EPO (85/15), BCA (85/15), Medicare Supplement
Eligibility
Queen Anne’s County and Library employees are eligible to continue group insurance coverage after retirement
provided that:
a. Retiring employees have coverage in effect when they stop working.
b. Retirement commences on the first of the month, following the last day they are employed.
c. An employee must have been a permanent active employee. To receive a subsidy, must have at least 15 years of
service.
d. Eligibility for Retirement:
Non-LEOPS hired on or after 7/1/2011
 Rule of 90 (age plus service is at least 90), or
 Age 65 with 10 years of service, or
 Age 60 with 15 years of service
Non-LEOPS hired before 7/1/2011
 Age 55 with 15 years of service, or
 Age 62 with 5 years of service, or
 Age 63 with 4 years of service, or
 Age 64 with 3 years of service, or
 Age 65 with 2 years of service, or
 30 years of service (regardless of age)
LEOPS
 Age 50 (no service requirement), or
 25 years of service (no age requirement)
Retiree Payment
The employer subsidy is based on service, which medical plan you are enrolled in, retirement date and location.
-102-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 14 - OTHER POST-EMPLOYMENT BENEFITS (CONTINUED)
PRIMARY GOVERNMENT (CONTINUED)
Plan description (Continued)
Employees who retire prior to September 2, 2011 (regardless of medical plan enrolled in)
Years of Subsidy
Service Percentage
0 - 14 0.0%
15 54.0%
16 57.6%
17 61.2%
18 64.8%
19 68.4%
20 72.0%
21 75.6%
22 79.2%
23 82.8%
24 86.4%
25 or more 90.0%
Employees who retire between September 2, 2011 and August 31, 2012
Years of
Subsidy Percentage
Service
EPO Plan PPO Plan
0 - 14 0.0% 0.0%
15 54.0% 54.0%
16 57.6% 57.1%
17 61.2% 60.2%
18 64.8% 63.3%
19 68.4% 66.4%
20 72.0% 69.5%
21 75.6% 72.6%
22 79.2% 75.7%
23 82.8% 78.8%
24 86.4% 81.9%
25 or more 90.0% 85.0%
Employees who retire on or after September 1, 2012
Years of
Subsidy Percentage
Service
EPO or BCA Plans PPO Plan
0 - 14 0.0% 0.0%
15 54.0% 54.0%
16 57.1% 56.6%
17 60.2% 59.2%
18 63.3% 61.8%
19 66.4% 64.4%
20 69.5% 67.0%
21 72.6% 69.6%
22 75.7% 72.2%
23 78.8% 74.8%
24 81.9% 77.4%
25 or more 85.0% 80.0%
-103-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 14 - OTHER POST-EMPLOYMENT BENEFITS (CONTINUED)
PRIMARY GOVERNMENT (CONTINUED)
Plan description (Continued)
Plan Changes Since Prior Valuation
There have been no changes in eligibility or cost sharing provisions since the prior valuation, which included the retiree
payment changes outlined above.
Actuarial Information
Actuarial assumptions
The total OPEB liability was determined by an actuarial valuation as of January 1, 2021, using the following actuarial
assumptions, applied to all periods included in the measurement:
 Investment Return: 6.00%, net of investment expense and including inflation
 Healthcare Trend: 5.75% initially, grading down to 4.25% for PPO and EPO plans and 4.50% for BCA plan
ultimate
Mortality rates are based on the PUB2010G Headcount tables with Scale SSA applied on a generational basis.
PUB2010G Headcount Disabled tables are used for those on disability, if applicable.
Changes in Actuarial assumptions
There were no changes in actuarial assumptions since the prior year, except the change in discount rate due to an updated
fund availability analysis.
Actuarial Methods for Determining Employer Contributions
The same economic and demographic assumptions are used for both funding and financial reporting purposes under
GASB 74/75.
The Entry Age method is used for accounting/GASB purposes, therefore all of the actuarial figures within this Report are
based on it. Actuarially Determined Contributions are also based on the Entry Age method, with a closed level
percentage of payroll amortization of the unfunded liability (19 years remaining).
Expected Return
The long-term expected rate of return on pension plan investments was determined using a building-block method in
which best-estimates of expected future real rates of return (expected returns, net of pension plan investment expense and
inflation) are developed for each 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. This is then modified through a Monte-Carlo simulation process, by which a (downward) risk adjustment is
applied to the baseline expected return.
Best estimates of arithmetic real rates of return for each major asset class included in the pension plan’s target asset
allocation as of June 30, 2021, and the final investment return assumption, are summarized in the following table:
-104-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 14 - OTHER POST-EMPLOYMENT BENEFITS (CONTINUED)
PRIMARY GOVERNMENT (CONTINUED)
Expected Return (Continued)
Long-Term
Expected Real
Asset Class Return - Portfolio Weight
US Equity 6.15% 33.5%
International Equity 6.40% 24.5%
Fixed Income 2.00% 35.0%
Real Estate 4.85% 7.0%
Total Weighted Average Real Return 4.67% 100.0%
Plus Inflation 2.50%
Total Return w/o Adjustment 7.17%
Risk Adjustment -1.17%
Total Expected Return 6.00%
Discount Rate
The discount rate used to measure the total OPEB liability is 5.82%. The County’s funding expectations/policy is to
contribute 80% of the Actuarially Determined Contribution in fiscal year 2021, then increase this percentage 10% each
year until the actuarial cost is being contributed in full annually. It is expected that benefits will be paid from the trust
when a 50% funding level is reached. Based on this information, we project that benefits will be financed on a pay as
you go basis until 2028, then from the trust there forward.
Therefore, the expected trust return of 6.00% is blended with the 20-year Aa bond rate* of 1.92%. The blended rate is
5.82%. The prior rate was 5.62%.
*Source: Fidelity general obligation municipal bond index.
Net OPEB Liability
Sensitivity of the net OPEB liability to changes in the discount rate
The following presents the net OPEB liability of the plan, calculated using the current discount rate, as well as what the
net OPEB liability would be if it were calculated using a discount rate that is 1% point lower or 1% point higher:
DISCOUNT RATE
1% Decrease to Discount Rate 1% Increase to
System 4.82% 5.82% 6.82%
Net OPEB liability 50,653,486 41,785,805 34,674,409
Sensitivity of the net OPEB liability to changes in the trend rate
The following presents the net OPEB liability of the plans, calculated using the current health care trend rate of 5.75% to
an ultimate rate of 4.25% for PPO and EPO plans and 4.50 % for the BCA plan, as well as what each plans net OPEB
liability would be if it were calculated using a health care trend rate that is 1% point lower or 1% point higher:
HEALTH CARE TREND
1% Decrease to Discount Rate 1% Increase to
System 3.25%/3.50% 4.25%/4.50% 5.25%/5.50%
Net OPEB liability 34,015,836 41,785,805 51,651,131
-105-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 14 – OTHER POST-EMPLOYMENT BENEFITS (CONTINUED)
PRIMARY GOVERNMENT (CONTINUED)
Net OPEB Liability (Continued)
Changes in the net OPEB liability are as follows:
Total OPEB Liability ("TOL")
Service cost $ 1,371,367
Interest 3,519,372
Changes in benefit terms -
Difference between expected and actual experience (8,720,849)
Changes in assumptions (1,619,833)
Benefit payments (1,670,095)
Net change in total OPEB liability (7,120,038)
Total OPEB liability - beginning of year 62,074,538
Total OPEB liability - end of year $ 54,954,500
Plan Fiduciary Net Position ("PFNP")
Contributions - employer $ 3,612,555
Contributions - member -
Net investment income 2,261,978
Benefit payments (1,670,095)
Admin expenses (2,236)
Other -
Net change in plan fiduciary net position 4,202,202
Plan fiduciary net position - beginning of year 8,966,493
Plan fiduciary net position - end of year 13,168,695
Net OPEB liability ("NOL") - beginning of year 53,108,045
Net OPEB liability - end of year $ 41,785,805
PFNP as a % of TOL 24.0%
Covered employee payroll 26,326,472
NOL as a % of covered payroll 158.7%
-106-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 14 - OTHER POST-EMPLOYMENT BENEFITS (CONTINUED)
PRIMARY GOVERNMENT (CONTINUED)
OPEB Expense
The amount of OPEB expense recognized in the reporting period are as follows:
Service cost $ 1,371,367
Interest on total OPEB liability 3 ,519,372
Difference between expected and actual experienc e * (887,255)
Changes in actuarial assumptions* (1,329)
Employee contributions -
Changes in benefit terms -
Projected earnings on plan investments (540,285)
Difference between projected and actual earnings* (286,579)
Administrative expense 2,236
Other changes in fiduciary net position -
Total OPEB expense $ 3,177,527
* - portions recognized for expense
Deferred Inflow/Outflow Summary
The deferred outflows / inflows are as follows:
Deferred Deferred
Outflows Inflows
June 30, 2020 $ 2,084,381 $ ( 16,258)
Difference between expected and actual experience - ( 8,720,849)
Changes in actuarial assumptions - ( 1,619,833)
Net difference between projected and actutal earnings on investments - ( 1,721,693)
Amortization of items allowed by GASB 75 ( 504,263) 1,679,426
June 30, 2021 $ 1,580,118 $ (10,399,207)
Net deferred outflows / (inflows) will be amortized as follows:
2022 $ (1,175,162)
2023 (1,179,581)
2024 (1,174,161)
2025 (1,232,921)
2026 (888,585)
Thereafter (3,168,679)
Total $ (8,819,089)
-107-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 14 - OTHER POST-EMPLOYMENT BENEFITS (CONTINUED)
COMPONENT UNITS
BOARD OF EDUCATION
Plan description
The Board of Education of Queen Anne’s County administers a single-employer defined benefit healthcare plan (“the
Plan”). The plan provides healthcare insurance for eligible retirees and their spouses through the Board’s group health
insurance plan, which covers both active and retired members. The Plan does not issue a stand-alone report. Benefit
provisions are based on contractual agreements with employee groups. Employees are eligible to participate in the Plan
upon retirement. Participants must meet the eligibility requirements of the Maryland State Teachers’ pension system
described below:
For members hired before July 1, 2011, the earliest retirement eligibility is the earlier of:
 Age 55 with 15 years of service,
 Age 62 with 5 years of service,
 Age 63 with 4 years of service,
 Age 64 with 3 years of service,
 Age 65 with 2 years of service, or
 30 years of service, regardless of age.
For members hired after July 1, 2011, the earliest retirement eligibility is the earlier of
 Rule of 90 (age plus service is at least 90),
 Age 65 with 10 years of service,
 Age 60 with 15 years of service
As of January 1, 2020, the date of the last actuarial valuation, approximately 395 retirees were receiving benefits, and
951 active employees are potentially eligible to receive future benefits.
Funding Policy
The Board pays a portion of retiree healthcare premiums based on years-of-service ranging from 5 years of service to
25+ years of service until the retiree becomes Medicare-eligible. The retiree pays the remaining premium, including the
cost of eligible dependents. Pre-Medicare retirees may choose between two medical plans (a PPN plan and an EPO plan).
Both plans include medical and prescription benefits. Once a participant is Medicare eligible, the participant must switch
to a Medicare supplement plan, which is also packaged with a prescription plan. Retirees have the option of electing
dental and vision coverage in addition to medical coverage.
Employer Contribution
Retirees receive a subsidy for their post-retirement medical insurance based on service. The subsidy requires a minimum
of 5 years of service for Administration and 10 years of service for Teachers. For teachers, once ten years of service is
reached, the Board covers 36% of the cost of the individual’s EPO health plan. The percentage subsidized by the Board
increases 3.6% per year for every year of service in excess of ten. At 25 years of service, the maximum subsidy of 90%
is reached. For administrators, once five years of service is reached, the Board covers 35% of the cost of the individual’s
EPO health plan. The percentage subsidized by the Board increases 5.5% per year for every year of service in excess of
five. At 15 years of service, the maximum subsidy of 90% is reached. Retirees with less than the minimum years of
service required to receive a subsidy are allowed access to the medical coverage, but must pay 100% of the published
rates. In addition, the Board is contractually obligated to pay the full cost of medical insurance for certain retired
directors, superintendents, and their spouses.
-108-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 14 - OTHER POST-EMPLOYMENT BENEFITS (CONTINUED)
COMPONENT UNITS (CONTINUED)
BOARD OF EDUCATION (CONTINUED)
Employer Contribution (Continued)
The Board also pays the cost of providing term life insurance for its retirees in varying amounts depending upon length
of service and date of retirement. The benefits payable upon death are $5,000 (fixed) for 5 to 25 years of service or
$50,000 (maximum-based on annual salary at retirement) for over 25 years of service. There is a reduction of benefit of
25% at age 70 and a benefit reduction of 33.3% at age 75 and beyond.
Net OPEB Liability
The annual OPEB expense under GASB Statement No. 75 is equal to the change in the unfunded actuarial accrued
liability from the prior year’s measurement date to the current year measurement date, with some of the liability changes
being deferred to future years. Changes in the actuarial accrued liability due to experience gains or losses or changes in
assumptions are recognized over the expected future working lifetime of all plan participants, including retirees. For the
fiscal year ended June 30, 2021, the Board recognized an OPEB expense of $9,943,941.
The Board’s total OPEB liability is an amount actuarially determined in accordance with the parameters of GASB
Statement No. 75. The total OPEB liability is calculated using a measurement date of June 30, 2020. Therefore, plan
information for the year ended June 30, 2020 is utilized. The following table shows the components of the Board’s total
and net OPEB liability at June 30, 2020.
Total OPEB Liability
Service cost $ 1 0,453,114
Interest 6,994,566
Changes in benefit terms -
Difference between expected and actual experience (92,780,170)
Changes in assumptions 1 8,284,772
Benefit payments (1,098,983)
Net change in total OPEB liability (58,146,701)
Total OPEB liability - beginning of year 225,513,573
Total OPEB liability - end of year (a) $ 167,366,872
Plan Fiduciary Net Position ("PFNP")
Contributions - employer $ 1,098,983
Net investment income 5 ,980
Benefit payments (1,098,983)
Admin expenses -
Net change in plan fiduciary net position 5 ,980
Plan fiduciary net position - beginning of year 515,829
Plan fiduciary net position - end of year (b) 521,809
Net OPEB liability - end of year (a-b) $ 166,845,063
Payments have typically been liquated from the General Fund in prior years.
-109-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 14 - OTHER POST-EMPLOYMENT BENEFITS (CONTINUED)
COMPONENT UNITS (CONTINUED)
BOARD OF EDUCATION (CONTINUED)
Funding Status and Funding Progress
Contributions to the plan are made as benefit payments and expenses become due. As of June 30, 2020, the plan was
0.31% funded. The total OPEB liability for benefits was $167,366,872 and plan assets at fair value totaled $521,809,
resulting in a net OPEB liability of $166,845,063. The covered employee payroll was $56,180,104, and the ratio of the
net OPEB liability to the covered payroll was 296.98%.
Actuarial valuations of an ongoing plan involve estimates of the value of reported amounts and assumptions about the
probability of occurrence of events far into the future. Examples include assumptions about future employment,
mortality, and the healthcare cost trend. Amounts determined regarding the funded status of the plan and the annual
required contributions of the employer are subject to continual revision as actual results are compared with past
expectations and new estimates are made about the future. The schedule of net OPEB liability, presented as required
supplementary information following the notes to the financial statements, presents multiyear trend information about
whether the net OPEB liability is increasing or decreasing over time relative to the total OPEB liability for benefits.
Additional information as of the latest actuarial valuation is as follows:
 Measurement date – The Board selected a June 30, 2020 measurement date for fiscal year-end 2021. The
measurement date can be any date between the last day of the prior fiscal year and the last day of the current
fiscal year.
 Cost method – This valuation uses the Entry Age Normal Funding Method calculated on an individual basis
with level percentage of payroll.
 Claims data – Monthly paid claims, administrative expenses and enrollment for employees and retirees from
February 2017 through January 2020 were supplied by the carrier. Claims were divided into pre and post 65 age
retirees.
 Demographic data – Data included current medical coverage for current employees and retirees as of January 1,
2020.
 Discount rate assumption - Benefits are discounted based on the Bond Buyer GO 20-year Bond Municipal
Bond Index, an index rate for 20-year tax exempt general obligation municipal bonds with an average rating of
AA/Aa or higher. This rate was 2.45% as of June 30, 2020.
 Health care trend – The medical trend assumption was developed using the Society of Actuaries (SOA) Long-
Run Medical Cost Trend Model. The SOA model was released in December 2007 and is updated annually. The
following assumptions were used as input variables into this model:
Rate of Inflation 2.2%
Rate of growth in real income / GDP per year 1.5%
Extra trend due to technology and other factors 1.1%
Expected health share of GDP in 2020 20.0%
Health Share of GDP Resistance Point 25.0%
Year for limiting cost growth to GDP growth 2075
 Salary Scale – State of Maryland salary scale assumption for teachers.
-110-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 14 - OTHER POST-EMPLOYMENT BENEFITS (CONTINUED)
COMPONENT UNITS (CONTINUED)
BOARD OF EDUCATION (CONTINUED)
Funding Status and Funding Progress (Continued)
 Decrement Assumptions –
Healthy Pub-2010 Mortality Table (teacher and general employees, headcount-weighted),
Fully Generational, Projected using Scale MP-2019
Disability Pub-2010 Mortality Table (teacher and general disabled, headcount-weighted),
Fully Generational, Projected using Scale MP-2019
Sensitivity of the Net OPEB Liability
The following table presents the Board’s net OPEB liability at June 30, 2020 using the discount rate of 2.45%, as well as
what the net OPEB liability would be if it were calculated using a discount rate that is 1% point lower or 1% point higher
than the current rate:
Board's Net OPEB
Discount Rate Liability
1% decrease 1.45% $ 203,403,447
Current discount rate 2.45% $ 166,845,064
1% increase 3.45% $ 138,406,171
The following table presents the Board’s net OPEB liability at June 30, 2020 using the health care trend rate of 4.33%,
as well as what the net OPEB liability would be if it were calculated using a trend rate that is 1% point lower or 1% point
higher than the current rate:
Health Care Board's Net OPEB
Trend Rate Liability
1% decrease 3.00% $ 135,552,758
Current trend rate 4.00% $ 166,845,064
1% increase 5.00% $ 209,613,091
Deferred Inflows/Outflows of Resources related to OPEB
At June 30, 2021, the Board reported deferred outflows of resources and deferred inflows of resources related to the
OPEB plan from the following sources:
Deferred Outflows Deferred Inflows
of Resources of Resources
Changes in actuarial assumptions $ 36,042,998 $ ( 15,182,713)
Net difference between projected and actual investment
earnings on OPEB plan investments - (9,754)
Difference between actual and expected experience 2,753,501 (82,984,752)
Total $ 38,796,499 $ (98,177,219)
-111-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 14 - OTHER POST-EMPLOYMENT BENEFITS (CONTINUED)
COMPONENT UNITS (CONTINUED)
BOARD OF EDUCATION (CONTINUED)
Deferred Inflows/Outflows of Resources related to OPEB (Continued)
Amounts reported as differences between projected and actual earnings on OPEB plan investments will be amortized and
expensed over a closed five-year period. Amounts reported as differences between expected and actual experience will
be amortized and expensed over a period equal to the average remaining service lives of all employees that are provided
with other post-employment benefits through the plan. Amounts reported as changes in assumptions will be amortized
and expensed over a period equal to the average remaining service lives of all employees that are provided with other
post-employment benefits through the plan. Amortization expense related to net deferred inflows and outflows of
resources over the next five years is expected to be as follows:
Year End
June 30,
2022 $ (7,503,741)
2023 ( 7,503,557)
2024 ( 7,503,355)
2025 ( 7,501,893)
2026 ( 7,500,698)
Thereafter (21,867,476)
$ (59,380,720)
Changes in assumptions in the most recent actuarial valuation included adjusting the discount rate to the updated index
rate for 20-year tax exempt general obligation municipal bonds.
LIBRARY
Plan description
Benefits provided
The plan reimburses eligible retirees for a portion of healthcare insurance based on years-of-service ranging from $3,000
for 15 years of service to $4,400 for 25 plus years of service. The retiree pays the remaining premium, including the cost
of eligible dependents. Participants must meet the eligibility requirements of the State Retirement and Pension System of
Maryland, which are age 55 with 15 years of service, age 62 with 5 years of service, or 30 years of service (regardless of
age).
-112-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 14 - OTHER POST-EMPLOYMENT BENEFITS (CONTINUED)
COMPONENT UNITS (CONTINUED)
LIBRARY (CONTINUED)
Employees covered by benefit terms
The following is a summary of plan membership as of January 1, 2021.
Number of participants
Active 16
Retired 8
Total 24
Contributions
The Library pays retiree healthcare benefits on a pay-as-you-go basis. For the year ended June 30, 2021, the Library
contributed $27,083.
Net OPEB liability
The Library's net OPEB liability was measured as of June 30, 2021, and the total OPEB liability used to calculate the net
OPEB liability was determined by an actuarial valuation January 1, 2021.
Actuarial assumptions
The total OPEB liability was determined by an actuarial valuation as of January 1, 2021, using the following actuarial
assumptions, applied to all periods in the measurement:
Expected return – 6% including inflation and net of investment expenses.
Healthcare trend – Because this is a flat dollar plan and retirees secure their own insurance, the trend is
not applicable.
Mortality rates are based on PUB2010G Headcount tables with Scale SSA applied on a generational basis. PUB2010G
Headcount Disabled tables are used for those on disability, if applicable.
There were no changes in actuarial assumptions since the prior year, except the change in discount rate due to an updated
depletion analysis.
Actuarial methods for determining employer contributions use the same economic and demographic assumptions for
both funding and financial reporting purposes under GASB 74/75. The Entry Age method is used for accounting/GASB
purposes, therefore all of the actuarial figures within this report are based on it. Actuarially Determined Contributions are
based on the Entry Age method, with a closed level percentage of payroll amortization of the unfunded liability (17 years
remaining).
Discount rate
The discount rate used to measure the total OPEB liability is 2.40%. There is essentially no prefunding of benefits in an
OPEB trust for this plan (i.e., pay as you go), however, the Library has funds invested in the MACo pooled OPEB Trust.
For this analysis, we assumed the trust assets would grow with earnings until a 60% funding ratio is reached. Based on
this, a blended rate was developed which consists of the 20-year municipal bond Aa index as of June 30, 2021 of 1.92%
blended with the assumed return of 6.00%.
Benefits would be paid from the trust from 2050 to 2059, and from general fund assets before and after this time period,
resulting in a blended rate of 2.40%. The prior rate was 2.45%.
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 14 - OTHER POST-EMPLOYMENT BENEFITS (CONTINUED)
COMPONENT UNITS (CONTINUED)
LIBRARY (CONTINUED)
Changes in the net OPEB liability
Total OPEB Plan Fiduciary Net OPEB
Liability Net Position Liability
Contributions - employer $ - $ 27,083 $ (27,083)
Service cost 9,317 - 9,317
Investment income 21,143 3,076 18,067
Difference between expected and actual experience (40,387) - (40,387)
Changes in assumptions 4,186 - 4,186
Benefit payments, including refunds (27,083) (27,083) -
Net change in net OPEB liability (32,824) 3,076 (35,900)
Net OPEB obligation, beginning of year 8 67,123 31,309 835,814
Net OPEB obligation, end of year $ 834,299 $ 34,385 $ 799,914
Sensitivity of the net OPEB liability to changes in the discount rate
The following presents the net OPEB liability of the Library, as well as what the net OPEB liability would be if it were
calculated using a discount rate that is 1 percentage point lower or 1 percentage point higher than the current discount
rate:
1% Decrease (1.40%) $ 887,746
Current discount rate (2.40%) $ 799,914
1% Increase (3.40%) $ 725,694
Sensitivity of the net OPEB liability to changes in the healthcare cost trend rate
Because the benefits from this plan are a fixed dollar amount based on years of services and there is no implicit subsidy
(retirees secure their own health insurance), a change in assumed trend rate will not have an impact on the OPEB
liability.
Investments
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 weighing the expected future real rates of return by the target asset allocation percentage and
by adding expected inflation. This is then modified through a Monte-Carlo simulation process, by which a (downward)
risk adjustment is applied to the baseline expected return.
Best estimates of arithmetic real rates of return for each major asset class included in the plan’s target asset allocation as
of June 30, 2021, and the final investment return assumption, are summarized in the following table:
Long-term Expected
Asset Class Weight Real Rate of Return
U.S. Equity 33.5% 6.15%
International Equity 24.5% 6.40%
Fixed income 35.0% 2.15%
Real estate 7.0% 4.85%
Total 100.0% 4.72%
Plus inflation 2.50%
Risk adjustment -1.22%
Total expected return 6.00%
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 14 - OTHER POST-EMPLOYMENT BENEFITS (CONTINUED)
COMPONENT UNITS (CONTINUED)
LIBRARY (CONTINUED)
OPEB expense and deferred outflows of resources related to OPEB
For the year ended June 30, 2021, the Library recognized an OPEB expense of $66,781. At June 30, 2021, the Library
reported deferred outflows of resources related to the OPEB plan from the following sources:
Deferred Deferred
Outflows of Inflows of
Resources Resources
Difference between expected and actual experience $ 39,190 $ ( 35,900)
Changes in actuarial assumptions 182,274 -
Net difference between projected and actual earnings
on plan investments - -
$ 221,464 $ ( 35,900)
Amounts reported as deferred outflows and deferred inflows of resources related to the OPEB plan will be recognized in
expense over a period ranging from five to nine years as follows:
Year Ended Net Amount of
June 30 Outflow/(Inflow)
2022 $ 38,200
2023 37,825
2024 37,666
2025 37,489
2026 37,734
Thereafter (3,090)
Total $ 185,824
NOTE 15 – VOLUNTEER FIREMAN PENSION PLAN LENGTH OF SERVICE AWARD PROGRAM
(LOSAP)
Plan Description
The County established the County Fire and EMS Commission Pension Plan Length of Service Award Program
(“LOSAP”) in November 2004. The LOSAP is a single-employer defined benefit length of service award program that
covers all volunteer members (“members”) of the County’s Fire and EMS Commission. The LOSAP has no assets
accumulated in a trust that meet the criteria in GASB 73, paragraph 4. The LOSAP is funded entirely by the general
fund.
Relevant dates
 Valuation date: January 1, 2020
 Measurement date: December 31, 2020
 Reporting date: June 30, 2021
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 15 – VOLUNTEER FIREMAN PENSION PLAN LENGTH OF SERVICE AWARD PROGRAM
(LOSAP) (CONTINUED)
Plan Description (Continued)
An active member, upon reaching 55 years of age, is eligible to receive $6 per month for each year of eligible service,
with a $240 maximum monthly benefit that may be earned. An inactive member that reaches 65 years of age and is
vested with 5 years of service is also entitled to the same benefits ($6/month for each year of service, maximum $240 per
month). An inactive life member with 20-plus years of service is entitled to the same benefits at 55 years old. Insured
participants’ designated beneficiary shall receive the greater of $25,000 face amount of the life insurance or the present
value of the participants’ accrued benefit. Non-insured participants’ designated beneficiary shall receive the lump sum
of the present value of the participants’ accrued benefit.
The participant summary as of the January 1, 2020 actuarial valuation is as follows:
Active members 287
Vested-terminated 157
Retired and beneficiaries 162
TOTAL 606
Actuarial Assumptions
The total LOSAP liability was determined by an actuarial valuation as of January 1, 2020 rolled forward to December
31, 2020 using the following actuarial assumptions, applied to all periods included in the measurement.
Inflation 0.00%
Salary increases Not Applicable
Investment rate of return 2.00%, net of pension plan investment expense, including inflation
Mortality No pre-retirement mortality; post retirement RP2000 projected to 2030
Retirement First eligible
Turnover T5
Disability None
The 2.00% discount rate is based on a 20-year AA general obligation bond rate as of December 31, 2020.
The above is a summary of key actuarial assumptions. Full description of actuarial assumptions are available in the
January 1, 2020 actuarial valuation report.
Sensitivity of Total LOSAP Liability
The following presents the total LOSAP liability, calculated using single discount rate of 2.00%, as well as what the total
LOSAP liability would be if it were calculated using a discount rate that is 1% point lower and 1% point higher.
DISCOUNT RATE
1% Decrease to Discount Rate 1% Increase to
1.00% 2.00% 3.00%
Net LOSAP liability 10,283,948 9,602,464 8,905,599
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 15 – VOLUNTEER FIREMAN PENSION PLAN LENGTH OF SERVICE AWARD PROGRAM
(LOSAP) (CONTINUED)
Total LOSAP Liability
The components of the total LOSAP liability are as follows:
Plan
Total LOSAP Fiduciary Net Net LOSAP
Liability Position Liability
Balances as of 1/1/20 $ 8,048,034 $ - $ 8,048,034
Changes for the year:
Service cost 285,808 - 285,808
Interest 158,757 - 158,757
Changes of benefit terms - - -
Differences between expected and actual experience 65,911 - 65,911
Changes of assumptions 1,275,769 - 1,275,769
Benefits payments and expenses (231,815) - (231,815)
Net changes 1,554,430 - 1,554,430
Balances as of 12/31/20 $ 9,602,464 $ - $ 9,602,464
Plan fiduciary net position as a percentage of the total pension liability 0%
LOSAP Expense
The components of LOSAP expense are as follows:
LOSAP
Expense
Service cost $ 285,808
Interest 158,757
Projected earnings on OPEB Trust -
Changes in benefit terms -
Differences between expected and actual earnings -
Differences between expected and actual experience 11,270
Changes of assumptions 558,374
Total LOSAP expense $ 1,014,209
Pension expense for the Maryland State Retirement and Pension System and the LOSAP program totaled $5,545,215 and
$1,014,209, respectively for an aggregated pension expense of $6,559,424.
LOSAP Deferred Outflows and Deferred Inflows of Resources
The components of LOSAP deferred outflows and deferred inflows are as follows:
Deferred Deferred
Outflows Inflows
June 30, 2020 $ 1,423,550 $ (456,284)
Difference between expected and actual experience 65,911 -
Changes of assumptions 1,275,769 -
Net difference between projected and actual earnings - -
Amortization of items allowed by GASB 75 (634,527) 64,883
Contributions subsequent to 12/31/20 - -
June 30, 2021 $ 2,130,703 $ (391,401)
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 15 – VOLUNTEER FIREMAN PENSION PLAN LENGTH OF SERVICE AWARD PROGRAM
(LOSAP) (CONTINUED)
LOSAP Deferred Outflows and Deferred Inflows of Resources (Continued)
Amounts reported as deferred outflows and deferred inflows will be amortized as follows:
Deferred
Outflows
(Inflows)
2022 $ 5 69,644
2023 569,643
2024 473,304
2025 232,929
2026 (35,407)
Thereafter (70,811)
Total $ 1,739,302
NOTE 16 – DEFICIT EQUITY BALANCES
The following Non-Major Governmental Funds ended the year with deficit balances in unassigned fund balance:
Capital Projects – Fire Company Impact Fees Fund
The Capital Projects – Fire Company Impact Fees Fund has a negative unassigned fund balance of $19,649 as of June
30, 2021. This negative fund balance is the result of an overpayment to a particular fire department and will decrease
over time as the incoming revenues offset the overpayment.
The following Enterprise Funds ended the year with deficit equity balances:
Sanitary District – Sewer Operations Fund
The Sanitary District – Sewer Operations Fund has a deficit balance in unrestricted net position of $1,988,594 as of
June 30, 2021.
Bay Bridge Airport Enterprise Fund
The Bay Bridge Airport Enterprise Fund has a deficit balance in unrestricted net position of $1,313,008 as of June 30,
2021.
Golf Course Enterprise Fund
The Golf Course Enterprise Fund has a deficit balance in unrestricted net position of $645,480 as of June 30, 2021.
The County Commissioners established the guideline that the Enterprise Funds should be self-supporting, to the extent
possible. Therefore, a variety of measures are being evaluated in order to attempt the goal of balancing the Enterprise
Funds.
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 17 – COMMITMENTS, CONTINGENCIES AND SUBSEQUENT EVENTS
PRIMARY GOVERNMENT
Grants - The County and its component units are recipients of various federal and state grant and/or loan programs,
which are governed by various rules and regulations of the grantor agencies. Costs charged to the respective grant
programs are subject to audit and adjustment by these grantor agencies. If the County has not complied with the rules
and regulations governing the programs, refunds of money received may be required and the collectability of any related
receivable as of June 30, 2021 may be impaired. The County’s management believes that there are no significant
contingent liabilities that must be recorded relating to compliance with the rules and regulations governing these
programs. No funds were required to be returned in fiscal year 2021.
Further, certain grants for capital projects, such as various park projects funded by the State, must be used for the
intended purpose of the grant. If, at any time during the useful lives of these projects, the facilities cease to operate in
their intended capacity, the County may be required to reimburse the granting agency that portion of the grant or note
that is equal to the percentage of useful life remaining. The County’s Management believes that no such grant
reimbursements will be needed.
In fiscal year 2010, the County’s Department of Housing and Community Services received a grant of $350,000 from the
Maryland Department of Housing and Community Development. This Maryland Neighborhood Conservation Initiative
(NCI) Grant provided funding to be used for the acquisition and purchase of foreclosed properties for resale to qualifying
homebuyers, as well as the issuance of zero percent deferred payment loans to eligible critical service workers. Per the
terms of the agreement, the grantee may reuse funds for these same activities until June 30, 2013. Funds returned to the
County from program participants after June 30, 2013 must be returned to the state. Therefore, this grant has been
recorded as a pass-through grant, with the County contingently liable for the return of these funds to the state at some
point in time after June 30, 2013. During Fiscal Year 2014, the County identified $69,569 in funds that were required to
be returned to the grantor per grant provisions. No funds were required to be returned in fiscal years 2015 thru 2021.
In accordance with the provisions of GASB Statement 54, Fund Balance Reporting and Governmental Fund Type
Definitions, the County has committed certain fund balances for future construction projects. In the General Capital
Projects Fund, a total of $3,614,179 has been committed, including $1,769,133 for Economic Development, $1,076,841
for site improvements pursuant to agreements with local developers, and $768,205 for rubble surcharge. In the Roads
Capital Projects Fund, $553,088 has been contributed by developers and is committed to fund infrastructure
improvements.
Income Tax Contingency - On May 18, 2015, the Supreme Court of the United States decided against the State of
Maryland in Comptroller of the Treasury of Maryland v. Wynne Et Ux. Under state law, residents who pay income tax
to another state for income earned in that other state are allowed a credit against their Maryland state income tax but not
against the so-called piggy-back tax of the county or municipality where they reside. Plaintiffs argued that not granting a
credit against the local income tax is a violation of the U.S. Constitution. By a 5 to 4 vote, the Supreme Court found for
the plaintiffs holding generally that the state law violates what is known as the Dormant Commerce Clause. This
decision means that Maryland counties, including Queen Anne’s County, need to reserve funds against refund claims by
certain taxpayers (particularly S corporation shareholders) dating back to Tax Year 2007. The County estimated that it
needs to reserve $806,682 against these potential claims. In fiscal year 2021, the County paid the State $806,681 for the
claims and cleared the reserved funds.
COVID-19
In March 2020, the World Health Organization declared the coronavirus (COVID-19) outbreak a public health
emergency. There were mandates from federal, state, and local authorities requiring forced closures of schools,
businesses, and other facilities. The restrictions brought on by the pandemic may have had an adverse impact on the
County’s business and its suppliers and donors. Uncertainty remains regarding the ongoing impact of the COVID-19
outbreak on the County’s financial condition if there is a resurgence.
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 18 – JOINT VENTURE
In 1991, the County Commissioners, in conjunction with Talbot, Caroline, and Kent Counties, entered into a regional
partnership known as the Midshore Regional Landfill Joint Venture. This venture was formed to provide a long-term,
solid waste management solution for the four-county area. As part of the agreement, each of the four Counties agreed to
host a solid waste facility for a twenty-year period, giving the venture a total duration of eighty years. In 1991, the
Midshore Regional Landfill opened in Talbot County and served the waste management needs of the four-County area
for twenty years. This facility, owned and operated by the Maryland Environmental Service (MES), closed on December
31, 2010. The second Midshore facility, Midshore II, opened in Caroline County in January 2011 and is fully
operational. After the facility in Caroline County reaches capacity, another landfill will be constructed in Queen Anne's
County, with Kent County to follow in turn. Each County is required to, and has, set aside sufficient land to construct a
landfill within their borders. The agreement expires when the last of the four landfills is closed.
Queen Anne’s County has a 35.65% financial interest in the Midshore Regional Landfill. If expenditures exceed
revenues, the County is obligated to cover the deficiency in proportion to its financial interest; however, to date
additional funding from the County has not been required nor does management anticipate it.
Total closure and post closure costs for the landfills are $18.4 million, with approximately $6.5 million attributable to
Queen Anne’s County. These costs are paid from tipping fees of acceptable waste delivered by or for the account of the
counties. It is currently expected that sufficient funds will be available from landfill revenues to pay future closure and
post closure costs. MES has accrued and reported a long-term liability of $6.4 million as of June 30, 2021, determined by
the estimated useful life of the landfill.
Similar to the post closure costs, each of the participating Counties is contingently liable for the debt related to the new
facility, Midshore II. Midshore II was funded with project revenue bonds totaling $23.2 million. As of June 30, 2021,
$8.3 million is attributable to Queen Anne’s County in the event of a default.
Each County is required to place its municipal waste in the landfill. The facility is also available to commercial waste
disposal firms at the same price per ton as charged to the County governments. Queen Anne's County paid $358,646 in
tipping fees to the facility during fiscal year 2021.
MES has satisfied its financial assurance requirements based upon the local government financial ratio tests of the
project participants as of June 30, 2021. MES expects to satisfy these requirements as of June 30, 2022 using the same
criteria. Due to inflation and changes in technology, laws, and regulations, estimated closure and post closure care costs
may change in the future. Financial Statements of the Landfill can be obtained from MES located at 259 Najoles Road,
Millersville, MD 21108.
NOTE 19 – POLLUTION REMEDIATION OBLIGATIONS
During fiscal year 2009, the County implemented the provisions of Governmental Accounting Standards Board (GASB)
Statement 49, Accounting and Financial Reporting for Pollution Remediation Obligations.
During a prior fiscal year, 2003, the County agreed to a voluntary Methyl Tertiary Butyl Ether (MTBE) testing program
for underground fuel tanks located at the County’s Department of Public Works’ fuel depot. This testing program was
and still is approved by the Maryland Department of Environment (MDE).
Since the testing program began in 2003, the County has incurred a total of $451 thousand in expenses, including $2
thousand in fiscal year 2021, to comply with the provisions of the program. Costs covered remediation work and
consulting fees; the latter for testing, studies, and monitoring. Remediation efforts included demolition and removal of
the existing fuel depot at the Public Works Centreville Shop; remediation of the soils via excavation; offsite controlled
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2021
NOTE 19 – POLLUTION REMEDIATION OBLIGATIONS (CONTINUED)
disposal and backfill; installation of monitoring wells; in situ chemical oxidation and dual phase extraction; attorney’s
fees and miscellaneous environmental consulting services.
In May 2010, MDE requested the County devise a Corrective Action Plan (CAP) to address contamination concerns at
the fuel depot site. In August 2010, MDE approved the County’s CAP work which included the installation of additional
monitoring wells and one year of monitoring, sampling, testing and furnishing of those reports to MDE.
In December of 2014, a leak was discovered at the 10,000 gallon fuel oil UST for the office building. MDE required the
removal of the tank and mitigation of the contaminated soils and ground water. The tank has been replaced with a
compliant above ground 1,500 gallon fuel oil storage tank. This work was completed, including compliant disposal of
all soils by May 2015. MDE subsequently directed the County to install two additional monitoring wells and to abandon
the former injection wells on-site.
During fiscal year 2021, the County has maintained the required testing of the monitoring wells including the three wells
installed last year. The set testing schedule was dictated my MDE, followed by Queen Anne’s County and data recorded
as per the schedule. The presence of LPH in MW-2A continues to be monitored, fluctuates in depth, and currently
appears to be recoverable only in minimal amounts. During the year, and after subsequent tests were performed by
Chesapeake Geosciences on all monitoring wells, the final report provided by CGS, which showed no signs of product
traveling outside of MW-2A or being detected in any of the three (3) new monitoring wells, was sent to MDE for review.
Once again, the County proposed the closing of the project based on the findings after following the steps dictated by
MDE. It was at this point MDE dictated the installation of yet another monitoring well to be installed at the MFRI
(Maryland Fire & Rescue Institute) for further monitoring. This did not seem like a logical step primarily due to the high
potential of ground contaminates based on the activities and functions performed at MFRI. Also, MFRI is a state-run
facility and therefore on state property. Based on discussions with the County’s attorney on this matter, Queen Anne’s
County decided not to follow these proposed steps and is currently considering other avenues to bring this situation to
closure.
The County will continue to follow the schedule and monitor the wells as it has been doing for the past years. Also, the
County will continue to provide a monthly report to MDE showing the data found during the monitoring processes. As
applied, the following schedule is as follows: monitoring well MW-2A is tested every week. All monitoring wells are
tested once a month.
The estimated costs over the next year are not material, and thus no liability has been recorded at this time. None of
these outlays met the requirements for capitalization noted in GASB Statement 49 and they were not capitalized.
NOTE 20 – PRIOR PERIOD RESTATEMENT
During fiscal year 2021, the County implemented Governmental Accounting Standards Board’s Statement No. 84,
Fiduciary Activities, and in accordance, has applied its effects retroactively.
The following table is a summary of the effects as of June 30, 2021.
PRIMARY GOVERNMENT
Custodial
Funds
June 30, 2020, as previously reported $ -
GASB No. 84 - Fiduciary Activities 649,814
June 30, 2020, as restated $ 649,814
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-122-

Required Supplementary Information
-123-

QUEEN ANNE’S COUNTY, MARYLAND
REQUIRED SUPPLEMENTARY INFORMATION
JUNE 30, 2021
MARYLAND STATE RETIREMENT AND PENSIONS SYSTEMS
SCHEDULE OF THE PROPORTIONATE SHARE OF THE NET PENSION LIABILITY (as of measurement
date)
Plan's
Fidcuciary
Employer's Employer's Proportionate Net Position
Proportion Proportion Share Plan's as a
(Percentage) Share as a Total Plan's Percentage
of the of the Percentage Fiduciary Total of Total
Measurement Collective Collective Covered of Covered Net Pension Pension
Date NPL NPL Payroll Payroll Position Liability Liability
A B C (B / C) D E (D / E)
June 30, 2014 0.1038567% $ 18,431,162 $ 19,929,409 92% $ 45,339,988,000 $ 63,086,719,000 72%
June 30, 2015 0.1189567% 2 4,721,248 21,231,535 116% 4 5,789,840,000 6 6,571,552,000 69%
June 30, 2016 0.1271511% 3 0,000,070 23,160,758 130% 4 5,365,927,000 6 8,959,954,000 66%
June 30, 2017 0.1232988% 2 6,661,766 24,681,589 108% 4 8,987,184,000 7 0,610,885,000 69%
June 30, 2018 0.1383948% 2 9,037,440 26,088,826 111% 5 1,827,233,000 7 2,808,833,000 71%
June 30, 2019 0.1429452% 2 9,483,317 26,185,838 113% 5 3,943,420,000 7 4,569,030,000 72%
June 30, 2020 0.1514518% 3 4,230,163 27,669,757 124% 5 4,586,037,000 7 7,187,397,000 71%
SCHEDULE OF CONTRIBUTIONS (as of fiscal year end)
Actual
Contribution
as a
Contractually Contribution Percentage
Fiscal Required Actual Deficiency Covered of Covered
Year Contribution Contribution (Excess) Payroll Payroll
A B (A - B) C (B / C)
2015 $ 2,507,287 $ 2,507,287 $ - $ 21,231,535 12%
2016 2,477,009 2,477,009 - 23,160,758 11%
2017 2,509,551 2,509,551 - 24,681,589 10%
2018 2,759,698 2,759,698 - 26,088,826 11%
2019 2,935,378 2,935,378 - 26,185,838 11%
2020 3,247,222 3,247,222 - 27,669,757 12%
2021 3,478,809 3,478,809 - 26,110,792 13%
Both schedules above are presented to illustrate the requirements to show information for 10 years. However, until full
10-year trends are compiled, pension plans should present information for those years for which the information is
available.
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QUEEN ANNE’S COUNTY, MARYLAND
REQUIRED SUPPLEMENTARY INFORMATION
JUNE 30, 2021
MARYLAND STATE RETIREMENT AND PENSIONS SYSTEMS (CONTINUED)
ACTUARIAL ASSUMPTIONS – PENSION PLAN
Changes in Benefit Terms
There were no benefit changes during the year.
Changes in Assumptions
Discount rate remained at 7.40%.
Method and Assumptions used in Calculations of Actuarially Determined Contributions
Actuarial Entry Age Normal
Amortization Method Level Percentage of Payroll, Closed
Remaining Amortization Period 25-year closed amortization period ending June 30, 2039; 18 years remaining.
Asset Valuation Model Five-year smoothed market (max. 120% and min 80% of the market value)
Inflation In the 2020 actuarial valuation, 2.60% general, 3.10% wage. In the 2019 actuarial
valuation, 2.65% general, 3.15% wage.
Salary Increases In the 2020 actuarial valuation, 3.10% to 11.6%. In the 2019 actuarial valuation, 3.10%
to 11.6%.
Investment Rate of Return In the 2020 actuarial valuation, 7.40%. In the 2019 actuarial valuation, 7.40%.
Retirement Age Experience-based table of rates that are specific to the type of eligibility condition.
Last updated for the 2018 valuation pursuant to an experience study of the period July
1, 2014 to July 30, 2018.
Mortality Public Sector 2010 Mortality Tables calibrated to MSRPS experience with
generational projections using MP-2018 (2-dimensional) mortality improvement
scale.
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QUEEN ANNE’S COUNTY, MARYLAND
REQUIRED SUPPLEMENTARY INFORMATION
JUNE 30, 2021
OTHER POST-EMPLOYMENT BENEFITS TRUST
The following required supplementary information relates to the OPEB plan described in Note 14. This information is
intended to help users assess the system’s funding status on a going-concern basis; assess progress made in accumulating
assets to pay benefits when due; and make comparisons among employers.
SCHEDULE OF CHANGES IN THE NET OPEB LIABILITY
2017 2018 2019 2020 2021
Total OPEB Liability ("TOL")
Service cost $ 1,097,813 $ 1,130,747 $ 1,164,669 $ 1,331,424 $ 1,371,367
Interest 2,764,491 2,985,530 3,136,157 3,344,770 3,519,372
Changes in benefit terms - - - - -
Difference between expected and actual experience - - 735,549 - (8,720,849)
Changes in assumptions - 265,899 915,266 426,582 (1,619,833)
Benefit payments (1,291,027) ( 1,498,005) (1,568,468) (1,561,872) (1,670,095)
Net change in total OPEB liability 2,571,277 2,884,171 4,383,173 3,540,904 (7,120,038)
Total OPEB liability - beginning of year 48,695,013 51,266,290 54,150,461 58,533,634 62,074,538
Total OPEB liability - end of year $ 51,266,290 $ 54,150,461 $ 58,533,634 $ 62,074,538 $ 54,954,500
Plan Fiduciary Net Position ("PFNP")
Contributions - employer $ 2,223,474 $ 2,731,447 $ 3,037,243 $ 3,378,771 $ 3,612,555
Contributions - member - - - - -
Net investment income 75,175 207,932 342,827 129,710 2,261,978
Benefit payments (1,291,027) ( 1,498,005) (1,568,468) (1,561,872) (1,670,095)
Admin expenses - ( 2,452) (39,142) (3,553) ( 2,236)
Other - - - - -
Net change in plan fiduciary net position 1,007,622 1,438,922 1,772,460 1,943,056 4,202,202
Plan fiduciary net position - beginning of year 2,804,433 3,812,055 5,250,977 7,023,437 8,966,493
Plan fiduciary net position - end of year $ 3,812,055 $ 5,250,977 $ 7,023,437 $ 8,966,493 $ 13,168,695
Net OPEB liability ("NOL") - beginning of year $ 45,890,580 $ 47,454,235 $ 48,899,484 $ 51,510,197 $ 53,108,045
Net OPEB liability - end of year $ 47,454,235 $ 48,899,484 $ 51,510,197 $ 53,108,045 $ 41,785,805
PFNP as a % of TOL 7.4% 9.7% 12.0% 14.4% 24.0%
Covered employee payroll $ 21,604,888 $ 22,282,543 $ 23,843,440 $ 25,806,124 $ 26,326,472
NOL as a % of covered employee payroll 219.6% 219.5% 216.0% 205.8% 158.7%
This schedule is presented to illustrate the requirements to show information for 10 years. However, until a full 10-year
trend is available, only those years for which information is available, will be presented.
-126-

QUEEN ANNE’S COUNTY, MARYLAND
REQUIRED SUPPLEMENTARY INFORMATION
JUNE 30, 2021
OTHER POST-EMPLOYMENT BENEFITS TRUST (CONTINUED)
SCHEDULE OF ACTUAL EMPLOYER CONTRIBUTION AS A PERCENTAGE OF COVERED-EMPLOYEE
PAYROLL
Actuarially Contribution
Determined Actual Contribution Covered as a
Fiscal Employer Employer Deficiency / Employee Percent
Year Contribution Contribution (Excess) Payroll of Payroll
2012 $ 7,806,661 $ 1,508,144 $ 6,298,517 $ 1 8,903,632 8.0%
2013 9,024,000 1,668,781 7,355,219 17,640,063 9.5%
2014 9,187,000 1,692,951 7,494,049 17,953,154 9.4%
2015 4,004,722 2,066,819 1,937,903 19,064,280 10.8%
2016 4,189,564 2,121,316 2,068,248 20,650,915 10.3%
2017 3,853,839 2,223,474 1,630,365 21,604,888 10.3%
2018 3,969,454 2,731,447 1,238,007 22,282,543 12.3%
2019 4,377,119 3,037,243 1,339,876 23,843,440 12.7%
2020 4,508,433 3,378,771 1,129,662 25,806,124 13.1%
2021 4,419,451 3,612,555 806,896 26,326,472 13.7%
The employer contributions above represent amounts paid in OPEB to retirees, as well as contributions to the OPEB trust.
ACTUARIAL ASSUMPTIONS – OPEB PLAN
Actuarial assumptions
The total OPEB liability was determined by an actuarial valuation as of January 1, 2021, using the following actuarial
assumptions, applied to all periods included in the measurement:
Investment Return: 6.00%, net of investment expense and including inflation
Healthcare Trend: 5.75% initially for all plans, grading down to 4.25% for PPO and EPO
plans and 4.50% for BCA plan ultimate
Mortality rates are based on the PUB2010G Headcount tables with Scale SSA applied on a generational basis.
PUB2010G Headcount Disabled tables are used for those on disability, if applicable.
Changes in Actuarial assumptions
There were no changes in actuarial assumptions since the prior year, except the change in discount rate due to an
updated fund availability analysis.
Actuarial Methods for Determining Employer Contributions
The same economic and demographic assumptions are used for both funding and financial reporting purposes under
GASB 74/75.
The Entry Age method is used for accounting/GASB purposes, therefore all of the actuarial figures within this
Report are based on it. Actuarially Determined Contributions are also based on the Entry Age method, with a closed
level percentage of payroll amortization of the unfunded liability (19 years remaining).
-127-

QUEEN ANNE’S COUNTY, MARYLAND
REQUIRED SUPPLEMENTARY INFORMATION
JUNE 30, 2021
LENGTH OF SERVICE AWARD PROGRAM (LOSAP)
SCHEDULE OF CHANGES IN THE NET LOSAP LIABILITY (as of measurement date)
AS OF MEASUREMENT DATE 2017 2018 2019 2020
Total LOSAP liability ("TLL")
Service cost $ 206,276 $ 164,371 $ 215,978 $ 285,808
Interest cost 196,904 249,496 180,529 158,757
Changes of benefit terms - - - -
Differences between expected and actual experience - 137,821 (78,468) 65,911
Changes of assumptions 578,039 (491,888) 1,280,343 1,275,769
Benefits payments and admin expenses (190,420) (220,060) (220,084) (231,815)
Net change in TLL 790,799 (160,260) 1,378,298 1,554,430
TLL - beginning of year 6,039,197 6,829,996 6,669,736 8,048,034
TLL - end of year $ 6,829,996 $ 6,669,736 $ 8,048,034 $ 9,602,464
Plan fiduciary net position ("PFNP")
Contributions - employer $ - $ - $ - $ -
Net investment income - - - -
Benefits payments - - - -
Administrative expense - - - -
Net change in PFNP - - - -
Total PFNP - beginning of year - - - -
Total PFNP - end of year $ - $ - $ - $ -
Net LOSAP liability ("NLL") 6,829,996 6,669,736 8,048,034 9,602,464
PFNP as a % of TLL 0% 0% 0% 0%
Covered employee payroll - * N/A N/A N/A N/A
NLL as a % of covered payroll N/A N/A N/A N/A
* - the NLL is based on volunteer hours and as such has no payroll associated.
Expected average remaining service years of all participants 6 10 5 5
This schedule is presented to illustrate the requirements to show information for 10 years. However, until a full 10-year
trend is available, only those years for which information is available, will be presented.
-128-

QUEEN ANNE’S COUNTY, MARYLAND
REQUIRED SUPPLEMENTARY INFORMATION
JUNE 30, 2021
LENGTH OF SERVICE AWARD PROGRAM (LOSAP) (CONTINUED)
NOTES TO THE REQUIRED SUPPLEMENTAL INFORMATION – LOSAP
The LOSAP has no assets accumulated in a trust that meet the criteria in GASB 73, paragraph 4.
Benefit changes – fiscal year
2018 None
2019 None
2020 None
2021 None
Changes of assumptions – fiscal year
2018 None, other than the discount rate
2019 None, other than the discount rate
2020 None, other than the discount rate
2021 None, other than the discount rate
Discount rate – measurement rate
December 31, 2017 3.31%
December 31, 2018 3.71%
December 31, 2019 2.75%
December 31, 2020 2.00%
BUDGETARY COMPARISONS FOR THE GENERAL FUND
Required Supplementary Information provides budget-to-actual comparisons for the General Fund. Budgets are adopted
using the same method of accounting as that used for reporting purposes, i.e. according to generally accepted accounting
principles as used in the United States of America (GAAP).
-129-

QUEEN ANNE'S COUNTY, MARYLAND
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL
GENERAL FUND
FOR THE YEAR ENDED JUNE 30, 2021
VARIANCE
ORIGINAL FINAL WITH FINAL
BUDGET BUDGET ACTUAL BUDGET
REVENUES
Taxes
Local Property Tax $ 71,980,041 $ 71,980,041 $ 74,732,398 $ 2,752,357
Local Income Tax 5 2,415,276 67,103,652 67,985,531 881,879
Admission and Amusement Taxes 160,000 160,000 183,601 23,601
Recordation Taxes 5,250,000 8,078,500 10,641,852 2,563,352
Hotel Taxes 463,085 463,085 596,806 133,721
County Transfer Taxes 1,820,663 1,820,663 4,000,090 2,179,427
State Shared Taxes 1,250,000 1,250,000 1,174,931 ( 75,069)
Franchise Fee 485,000 485,000 473,507 ( 11,493)
Licenses and Permits 641,055 641,055 934,967 293,912
Intergovernmental 2,050,000 2,070,147 1,786,650 (283,497)
Charges for Current Services 2,500,000 2,500,000 3,074,968 574,968
Fines and Forfeitures 90,500 9 0,500 80,749 ( 9,751)
Investment Income 350,000 350,000 170,634 (179,366)
Donations - - 2 90 290
Miscellaneous 491,500 491,500 897,816 406,316
Total Revenues 139,947,120 157,484,143 166,734,790 9,250,647
EXPENDITURES
GENERAL GOVERNMENT
Legislative 483,644 483,644 431,298 52,346
Judicial
Circuit Court 709,297 693,540 690,234 3,306
Orphan's Court 88,143 8 8,143 86,502 1,641
State's Attorney 1,375,380 1,383,380 1,381,073 2,307
County Administrator 214,532 242,532 239,587 2,945
Board of Elections 969,448 991,765 865,635 126,130
Finance Office 1,337,801 1,442,801 1,440,765 2,036
Human Resources 625,316 638,316 636,125 2,191
Planning and Zoning 2,046,822 2,016,822 1,941,381 75,441
Information Technology 1,948,644 1,926,244 1,829,946 96,298
QAC-TV 410,390 410,390 394,831 15,559
Legal Services 501,700 501,700 309,664 192,036
Total General Government 1 0,711,117 10,819,277 10,247,041 572,236
PUBLIC SAFETY
Sheriff's Office 8,191,366 8,362,866 8,359,691 3,175
Volunteer Fire and Rescue Services 3,959,026 4,069,936 4,030,683 39,253
Detention Center 5,102,975 5,102,975 4,731,597 371,378
Emergency Services 1 0,106,685 10,031,820 9,945,415 86,405
Total Public Safety 2 7,360,052 27,567,597 27,067,386 500,211
PUBLIC WORKS
Administration 542,432 542,432 459,892 82,540
Solid Waste Disposal 1,650,368 1,640,368 1,520,704 119,664
Engineering Division 853,584 853,584 813,083 40,501
Roads Division 4,980,542 4,830,542 4,491,327 339,215
General Services 2,498,696 2,498,696 2,392,884 105,812
Animal Services 748,648 814,803 813,635 1,168
Property Management and Weed Control 320,180 320,180 297,757 22,423
Total Public Works 1 1,594,450 11,500,605 10,789,282 711,323
CONTINUED
-130-

QUEEN ANNE'S COUNTY, MARYLAND
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL
GENERAL FUND
FOR THE YEAR ENDED JUNE 30, 2021
(CONTINUED)
VARIANCE
ORIGINAL FINAL WITH FINAL
BUDGET BUDGET ACTUAL BUDGET
PARKS & RECREATION
Parks $ 4 ,144,974 $ 4,120,974 $ 3,889,900 $ 231,074
Recreation 1,063,523 1,053,523 666,365 387,158
Total Parks & Recreation 5,208,497 5,174,497 4,556,265 618,232
HEALTH AND SOCIAL SERVICES
Health Department 2,450,480 2,450,480 2,437,604 12,876
Social Services 175,479 183,479 180,556 2,923
Total Health and Social Services 2,625,959 2,633,959 2,618,160 15,799
EDUCATION AND LIBRARY
Board of Education 6 1,033,559 61,033,559 61,033,559 -
Chesapeake College 2,009,418 2,009,418 2,009,418 -
Queen Anne's County Free Library 1,957,600 1,957,600 1,957,600 -
Total Education and Library 6 5,000,577 65,000,577 65,000,577 -
CONSERVATION OF NATURAL RESOURCES
Cooperative Extension Service 345,563 347,063 346,234 829
Soil Conservation Service 207,406 207,406 176,862 30,544
4-H Park 93,300 9 3,300 75,354 17,946
Total Conservation of Natural Resources 646,269 647,769 598,450 49,319
ECONOMIC AND COMMUNITY DEVELOPMENT
Economic Development 679,737 709,737 562,165 147,572
Community Affairs 216,700 216,700 99,368 117,332
Total Economic and Community Development 896,437 926,437 661,533 264,904
DEBT SERVICE
School Debt Service - Principal 4,052,147 4,052,147 4,051,889 258
School Debt Service - Interest 2,022,581 2,022,581 1,964,656 57,925
County Debt Service - Principal 3,077,511 3,222,511 3,219,720 2,791
County Debt Service - Interest 2,624,387 2,624,387 2,527,805 96,582
Total Debt Service 1 1,776,626 11,921,626 11,764,070 157,556
INTERGOVERNMENTAL
Aid to Municipalities 238,686 266,686 262,749 3,937
SDAT Costs from State 425,000 425,000 254,043 170,957
Total Intergovernmental 663,686 691,686 516,792 174,894
CONTINUED
-131-

QUEEN ANNE'S COUNTY, MARYLAND
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL
GENERAL FUND
FOR THE YEAR ENDED JUNE 30, 2021
(CONTINUED)
VARIANCE
ORIGINAL FINAL WITH FINAL
BUDGET BUDGET ACTUAL BUDGET
MISCELLANEOUS
Aid to Other Agencies $ 691,675 $ 774,425 $ 767,440 $ 6,985
Insurance & Benefits 2,863,965 2,943,965 2,936,069 7,896
Transfer to OPEB Fund 1,942,460 1,942,460 1,942,460 -
Contingencies (174,694) 896,571 854,336 42,235
Salary Lapse (2,124,856) (2,124,856) - (2,124,856)
Miscellaneous Non-Departmental 539,300 539,300 333,912 205,388
Total Miscellaneous 3,737,850 4,971,865 6,834,217 (1,862,352)
Total Expenditures 140,221,520 141,855,895 140,653,773 1,202,122
Excess of Revenues Over Expenditures (274,400) 15,628,248 26,081,017 10,452,769
OTHER FINANCING SOURCES (USES)
Proceeds of Capital Asset Disposals 18,000 1 8,000 41,099 23,099
Insurance Proceeds - 106,500 102,429 ( 4,071)
Transfers In From:
Impact Fees - School 1,833,980 1,833,980 1,833,980 -
Total Transfers In 1 ,833,980 1,833,980 1,833,980 -
Transfers Out To:
General Capital Projects Fund - 12,000,000 12,000,000 -
Roads Capital Projects Fund - 3,500,000 3,500,000 -
Department of Aging 1,877,529 1,877,529 1,187,072 690,457
Department of Housing and Community Services 621,730 621,730 509,734 111,996
Community Partnerships 432,045 432,045 409,452 22,593
Agricultural Transfer Tax 300,000 850,577 850,577 -
Grants Fund 29,659 2 9,659 20,287 9,372
Impact Fees - Fire Companies/Contingencies 90,000 9 0,000 62,825 27,175
Airport Enterprise Fund 59,669 5 9,669 59,669 -
Golf Course Enterprise Fund 198,388 198,388 122,276 76,112
Total Transfers Out 3 ,609,020 19,659,597 18,721,892 937,705
Total Other Financing (Uses) (1,757,040) (17,701,117) (16,744,384) 956,733
Net Increase (Decrease) in Fund Balance $ (2,031,440) $ (2,072,869) 9,336,633 $ 11,409,502
Fund Balance, July 1 41,084,629
Fund Balance, June 30 $ 50,421,262
-132-

-133-

Combining and Individual Fund Statements and Schedules
The Combining and Individual Fund Statements and Schedules provide detailed information concerning the
financial position, results of operations, and budgetary comparisons for the non-major funds, capital
projects, and fiduciary funds.
-134-

Non-Major Governmental Funds
Non-Major Governmental Funds are used to account for the proceeds of specific revenue sources (other
than capital projects and debt service funds) that are legally restricted to expenditures for specific purposes.
-135-

NON-MAJOR GOVERNMENTAL FUNDS
Non-major governmental funds are special revenue funds, unless otherwise noted:
Department of Aging – This fund accounts for activities funded primarily by grants to provide services for
the elderly and is included in the social services function.
Housing and Community Services – This fund accounts for activities funded mostly by grants and
revolving loan funds that support housing rehabilitation and home-ownership and is included in the
economic and community development function.
Grants Fund – This fund accounts for activities funded by grants and is included in various governmental
functions, depending on the grant.
Revolving Loan Fund – This fund accounts for activities funded by community donations and grants to
promote and provide economic development loans to local businesses and is included in the economic and
community development function.
Economic Development Incentive Fund – This fund accounts for activities funded with a portion of
recordation taxes that support economic development in the County by attracting and investing in new and
existing businesses and is included in the economic and community development function.
BRIDGE (Business Reinvestment and Infrastructure Development Grant Enterprise) Fund – This
fund accounts for activities funded with a portion of recordation taxes and provides new commercial
businesses funding for capital and infrastructure improvements. The BRIDGE Fund is included in the
economic and community development function.
Community Partnerships for Children – This fund accounts for activities funded by grants allocated to
the County that provide services for children and families and is included in the social services function.
Critical Areas – This fund accounts for activities funded by payments in lieu of performance bonds that
support efforts to mitigate and preserve critical areas along the shoreline of tidal waters within the County
and is included in the conservation of natural resources function.
Law Library – This fund accounts for activities funded by court fees, fines, and contributions from local
attorneys to update legal reference materials housed in the courthouse and is included in the general
government function.
Sheriff’s Drug Task Force – This fund accounts for activities funded by drug-related forfeitures that
support drug interdiction efforts by a multi-faceted task force and is included in the public safety function.
Inmate Welfare Fund – This fund accounts for activities funded by profits earned from Detention Center
inmate-related services that promote the welfare of the inmates and is included in the public safety
function.
Agricultural Transfer Tax – This fund accounts for activities funded primarily by the Agricultural
Transfer Tax to purchase agricultural easements that preclude development and is included in the
conservation of natural resources function.
Rural Legacy – This fund accounts for activities funded primarily by Maryland’s Rural Legacy Program to
purchase easements that preclude development and is included in the conservation of natural resources
function.
-136-

Dredging Special Assessments – This fund accounts for activities funded by special assessment funds
collected to repay loans for specific dredging and erosion projects that benefited Price’s Creek, Grove
Creek, and Narrows Pointe and is included in the conservation of natural resources function.
Kent Narrows – This fund accounts for activities funded by tax revenues to improve the Kent Narrows
area and is included in the economic and community development function.
Capital Projects – School Impact Fees – This fund accounts for financial resources generated by new
residential construction and used for the construction of public school facilities or payment of school debt
relating to such construction.
Capital Projects – Fire Company Impact Fees – This fund accounts for activities funded by impact fees
specifically earmarked to enhance local volunteer fire company preparedness resulting from new
construction and is included in the public safety function.
Capital Projects – Parks and Recreation Impact Fees – This fund accounts for activities funded by
impact fees specifically earmarked to enhance parks and recreation and is included in the parks and
recreation function.
-137-

QUEEN ANNE'S COUNTY, MARYLAND
COMBINING BALANCE SHEET
NON-MAJOR GOVERNMENTAL FUNDS
JUNE 30, 2021
HOUSING AND ECONOMIC
DEPARTMENT COMMUNITY GRANTS REVOLVING DEVELOPMENT BRIDGE
OF AGING SERVICES FUND LOAN FUND INCENTIVE FUND
ASSETS
Cash and Cash Equivalents $ - $ 3,571,626 $ 282,156 $ 471,298 $ 332,499 $ -
Receivables
Taxes Receivable (Net) - - - - - -
Accounts Receivable (Net) - 86 4,618 10,915 - -
Loans Receivable (Net) - 5,644,749 - 90,922 - -
Special Assessments (Net) - - - - - -
Due from Other Governments 893,839 439,414 165,214 - - -
Total Assets $ 893,839 $ 9,655,875 $ 451,988 $ 573,135 $ 332,499 $ -
LIABILITIES
Accrued Liabilities $ 61,225 $ 78,046 $ 30,582 $ - $ - $ -
Due to Other Funds 715,053 - - - - -
Due to Other Governmental Agencies - 3,136 - - - -
Unearned Revenue - - 181,406 - - -
Total Liabilities 776,278 81,182 211,988 - - -
DEFERRED INFLOWS OF RESOURCES
Unavailable Benefit Assessments - - - - - -
Unavailable Fees - - - - - -
Total Deferred Inflows - - - - - -
Total Liabilities and Deferred Inflows 776,278 81,182 211,988 - - -
FUND BALANCES
Restricted 3,382 2,784,947 - - - -
Committed - 6,789,746 - 573,135 332,499 -
Assigned 114,179 - 240,000 - - -
Unassigned - - - - - -
Total Fund Balances 117,561 9,574,693 240,000 573,135 332,499 -
Total Liabilities, Deferred Inflows and Fund
Balances $ 893,839 $ 9,655,875 $ 451,988 $ 573,135 $ 332,499 $ -
-138-

QUEEN ANNE'S COUNTY, MARYLAND
COMBINING BALANCE SHEET
NON-MAJOR GOVERNMENTAL FUNDS
JUNE 30, 2021
(CONTINUED)
COMMUNITY SHERIFF'S
PARTNERSHIPS DRUG
FOR CRITICAL LAW TASK INMATE AGRICULTURAL RURAL
CHILDREN AREAS LIBRARY FORCE WELFARE TRANSFER LEGACY
$ 470,380 $ 349,121 $ 383,542 $ 207,497 $ 211,506 $ 359,472 $ 401,495
- - - - - - -
1,745 - - - 7,819 - -
- - - - - - -
- - - - - - -
82,400 - - - - - -
$ 554,525 $ 349,121 $ 383,542 $ 207,497 $ 219,325 $ 359,472 $ 401,495
$ 148,476 $ 16,700 $ - $ 94,489 $ 5,881 $ 3,248 $ -
- - - - - - -
340,721 - - - - - -
- - - - - - -
489,197 16,700 - 94,489 5,881 3,248 -
- - - - - - -
- - - - - - -
- - - - - - -
489,197 16,700 - 94,489 5,881 3,248 -
- 332,421 - 113,008 213,444 356,224 401,495
- - - - - - -
65,328 - 383,542 - - - -
- - - - - - -
65,328 332,421 383,542 113,008 213,444 356,224 401,495
$ 554,525 $ 349,121 $ 383,542 $ 207,497 $ 219,325 $ 359,472 $ 401,495
CONTINUED
-139-

QUEEN ANNE'S COUNTY, MARYLAND
COMBINING BALANCE SHEET
NON-MAJOR GOVERNMENTAL FUNDS
JUNE 30, 2021
(CONTINUED)
CAPITAL PROJECTS
DREDGING PARKS AND TOTAL
SPECIAL KENT SCHOOL FIRE COMPANY RECREATION NON-MAJOR
ASSESSMENTS NARROWS IMPACT FEES IMPACT FEES IMPACT FEES GOVERNMENTAL
ASSETS
Cash and Cash Equivalents $ 6,040 $ 200,795 $ 12,298,236 $ 579,493 $ 737,123 $ 20,862,279
Receivables
Taxes Receivable (Net) - 745 - - - 745
Accounts Receivable (Net) 390 - - - - 25,573
Loans Receivable (Net) - - 684,737 78,245 75,049 6,573,702
Special Assessments (Net) 702,595 - - - - 702,595
Due from Other Governments - - - - - 1,580,867
Total Assets $ 709,025 $ 201,540 $ 12,982,973 $ 657,738 $ 812,172 $ 29,745,761
LIABILITIES
Accrued Liabilities $ - $ - $ 16,011 $ 1,832 $ 1,736 $ 458,226
Due to Other Funds - - - 19,649 - 734,702
Due to Other Governmental Agencies - - - - - 343,857
Unearned Revenue - - - - - 181,406
Total Liabilities - - 16,011 21,481 1,736 1,718,191
DEFERRED INFLOWS OF RESOURCES
Unavailable Benefit Assessments 702,595 - - - - 702,595
Unavailable Fees - - 684,737 78,245 75,049 838,031
Total Deferred Inflows 702,595 - 684,737 78,245 75,049 1,540,626
Total Liabilities and Deferred Inflows 702,595 - 700,748 99,726 76,785 3,258,817
FUND BALANCES
Restricted 6,430 201,540 - - - 4,412,891
Committed - - 12,282,225 577,661 735,387 21,290,653
Assigned - - - - - 803,049
Unassigned - - - (19,649) - (19,649)
Total Fund Balances 6,430 201,540 12,282,225 558,012 735,387 26,486,944
Total Liabilities, Deferred Inflows and
Fund Balances $ 709,025 $ 201,540 $ 12,982,973 $ 657,738 $ 812,172 $ 29,745,761
-140-

-141-

QUEEN ANNE'S COUNTY, MARYLAND
COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
NON-MAJOR GOVERNMENTAL FUNDS
FOR THE YEAR ENDED JUNE 30, 2021
HOUSING AND ECONOMIC
DEPARTMENT COMMUNITY GRANTS REVOLVING DEVELOPMENT BRIDGE
OF AGING SERVICES FUND LOAN FUND INCENTIVE FUND
REVENUES
Taxes
Local Property Tax $ - $ - $ - $ - $ - $ -
Recordation Taxes - 332,557 - - - -
State Shared Taxes - - - - - -
Intergovernmental 1,495,068 622,422 7,781,988 - - -
Charges for Current Services 37,025 864,667 4,925 - - -
Fines and Forfeitures - - - - - -
Investment Income 6 8 2,427 - 1 ,743 - -
Donations 5,490 - - - - -
Miscellaneous 41,573 (3,965) 6,398 - 14,000 -
Total Revenues 1,579,224 1,818,108 7,793,311 1 ,743 14,000 -
EXPENDITURES
Current
General Government - - 2,207,309 - - -
Public Safety - - 541,114 - - -
Public Works - - 115,210 - - -
Parks & Recreation - - 216,351 - - -
Social Services 2,766,061 - 305,375 - - -
Conservation of Natural Resources - - - - - -
Economic/Community Development - 1,132,324 3,290,679 - 124,940 -
Capital Outlay - - 1,137,560 - - -
Debt Service
Principal - - - - - -
Total Expenditures 2,766,061 1,132,324 7,813,598 - 124,940 -
Excess of Revenues Over (Under) Expenditures (1,186,837) 685,784 (20,287) 1 ,743 ( 110,940) -
OTHER FINANCING SOURCES (USES)
Transfers In 1,187,072 509,734 20,287 - 85,680 -
Transfers Out - - - - - ( 85,680)
Other Financing Sources (Uses) 1,187,072 509,734 20,287 - 85,680 ( 85,680)
Net Increase (Decrease) in Fund Balances 2 35 1,195,518 - 1 ,743 ( 25,260) ( 85,680)
Fund Balances, July 1 117,326 8,379,175 240,000 5 71,392 357,759 85,680
Fund Balances, June 30 $ 117,561 $ 9,574,693 $ 240,000 $ 573,135 $ 332,499 $ -
-142-

QUEEN ANNE'S COUNTY, MARYLAND
COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
NON-MAJOR GOVERNMENTAL FUNDS
FOR THE YEAR ENDED JUNE 30, 2021
(CONTINUED)
COMMUNITY SHERIFF'S
PARTNERSHIPS DRUG
FOR CRITICAL LAW TASK INMATE AGRICULTURAL RURAL
CHILDREN AREAS LIBRARY FORCE WELFARE TRANSFER LEGACY
$ - $ - $ - $ - $ - $ - $ -
- - - - - - -
- - - - - 111,443 -
609,297 - - - - - 1,612,662
- 90,593 9,424 - 144,089 - -
- - 26,012 34,189 - - -
4 1 - 3 15 1 50 1 87 - 7 83
- - - - - - -
10,052 - - - 13,162 - -
619,390 90,593 35,751 34,339 157,438 111,443 1,613,445
- - 3,157 - - - -
- - - 57,215 156,043 - -
- - - - - - -
- - - - - - -
1,028,800 - - - - - -
- 20,200 - - - 761,912 2,292,285
- - - - - - -
- - - - - - -
- - - - - - -
1,028,800 20,200 3,157 57,215 156,043 761,912 2,292,285
(409,410) 70,393 32,594 (22,876) 1,395 ( 650,469) (678,840)
409,452 - - - - 850,577 -
- - - - - - -
409,452 - - - - 850,577 -
4 2 70,393 32,594 (22,876) 1,395 200,108 (678,840)
65,286 262,028 350,948 135,884 212,049 156,116 1,080,335
$ 65,328 $ 332,421 $ 383,542 $ 113,008 $ 213,444 $ 356,224 $ 401,495
CONTINUED
-143-

QUEEN ANNE'S COUNTY, MARYLAND
COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
NON-MAJOR GOVERNMENTAL FUNDS
FOR THE YEAR ENDED JUNE 30, 2021
(CONTINUED)
CAPITAL PROJECTS
DREDGING PARKS AND TOTAL
SPECIAL KENT SCHOOL FIRE COMPANY RECREATION NON-MAJOR
ASSESSMENTS NARROWS IMPACT FEES IMPACT FEES IMPACT FEES GOVERNMENTAL
REVENUES
Taxes
Local Property Tax $ - $ 36,819 $ - $ - $ - $ 36,819
Recordation Taxes - - - - - 332,557
State Shared Taxes - - - - - 111,443
Intergovernmental - - - - - 12,121,437
Charges for Current Services 7 1,599 - 3,383,580 518,867 433,141 5,557,910
Fines and Forfeitures - - - - - 60,201
Investment Income 552 172 10,354 448 3 93 17,633
Donations - - - - - 5,490
Miscellaneous - - - - - 81,220
Total Revenues 7 2,151 36,991 3,393,934 519,315 433,534 18,324,710
EXPENDITURES
Current
General Government - - - - - 2,210,466
Public Safety - - - 416,486 - 1,170,858
Public Works - - - - - 115,210
Parks & Recreation - - - - - 216,351
Social Services - - - - - 4,100,236
Conservation of Natural Resources - - - - - 3,074,397
Economic/Community Development - 35,000 - - - 4,582,943
Capital Outlay - - - - - 1,137,560
Debt Service
Principal 7 1,816 - - - - 71,816
Total Expenditures 7 1,816 35,000 - 416,486 - 16,679,837
Excess of Revenues Over (Under) Expenditures 335 1,991 3,393,934 102,829 433,534 1,644,873
OTHER FINANCING SOURCES (USES)
Transfers In - - - 62,825 - 3,125,627
Transfers Out - - (1,833,980) - - (1,919,660)
Other Financing Sources (Uses) - - (1,833,980) 62,825 - 1,205,967
Net Increase (Decrease) in Fund Balances 335 1,991 1,559,954 165,654 433,534 2,850,840
Fund Balances, July 1 6 ,095 199,549 10,722,271 392,358 301,853 23,636,104
Fund Balances, June 30 $ 6 ,430 $ 201,540 $ 12,282,225 $ 558,012 $ 735,387 $ 26,486,944
-144-

-145-

QUEEN ANNE'S COUNTY, MARYLAND
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES - BUDGETARY BASIS
NON-MAJOR GOVERNMENTAL FUNDS
FOR THE YEAR ENDED JUNE 30, 2021
DEPARTMENT OF AGING HOUSING AND COMMUNITY SERVICES
VARIANCE VARIANCE
ORIGINAL FINAL POSITIVE ORIGINAL FINAL POSITIVE
BUDGET BUDGET ACTUAL (NEGATIVE) BUDGET BUDGET ACTUAL (NEGATIVE)
REVENUES
Taxes
Local Property Tax $ - $ - $ - $ - $ - $ - $ - $ -
Recordation Taxes - - - - 200,000 200,000 332,557 132,557
State Shared Taxes - - - - - - - -
Intergovernmental 1,124,691 1,256,274 1,495,068 238,794 223,477 1,027,484 622,422 (405,062)
Charges for Current Services 116,100 116,100 37,025 ( 79,075) 100,000 350,000 864,667 514,667
Fines and Forfeitures - - - - - - - -
Investment Income - - 68 68 - - 2 ,427 2,427
Donations 35,000 35,000 5,490 ( 29,510) - - - -
Miscellaneous 36,000 36,000 41,573 5,573 - - (3,965) ( 3,965)
Total Revenues 1,311,791 1,443,374 1,579,224 135,850 523,477 1,577,484 1,818,108 240,624
EXPENDITURES
Current Operating Expenditures 3,189,320 3,320,903 2,766,061 554,842 1,295,207 2,349,214 1,132,324 1,216,890
Capital Outlay - - - - - - - -
Debt Service
Principal - - - - - - - -
Total Expenditures 3,189,320 3,320,903 2,766,061 554,842 1,295,207 2,349,214 1,132,324 1,216,890
Excess of Revenues Over (Under) Expenditures (1,877,529) (1,877,529) (1,186,837) 690,692 (771,730) (771,730) 685,784 1,457,514
OTHER FINANCING SOURCES (USES)
Transfers In 1,877,529 1,877,529 1,187,072 (690,457) 621,730 621,730 509,734 (111,996)
Transfers Out - - - - - - - -
Total Other Financing Sources (Uses) 1,877,529 1,877,529 1,187,072 (690,457) 621,730 621,730 509,734 (111,996)
Net Increase (Decrease) in Fund Balances $ - $ - 235 $ 235 $ (150,000) $ (150,000) 1,195,518 $ 1 ,345,518
Fund Balances, July 1 117,326 8,379,175
Fund Balances, June 30 $ 117,561 $ 9,574,693
-146-

QUEEN ANNE'S COUNTY, MARYLAND
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES - BUDGETARY BASIS
NON-MAJOR GOVERNMENTAL FUNDS
FOR THE YEAR ENDED JUNE 30, 2021
(CONTINUED)
GRANTS FUND ECONOMIC DEVELOPMENT INCENTIVE
VARIANCE VARIANCE
ORIGINAL FINAL POSITIVE ORIGINAL FINAL POSITIVE
BUDGET BUDGET ACTUAL (NEGATIVE) BUDGET BUDGET ACTUAL (NEGATIVE)
$ - $ - $ - $ - $ - $ - $ - $ -
- - - - - - - -
- - - - - - - -
794,475 8,074,432 7,781,988 (292,444) - - - -
27,500 27,500 4 ,925 (22,575) - - - -
- - - - - - - -
- - - - - - - -
- - - - - - - -
41,000 54,425 6 ,398 (48,027) 27,100 27,100 14,000 (13,100)
862,975 8,156,357 7,793,311 (363,046) 27,100 27,100 14,000 (13,100)
782,872 6,921,254 6,676,038 245,216 125,000 210,680 124,940 85,740
109,762 1,264,762 1,137,560 127,202 - - - -
- - - - - - - -
892,634 8,186,016 7,813,598 372,418 125,000 210,680 124,940 85,740
(29,659) (29,659) (20,287) 9 ,372 (97,900) (183,580) (110,940) 72,640
29,659 29,659 20,287 (9,372) - 85,680 85,680 -
- - - - - - - -
29,659 29,659 20,287 (9,372) - 85,680 85,680 -
$ - $ - - $ - $ (97,900) $ (97,900) (25,260) $ 72,640
240,000 357,759
$ 240,000 $ 332,499
CONTINUED
-147-

QUEEN ANNE'S COUNTY, MARYLAND
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES - BUDGETARY BASIS
NON-MAJOR GOVERNMENTAL FUNDS
FOR THE YEAR ENDED JUNE 30, 2021
(CONTINUED)
BRIDGE FUND COMMUNITY PARTNERSHIPS FOR CHILDREN
VARIANCE VARIANCE
ORIGINAL FINAL POSITIVE ORIGINAL FINAL POSITIVE
BUDGET BUDGET ACTUAL (NEGATIVE) BUDGET BUDGET ACTUAL (NEGATIVE)
REVENUES
Taxes
Local Property Tax $ - $ - $ - $ - $ - $ - $ - $ -
Recordation Taxes - - - - - - - -
State Shared Taxes - - - - - - - -
Intergovernmental - - - - 656,658 637,924 609,297 ( 28,627)
Charges for Current Services - - - - - - - -
Fines and Forfeitures - - - - - - - -
Investment Income - - - - - - 41 41
Donations - - - - - - - -
Miscellaneous - - - - 11,000 11,000 10,052 (948)
Total Revenues - - - - 667,658 648,924 619,390 ( 29,534)
EXPENDITURES
Current Operating Expenditures - - - - 1,099,703 1,080,969 1,028,800 52,169
Capital Outlay - - - - - - - -
Debt Service
Principal - - - - - - - -
Total Expenditures - - - - 1,099,703 1,080,969 1,028,800 52,169
Excess of Revenues Over (Under) Expenditures - - - - (432,045) (432,045) (409,410) 22,635
OTHER FINANCING SOURCES (USES)
Transfers In - - - - 432,045 432,045 409,452 ( 22,593)
Transfers Out - ( 85,680) ( 85,680) - - - - -
Total Other Financing Sources (Uses) - ( 85,680) ( 85,680) - 432,045 432,045 409,452 ( 22,593)
Net Increase (Decrease) in Fund Balances $ - $ (85,680) ( 85,680) $ - $ - $ - 42 $ 42
Fund Balances, July 1 85,680 65,286
Fund Balances, June 30 $ - $ 65,328
-148-

QUEEN ANNE'S COUNTY, MARYLAND
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES - BUDGETARY BASIS
NON-MAJOR GOVERNMENTAL FUNDS
FOR THE YEAR ENDED JUNE 30, 2021
(CONTINUED)
LAW LIBRARY INMATE WELFARE
VARIANCE VARIANCE
ORIGINAL FINAL POSITIVE ORIGINAL FINAL POSITIVE
BUDGET BUDGET ACTUAL (NEGATIVE) BUDGET BUDGET ACTUAL (NEGATIVE)
$ - $ - $ - $ - $ - $ - $ - $ -
- - - - - - - -
- - - - - - - -
- - - - 10,890 10,890 - (10,890)
10,000 10,000 9 ,424 (576) 125,000 125,000 144,089 19,089
15,500 15,500 26,012 10,512 - - - -
- - 3 15 3 15 - - 1 87 1 87
- - - - - - - -
- - - - 16,310 16,310 13,162 (3,148)
25,500 25,500 35,751 10,251 152,200 152,200 157,438 5 ,238
25,500 25,500 3 ,157 22,343 148,150 148,150 156,043 (7,893)
- - - - 15,000 15,000 - 15,000
- - - - - - - -
25,500 25,500 3 ,157 22,343 163,150 163,150 156,043 7 ,107
- - 32,594 32,594 (10,950) (10,950) 1 ,395 12,345
- - - - - - - -
- - - - - - - -
- - - - - - - -
$ - $ - 32,594 $ 32,594 $ (10,950) $ (10,950) 1 ,395 $ 12,345
350,948 212,049
$ 383,542 $ 213,444
CONTINUED
-149-

QUEEN ANNE'S COUNTY, MARYLAND
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES - BUDGETARY BASIS
NON-MAJOR GOVERNMENTAL FUNDS
FOR THE YEAR ENDED JUNE 30, 2021
(CONTINUED)
AGRICULTURAL TRANSFER RURAL LEGACY
VARIANCE VARIANCE
ORIGINAL FINAL POSITIVE ORIGINAL FINAL POSITIVE
BUDGET BUDGET ACTUAL (NEGATIVE) BUDGET BUDGET ACTUAL (NEGATIVE)
REVENUES
Taxes
Local Property Tax $ - $ - $ - $ - $ - $ - $ - $ -
Recordation Taxes - - - - - - - -
State Shared Taxes 250,000 250,000 1 11,443 (138,557) - - - -
Intergovernmental - - - - - 2,024,994 1,612,662 (412,332)
Charges for Current Services - - - - - - - -
Fines and Forfeitures - - - - - - - -
Investment Income - - - - - - 783 783
Donations - - - - - - - -
Miscellaneous - - - - - - - -
Total Revenues 250,000 250,000 1 11,443 (138,557) - 2,024,994 1,613,445 (411,549)
EXPENDITURES
Current Operating Expenditures 850,000 1,184,792 7 61,912 422,880 - 2,292,285 2,292,285 -
Capital Outlay - - - - - - - -
Debt Service
Principal - - - - - - - -
Total Expenditures 850,000 1,184,792 7 61,912 422,880 - 2,292,285 2,292,285 -
Excess of Revenues Over (Under) Expenditures (600,000) (934,792) (650,469) 284,323 - (267,291) (678,840) (411,549)
OTHER FINANCING SOURCES (USES)
Transfers In 600,000 850,577 8 50,577 - - - - -
Transfers Out - - - - - - - -
Total Other Financing Sources (Uses) 600,000 850,577 8 50,577 - - - - -
Net Increase (Decrease) in Fund Balances $ - $ (84,215) 2 00,108 $ 284,323 $ - $ (267,291) (678,840) $ (411,549)
Fund Balances, July 1 1 56,116 1,080,335
Fund Balances, June 30 $ 356,224 $ 401,495
-150-

QUEEN ANNE'S COUNTY, MARYLAND
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES - BUDGETARY BASIS
NON-MAJOR GOVERNMENTAL FUNDS
FOR THE YEAR ENDED JUNE 30, 2021
(CONTINUED)
DREDGING SPECIAL ASSESSMENTS KENT NARROWS
VARIANCE VARIANCE
ORIGINAL FINAL POSITIVE ORIGINAL FINAL POSITIVE
BUDGET BUDGET ACTUAL (NEGATIVE) BUDGET BUDGET ACTUAL (NEGATIVE)
$ - $ - $ - $ - $ 38,000 $ 38,000 $ 36,819 $ (1,181)
- - - - - - - -
- - - - - - - -
- - - - - - - -
71,816 71,816 71,599 (217) - - - -
- - - - - - - -
- - 5 52 5 52 - - 172 172
- - - - - - - -
- - - - - - - -
71,816 71,816 72,151 3 35 38,000 38,000 36,991 (1,009)
- - - - 38,000 38,000 35,000 3 ,000
- - - - - - - -
71,816 71,816 71,816 - - - - -
71,816 71,816 71,816 - 38,000 38,000 35,000 3 ,000
- - 3 35 3 35 - - 1 ,991 1 ,991
- - - - - - - -
- - - - - - - -
- - - - - - - -
$ - $ - 3 35 $ 3 35 $ - $ - 1 ,991 $ 1,991
6 ,095 199,549
$ 6,430 $ 201,540
CONTINUED
-151-

QUEEN ANNE'S COUNTY, MARYLAND
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES - BUDGETARY BASIS
NON-MAJOR GOVERNMENTAL FUNDS
FOR THE YEAR ENDED JUNE 30, 2021
(CONTINUED)
CAPITAL PROJECTS - SCHOOL IMPACT FEES
VARIANCE
ORIGINAL FINAL POSITIVE
BUDGET BUDGET ACTUAL (NEGATIVE)
REVENUES
Taxes
Local Property Tax $ - $ - $ - $ -
Recordation Taxes - - - -
State Shared Taxes - - - -
Intergovernmental - - - -
Charges for Current Services 1,833,980 1,833,980 3,383,580 1 ,549,600
Fines and Forfeitures - - - -
Investment Income - - 10,354 10,354
Donations - - - -
Miscellaneous - - - -
Total Revenues 1,833,980 1,833,980 3,393,934 1 ,559,954
EXPENDITURES
Current Operating Expenditures - - - -
Capital Outlay - - - -
Debt Service
Principal - - - -
Total Expenditures - - - -
Excess of Revenues Over (Under) Expenditures 1,833,980 1,833,980 3,393,934 1 ,559,954
OTHER FINANCING SOURCES (USES)
Transfers In - - - -
Transfers Out (1,833,980) (1,833,980) (1,833,980) -
Total Other Financing Sources (Uses) (1,833,980) (1,833,980) (1,833,980) -
Net Increase (Decrease) in Fund Balances $ - $ - 1,559,954 $ 1 ,559,954
Fund Balances, July 1 10,722,271
Fund Balances, June 30 $ 12,282,225
-152-

QUEEN ANNE'S COUNTY, MARYLAND
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES - BUDGETARY BASIS
NON-MAJOR GOVERNMENTAL FUNDS
FOR THE YEAR ENDED JUNE 30, 2021
(CONTINUED)
CAPITAL PROJECTS - FIRE COMPANY IMPACT FEES CAPITAL PROJECTS - PARKS & RECREATION IMPACT FEES
VARIANCE VARIANCE
ORIGINAL FINAL POSITIVE ORIGINAL FINAL POSITIVE
BUDGET BUDGET ACTUAL (NEGATIVE) BUDGET BUDGET ACTUAL (NEGATIVE)
$ - $ - $ - $ - $ - $ - $ - $ -
- - - - - - - -
- - - - - - - -
- - - - - - - -
200,000 274,260 518,867 244,607 150,000 150,000 433,141 283,141
- - - - - - - -
5 00 5 00 4 48 (52) 4 00 4 00 393 (7)
- - - - - - - -
- - - - - - - -
200,500 274,760 519,315 244,555 150,400 150,400 433,534 283,134
290,500 417,186 416,486 7 00 - - - -
- - - - - - - -
- - - - - - - -
290,500 417,186 416,486 7 00 - - - -
(90,000) (142,426) 102,829 245,255 150,400 150,400 433,534 283,134
90,000 90,000 62,825 (27,175) - - - -
- - - - (150,400) (150,400) - 150,400
90,000 90,000 62,825 (27,175) (150,400) (150,400) - 150,400
$ - $ (52,426) 165,654 $ 218,080 $ - $ - 433,534 $ 433,534
392,358 301,853
$ 558,012 $ 735,387
-153-

-154-

NON-MAJOR ENTERPRISE FUNDS
Non-Major Enterprise funds account for activities which are commercial in nature and are primarily or
partially intended to be self-supporting. Each fund sets its rates and service charges at a level sufficient to:
(1) meet all of its operating expenses; (2) provide for depreciation from wear and obsolescence of capital
assets; and (3) to the extent that funds are not borrowed, finance the cost of expansion of physical facilities.
-155-

NON-MAJOR ENTERPRISE FUNDS
Non-major enterprise funds include the following funds:
Blue Heron Golf Course – This fund accounts for operation and maintenance of an 18-hole public golf
course that is owned and operated by the County.
Public Landings and Marinas – This fund accounts for operation, maintenance, and major repairs of
public landings, bulkheads, and public marinas. For a fee, the general public has access to these landings to
launch small craft into the many waterways that surround the County and can also access the marinas for
temporary mooring.
-156-

QUEEN ANNE'S COUNTY, MARYLAND
COMBINING STATEMENT OF NET POSITION
NON-MAJOR ENTERPRISE FUNDS
JUNE 30, 2021
PUBLIC TOTAL
GOLF LANDINGS NON-MAJOR
ASSETS COURSE AND MARINAS ENTERPRISE
Current Assets
Equity in Pooled Cash $ - $ 533,078 $ 533,078
Accounts Receivable (Net) - 6 2,489 62,489
Due from Other Governments - 2 3,950 23,950
Inventories 4 ,914 - 4,914
Total Current Assets 4 ,914 619,517 624,431
Capital Assets 3,015,673 6,385,636 9,401,309
Less Accumulated Depreciation (762,880) (1,454,466) (2,217,346)
Total Capital Assets, Net of Depreciation 2,252,793 4,931,170 7,183,963
Total Noncurrent Assets 2,252,793 4,931,170 7,183,963
Total Assets 2,257,707 5,550,687 7,808,394
DEFERRED OUTFLOWS OF RESOURCES
OPEB - 7 ,208 7,208
Pension Benefits 1 5,170 3 0,689 45,859
Deferred Charge on Refunding - 8 83 8 83
Total Deferred Outflows of Resources 1 5,170 3 8,780 53,950
LIABILITIES
Current Liabilities
Accounts Payable 2 2,013 4 6,550 68,563
Accrued Interest Payable 1 ,401 6 ,177 7,578
Due to Other Funds 546,019 - 546,019
Unearned Revenue 2 ,797 - 2,797
Current Portion of Compensated Absences 8 ,530 1 7,749 26,279
Current Portion of Bonds/Notes Payable 4 ,379 5 8,770 63,149
Total Current Liabilities 585,139 129,246 714,385
Noncurrent Liabilities
Compensated Absences 7 ,192 1 4,964 22,156
OPEB - 271,362 271,362
Net Pension Liability 7 2,102 148,942 221,044
Bonds/Notes Payable 8 9,579 572,761 662,340
Total Noncurrent Liabilities 168,873 1,008,029 1,176,902
Total Liabilities 754,012 1,137,275 1,891,287
DEFERRED INFLOWS OF RESOURCES
OPEB - 4 3,118 43,118
Pension Benefits 5 ,510 1 0,882 16,392
Bond Refundings - 2 ,007 2,007
Total Deferred Inflows of Resources 5 ,510 5 6,007 61,517
NET POSITION
Net Investment in Capital Assets 2,158,835 4,300,522 6,459,357
Unrestricted Amounts (Deficit) (645,480) 9 5,663 (549,817)
Total Net Position $ 1,513,355 $ 4,396,185 $ 5,909,540
-157-

QUEEN ANNE'S COUNTY, MARYLAND
COMBINING STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN NET POSITION
NON-MAJOR ENTERPRISE FUNDS
FOR THE YEAR ENDED JUNE 30, 2021
PUBLIC TOTAL
GOLF LANDINGS NON-MAJOR
COURSE AND MARINAS ENTERPRISE
OPERATING REVENUES
Charges for Services $ 5 93,022 $ 540,240 $ 1,133,262
Intergovernmental - 178,208 178,208
Material Sales 4 4,555 - 44,555
Miscellaneous Revenues 1 ,243 34,455 35,698
Total Operating Revenues 6 38,820 752,903 1,391,723
OPERATING EXPENSES
Cost of Sales and Services
Recreation 4 92,773 955,840 1,448,613
OPEB - (1,804) (1,804)
Pension Liability Adjustment 1 ,704 5,604 7,308
Depreciation 2 6,519 128,251 154,770
Total Operating Expenses 5 20,996 1,087,891 1,608,887
Operating Income (Loss) 1 17,824 (334,988) (217,164)
NON-OPERATING REVENUES (EXPENSES)
Interest Expense (2,439) (16,279) (18,718)
Gain on Disposal of Capital Assets 1 ,406 - 1,406
Transfer of Capital Asset to Governmental Fund - (8,250) (8,250)
Total Non-Operating (Expenses) (1,033) (24,529) (25,562)
Gain (Loss) Before Contributions and Transfers 1 16,791 (359,517) (242,726)
Transfers In 1 27,763 - 127,763
Change in Net Position 2 44,554 (359,517) (114,963)
Total Net Position - Beginning of Year 1 ,268,801 4,755,702 6,024,503
Total Net Position - End of Year $ 1 ,513,355 $ 4,396,185 $ 5,909,540
-158-

QUEEN ANNE'S COUNTY, MARYLAND
COMBINING STATEMENT OF CASH FLOWS
NON-MAJOR ENTERPRISE FUNDS
FOR THE YEAR ENDED JUNE 30, 2021
PUBLIC TOTAL
GOLF LANDINGS NON-MAJOR
COURSE AND MARINAS ENTERPRISE
CASH FLOWS FROM OPERATING ACTIVITIES
Receipts from customers and users $ 592,465 $ 551,255 $ 1,143,720
Receipts from other operating revenues 45,798 201,843 247,641
Payments to suppliers (350,857) (709,790) (1,060,647)
Payments to employees and on behalf of employees (151,316) (227,780) (379,096)
Net Cash Provided (Used) by Operating Activities 136,090 (184,472) (48,382)
CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES
Transfers from other funds 127,763 - 127,763
Receipts from interfund loans 546,019 - 546,019
Principal paid on interfund loans (693,566) - (693,566)
Net Cash (Used) by Noncapital Financing Activities (19,784) - (19,784)
CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES
Proceeds from the disposition of capital assets 1,406 - 1,406
Principal paid on capital debt (3,835) (127,722) (131,557)
Proceeds from refunding of long term debt - 67,871 67,871
Premium on sale of bonds - 14,002 14,002
Deferred Refunding costs on sale of bonds - (412) (412)
Interest paid on capital debt (2,877) (26,378) (29,255)
Acquisition and Construction of Capital Assets (111,000) - (111,000)
Net Cash (Used) by Capital and Related Financing Activities (116,306) (72,639) (188,945)
CASH FLOWS FROM INVESTING ACTIVITIES
Investment income - - -
Net Cash Provided (Used) by Investing Activities - - -
Net (decrease) in cash and cash equivalents - (257,111) (257,111)
Balances - Beginning of year - 790,189 790,189
Balances - End of year $ - $ 533,078 $ 533,078
Reconciliation of operating income (loss) to net cash
provided (used) by operating activities
Operating income (loss) $ 117,824 $ (334,988) $ (217,164)
Adjustments to reconcile operating income (loss)
to net cash provided (used) by operating activities:
Depreciation 26,519 128,251 154,770
Changes in assets and liabilities:
Accounts receivable, net - 11,015 11,015
Operating grants receivable - (10,820) (10,820)
Inventories and Prepaid Expenses (2,150) - (2,150)
Vendor accounts payable (8,619) 19,425 10,806
Compensated absences 1,369 (1,155) 214
OPEB - (1,804) (1,804)
Net Pension Liability 1,704 5,604 7,308
Deferred revenue collected in advance (557) - (557)
Net Cash Provided (Used) by Operating Activities $ 136,090 $ (184,472) $ (48,382)
Noncash investing, capital and financing activities:
Donation of capital assets (infrastructure) by developers $ - $ - $ -
-159-

FIDUCIARY FUNDS
Fiduciary funds account for assets held for others, in a trustee or agency capacity, which cannot be used to
support other government programs.
Pension and Other Employee Benefit Trust Funds account for resources that are required to be held in trust
for the members and beneficiaries of defined benefit pension plans, defined contribution plans, other post-
employment benefit plans, or other employee benefit plans. The County’s one Other Post-Employment
Benefit (OPEB) Trust Fund accounts for retiree benefit plans and is reported as part of the Basic Financial
Statements. Additional combining schedules for the OPEB Trust Fund are included in this section.
Custodial Funds account for assets held by the County on behalf of individuals, private organizations, or
other governments and/or funds. Additional combining schedules for the County’s Custodial Funds are
included in this section.
-160-

OTHER POST-EMPLOYMENT BENEFIT (OPEB) TRUST FUND
The County established a Trust entity, entitled “Other Post-Employment Benefit Trust – County
Commissioners of Queen Anne's County, County Commissioners of Kent County, and Participating
Agencies” (OPEB Trust), to accumulate resources and account for and report retiree benefit plans for the
participating agencies.
Participating agencies in the OPEB Trust Fund are as follows:
Queen Anne's County
Queen Anne's County Board of Education
Queen Anne’s County Library
Kent County
*The above Trust was closed out in fiscal year 2021. All of the County’s OPEB funding is now included in
the MACO Pooled OPEB Investment Trust Fund.
CUSTODIAL FUNDS
Custodial funds are as follows:
Tax Ditch – This fund accounts for special taxing district revenues that are used to maintain drainage
ditches located in parts of the County.
Zoning Deposits – This fund accounts for performance deposits required under various sections of the
Zoning Ordinance.
State and Town Tax Collections – This fund accounts for collections received by the County on behalf of
the State of Maryland and incorporated towns located within the County. These taxes are collected by the
County along with County taxes and are then remitted to the proper jurisdiction.
Motor Vehicle Administration Deposits – This fund accounts for funds collected by the County for State
vehicle registration fees.
Escheat – Abandoned Property – This fund accounts for stale-dated County payroll and disbursements
checks that are voided by the County and remitted to the State after three years as abandoned property. In
accordance with State statutes, these funds are available to be claimed by the original payee or they revert
to the State.
Inmate Welfare – This fund accounts for earnings or other funds deposited into an account established for
the inmates. Inmates can use these funds to make purchases at the commissary. Any remaining funds
belonging to an inmate is paid to them upon release.
-161-

QUEEN ANNE'S COUNTY, MARYLAND
COMBINING STATEMENT OF FIDUCIARY NET POSITION
OTHER POST-EMPLOYMENT BENEFIT TRUST FUND
JUNE 30, 2021
QUEEN ANNE'S TOTAL
QUEEN ANNE'S COUNTY QUEEN ANNE'S OPEB
COUNTY BOARD OF COUNTY TRUST
MACO TRUST EDUCATION LIBRARY FUND
ASSETS
Cash and Cash Equivalents $ 7 00,075 $ - $ - $ 7 00,075
Investments, at Fair Value
Debt Securities 3 ,606,810 - - 3 ,606,810
Fixed Income Fund 6 21,106 - - 6 21,106
Mutual and Global Funds 6 ,407,848 - - 6 ,407,848
International 1 ,845,276 - - 1 ,845,276
Total Investments 1 2,481,040 - - 1 2,481,040
Total Assets 1 3,181,115 - - 1 3,181,115
LIABILITIES
Accounts Payable and other Liabilities 1 2,420 - - 1 2,420
Total Liabilities 1 2,420 - - 1 2,420
NET POSITION RESTRICTED FOR
OTHER POST-EMPLOYMENT BENEFITS $ 1 3,168,695 $ - $ - $ 1 3,168,695
-162-

QUEEN ANNE'S COUNTY, MARYLAND
COMBINING STATEMENT OF CHANGES IN FIDUCIARY NET POSITION
OTHER POST-EMPLOYMENT BENEFIT TRUST FUND
FOR THE YEAR ENDED JUNE 30, 2021
QUEEN ANNE'S TOTAL
QUEEN ANNE'S COUNTY QUEEN ANNE'S OPEB
COUNTY BOARD OF COUNTY TRUST
MACO TRUST EDUCATION LIBRARY FUND
ADDITIONS
Contributions
Employers $ 3,612,555 $ - $ - $ 3 ,612,555
Members 384,264 - - 3 84,264
Total Contributions 3,996,819 - - 3 ,996,819
Investment Earnings
Net Increase in the Fair Value of Investments 1,885,733 - - 1 ,885,733
Interest 430,248 2 71 1 6 4 30,535
Total Investment Earnings 2,315,981 2 71 1 6 2 ,316,268
Less Investment Expenses 5,652 - - 5 ,652
Net Investment Gain 2,310,329 2 71 1 6 2 ,310,616
Total Additions 6,307,148 2 71 1 6 6 ,307,435
DEDUCTIONS
Claims Paid 2,054,359 - - 2 ,054,359
Administrative Expenses 41,582 - - 4 1,582
Withdrawal of Funds to Separate Trust - 5 22,079 3 1,325 5 53,404
Total Deductions 2,095,941 5 22,079 3 1,325 2 ,649,345
Net Increase (Decrease) in Fiduciary Net Position 4,211,207 ( 521,808) ( 31,309) 3 ,658,090
NET POSITION RESTRICTED FOR OTHER POST-EMPLOYMENT BENEFITS
Net Position - Beginning of Year 8,957,488 521,808 31,309 9 ,510,605
Net Position - End of Year $ 13,168,695 $ - $ - $ 1 3,168,695
-163-

QUEEN ANNE'S COUNTY, MARYLAND
STATEMENT OF FIDUCIARY NET POSITION
CUSTODIAL FUNDS
JUNE 30, 2021
STATE MOTOR
TAX & TOWN VEHICLE ESCHEAT - TOTAL
DITCH ZONING TAX ADMIN ABANDONED INMATE CUSTODIAL
FUND DEPOSITS COLLECTIONS DEPOSITS PROPERTY WELFARE FUNDS
ASSETS
Cash and Cash Equivalents $ 1 74,706 $ 6 27,130 $ 37,945 $ - $ - $ 4 1,040 $ 8 80,821
Total Assets $ 1 74,706 $ 6 27,130 $ 37,945 $ - $ - $ 4 1,040 $ 8 80,821
LIABILITIES
Due to Other Governments $ - $ - $ 37,945 $ - $ - $ - $ 3 7,945
Total Liabilities $ - $ - $ 37,945 $ - $ - $ - $ 3 7,945
NET POSITION
Restricted for:
Individuals, Organizations, and
other Governments $ 1 74,706 $ 6 27,130 $ - $ - $ - $ 4 1,040 $ 8 42,876
-164-

QUEEN ANNE'S COUNTY, MARYLAND
STATEMENT OF CHANGES IN FIDUCIARY NET POSITION
CUSTODIAL FUNDS
FOR THE YEAR ENDED JUNE 30, 2021
STATE MOTOR
TAX & TOWN VEHICLE ESCHEAT - TOTAL
DITCH ZONING TAX ADMIN ABANDONED INMATE CUSTODIAL
FUND DEPOSITS COLLECTIONS DEPOSITS PROPERTY WELFARE FUNDS
ADDITIONS
Tax Collections for Other Governments $ - $ - $ 1 3,936,739 $ - $ - $ - $ 1 3,936,739
Zoning Deposits - 214,928 - - - - 214,928
Motor Vehicle Administration - - - 1 92,583 - - 192,583
Inmate Welfare - - - - - 2 08,288 208,288
Tax Ditch 23,447 - - - - - 23,447
Total Additions 23,447 214,928 1 3,936,739 1 92,583 - 2 08,288 14,575,985
DEDUCTIONS
Payments of Tax to Other Governments - - 1 3,936,739 - - - 1 3,936,739
Payments of Escheat to Other Governments - - - - 3 ,677 - 3,677
Payments of Escheat to Others - - - - 1 1,601 - 11,601
Refund of Zoning Deposits - 30,031 - - - - 30,031
Payments to Motor Vehicle Administration - - - 1 92,583 - - 192,583
Distribution of Inmate Welfare Funds - - - - - 1 92,784 192,784
Distribution of Tax Ditch Funds 15,508 - - - - - 15,508
Total Deductions 15,508 30,031 1 3,936,739 1 92,583 1 5,278 1 92,784 14,382,923
Net increase (decrease) in Fiduciary Net Position 7 ,939 184,897 - - ( 15,278) 1 5,504 193,062
Net Position-Beginning of Year, as restated 166,767 442,233 - - 1 5,278 2 5,536 649,814
Net Position-End of Year $ 174,706 $ 627,130 $ - $ - $ - $ 4 1,040 $ 8 42,876
-165-

Community Partnerships for Children
Community Partnerships for Children is reported as a Non-Major Special Revenue Fund in the County’s
financial statements. In lieu of preparing separate audited financial statements for the Partnership,
additional schedules have been added to the County’s financial statements to meet requirements of the
Partnership’s grantor agencies.
-166-

QUEEN ANNE'S COUNTY
COMMUNITY PARTNERSHIPS FOR CHILDREN SPECIAL REVENUE FUND
COMBINING BALANCE SHEETS
BY GRANTOR
JUNE 30, 2021 (with Summarized Totals as of June 30, 2020)
Fed/State Total Returned 2020
GOCCP Community Reinvestment 2021 Summarized
Admin GOC Partnerships Fund Total Total
ASSETS
Cash and cash equivalents $ 102,526 $ 358,462 $ 460,988 $ 9,392 $ 470,380 $ 443,814
Accounts receivable - 1,745 1,745 - 1,745 1,718
Due from State governmental agencies - 79,724 79,724 - 79,724 163,720
Due from Federal governmental agencies - 2,676 2,676 - 2,676 9,501
Total Assets $ 102,526 $ 442,607 $ 545,133 $ 9,392 $ 554,525 $ 618,753
LIABILITIES AND FUND BALANCES
LIABILITIES
Accounts payable and accrued expenditures $ 8,045 $ 140,431 $ 148,476 $ - $ 148,476 $ 178,458
Due to State governmental agencies 40,371 300,350 340,721 - 340,721 375,009
Total Liabilities 48,416 440,781 489,197 - 489,197 553,467
FUND BALANCES
Assigned 54,110 1,826 55,936 9,392 65,328 65,286
Total Fund Balances 54,110 1,826 55,936 9,392 65,328 65,286
Total Liabilities and Fund Balances $ 102,526 $ 442,607 $ 545,133 $ 9,392 $ 554,525 $ 618,753
-167-

QUEEN ANNE'S COUNTY
COMMUNITY PARTNERSHIPS FOR CHILDREN SPECIAL REVENUE FUND
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
BY COMMUNITY PARTNERSHIP AGREEMENTS (CPA) and NON-COMMUNITY PARTNERSHIP AGREEMENTS (NON-CPA)
FOR THE YEAR ENDED JUNE 30, 2021 (with Summarized Totals for the Year Ended June 30, 2020)
Federal/State GOCCP/GOC
Healthy MD
CASA Local Transportation Fam/Home Family After School
Administrative Start Care Team Voucher Visiting Navigators Opportunity
REVENUES
CPA
Intergovernmental
GOC $ 49,374 $ 60,318 $ 2 5,000 $ 26,028 $ 70,041 $ 42,803 $ -
Subtotal CPA 49,374 60,318 2 5,000 26,028 70,041 42,803 -
Non-CPA
Intergovernmental
Federal GOCCP Youth Strategies - - - - - - -
GOC - non-CPA - - - - - - -
Other State Grant Funding - - - - 296,372 - -
Investment Income - - - - - - -
Miscellaneous - - - - - - -
Subtotal Non-CPA - - - - 296,372 - -
Total Revenues 49,374 60,318 2 5,000 26,028 366,413 42,803 -
EXPENDITURES
CPA
Program Contracted Services - - - - - 35,550 -
Other Expenditures
Salaries 45,737 - 2 1,387 12,270 - - -
Fringe Benefit Costs 3,637 - 3 ,613 47 - - -
Auditing - 1,528 - - - 500 -
Consultants - - - - - - -
Professional Groups - - - - - - -
Equipment Rental - - - - - - -
Postage - - - - 5 - -
Office Supplies - 753 - - 763 543 -
Program Supplies - 1,303 - 13,711 15,980 1,529 -
Printing and Publishing - - - - - - -
Repairs and Equipment - - - - 63 1,800 -
Business Travel - 670 - - - 370 -
Subscriptions and Dues - - - - 197 - -
Meetings & Conferences - 3,777 - - - 315 -
Training - 1,380 - - - - -
Advertising - - - - 35 - -
Marketing/Promotions - - - - - - -
Communications - 432 - - 1,313 996 -
Rent - - - - - 1,200 -
Equipment - - - - - - -
Other Charges - 50,475 - - 51,685 - -
Subtotal CPA Expenditures 49,374 60,318 2 5,000 26,028 70,041 42,803 -
Non-CPA
Program Contracted Services - - - - 296,371 - -
Other Expenditures
Salaries 75,156 - 9 86 1,396 - - -
Fringe Benefit Costs 44,604 - - 2,954 - - -
Auditing - - - - - - -
Consultants 11,750 - - - - - -
Equipment Rental 2,135 - - - - - -
Postage 459 - - - - - -
Office Supplies 1,136 - - - - - -
Program Supplies 11,677 - - - - - -
Equipment Operation - - - - - - -
Business Travel - - - - - - -
Subscriptions and Dues 423 - - - - - -
Meetings & Conferences - - - - - - -
Training 1,235 - - - - - -
Board's Expenditures 7,444 - - - - - -
Advertising 375 - - - - - -
Marketing/Promotions - - - - - - -
Communications 150 - - - - - -
Rent - - - - - - -
Other Charges 11,139 - - - - - 212,647
Subtotal Non-CPA Expenditures 167,683 - 9 86 4,350 296,371 - 212,647
Total Expenditures 217,057 60,318 2 5,986 30,378 366,412 42,803 212,647
Excess of Revenues Over (Under) Expenditures (167,683) - (986) (4,350) 1 - (212,647)
OTHER FINANCING SOURCES
Transfers In for:
Program Contracted Services 167,683 - 9 86 4,350 - - 212,647
Net Increase in Fund Balances $ - $ - $ - $ - $ 1 $ - $ -
Fund Balances, July 1
Fund Balances, June 30
-168-

QUEEN ANNE'S COUNTY
COMMUNITY PARTNERSHIPS FOR CHILDREN SPECIAL REVENUE FUND
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
BY COMMUNITY PARTNERSHIP AGREEMENTS (CPA) and NON-COMMUNITY PARTNERSHIP AGREEMENTS (NON-CPA)
FOR THE YEAR ENDED JUNE 30, 2021 (with Summarized Totals for the Year Ended June 30, 2020)
(CONTINUED)
Federal/State GOCCP/GOC State Federal
GOCCP/GOC State GOC GOCCP GOCCP
Community Character Operating Fund All Programs CPA Non-CPA Non-CPA Youth
Mentoring Counts Total Subtotal Subtotal Subtotal Subtotal Strategies
$ 33,859 $ - $ 258,049 $ 307,423 $ 307,423 $ - $ - $ -
33,859 - 258,049 307,423 307,423 - - -
5,502 - 5,502 5,502 - - - 5 ,502
- - - - - - - -
- - 296,372 296,372 - - - -
- - - - - - - -
- 10,052 10,052 10,052 - - - -
5,502 10,052 311,926 311,926 - - - 5 ,502
39,361 10,052 569,975 619,349 307,423 - - 5 ,502
- - 35,550 35,550 35,550 - - -
25,360 - 59,017 104,754 104,754 - - -
3,000 - 6,660 10,297 10,297 - - -
- - 2,028 2,028 2,028 - - -
- - - - - - - -
- - - - - - - -
375 - 375 375 375 - - -
- - 5 5 5 - - -
472 - 2,531 2,531 2,531 - - -
973 - 33,496 33,496 33,496 - - -
- - - - - - - -
252 - 2,115 2,115 2,115 - - -
- - 1,040 1,040 1,040 - - -
- - 197 197 197 - - -
450 - 4,542 4,542 4,542 - - -
- - 1,380 1,380 1,380 - - -
- - 35 35 35 - - -
- - - - - - - -
120 - 2,861 2,861 2,861 - - -
- - 1,200 1,200 1,200 - - -
- - - - - - - -
2,857 - 105,017 105,017 105,017 - - -
33,859 - 258,049 307,423 307,423 - - -
2,144 - 298,515 298,515 - - - -
7,457 18,394 28,233 103,389 - - - -
2,936 1,460 7,350 51,954 - - - -
- - - - - - - -
- - - 11,750 - - - -
- - - 2,135 - - - -
- - - 459 - - - -
- - - 1,136 - - - -
350 - 350 12,027 - - - 3 50
- 48 48 48 - - - -
- - - - - - - -
- - - 423 - - - -
- - - - - - - -
- - - 1,235 - - - -
- - - 7,444 - - - -
- 125 125 500 - - - -
- 1,274 1,274 1,274 - - - -
602 - 602 752 - - - 6 02
4,550 - 4,550 4,550 - - - 4 ,550
- - 212,647 223,786 - - - -
18,039 21,301 553,694 721,377 - - - 5 ,502
51,898 21,301 811,743 1,028,800 307,423 - - 5 ,502
(12,537) (11,249) (241,768) (409,451) - - - -
- - - -
12,537 11,249 241,769 409,452 - - - -
$ - $ - $ 1 1 - - - -
55,936 606,662 (5,612) 3,491 (25,474)
$ 55,937 $ 606,662 $ (5,612) $ 3,491 $ (25,474)
CONTINUED
-169-

QUEEN ANNE'S COUNTY
COMMUNITY PARTNERSHIPS FOR CHILDREN SPECIAL REVENUE FUND
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
BY COMMUNITY PARTNERSHIP AGREEMENTS (CPA) and NON-COMMUNITY PARTNERSHIP AGREEMENTS (NON-CPA)
FOR THE YEAR ENDED JUNE 30, 2021 (with Summarized Totals for the Year Ended June 30, 2020)
(CONTINUED)
Total
Other Community Returned 2020
Non-CPA Partnerships Reinvestment 2021 Summarized
State Grants Other Operating Funds Fund Total Total
REVENUES
CPA
Intergovernmental
GOC $ - $ - $ 307,423 $ - $ 307,423 $ 3 45,230
Subtotal CPA - - 307,423 - 307,423 3 45,230
Non-CPA
Intergovernmental
Federal GOCCP Youth Strategies - - 5,502 - 5,502 3 2,387
GOC - non-CPA - - - - - 2 5,008
Other State Grant Funding 296,372 - 296,372 - 296,372 2 96,372
Investment Income - - - 41 41 6 94
Miscellaneous - 1 0,052 10,052 - 10,052 1 9,340
Subtotal Non-CPA 296,372 1 0,052 311,926 41 311,967 3 73,801
Total Revenues 296,372 1 0,052 619,349 41 619,390 7 19,031
EXPENDITURES
CPA
Program Contracted Services - - 35,550 - 35,550 7 0,104
Other Expenditures
Salaries - - 104,754 - 104,754 1 06,634
Fringe Benefit Costs - - 10,297 - 10,297 1 1,488
Auditing - - 2,028 - 2,028 3 ,047
Consultants - - - - - 1 ,702
Professional Groups - - - - - 3 ,383
Equipment Rental - - 375 - 375 3 75
Postage - - 5 - 5 2 20
Office Supplies - - 2,531 - 2,531 4 ,256
Program Supplies - - 33,496 - 33,496 2 2,304
Printing and Publishing - - - - - 1 57
Repairs and Equipment 2,115 - 2,115 2 ,017
Business Travel - - 1,040 - 1,040 1 ,962
Subscriptions and Dues 197 - 197 -
Meetings & Conferences - - 4,542 - 4,542 4 ,743
Training - - 1,380 - 1,380 6 ,051
Advertising - - 35 - 35 7 51
Marketing/Promotions - - - - - 2 ,494
Communications - - 2,861 - 2,861 2 ,579
Rent - - 1,200 - 1,200 1 ,200
Equipment - - - - - 3 72
Other Charges - - 105,017 - 105,017 9 9,391
Subtotal CPA Expenditures - - 307,423 - 307,423 3 45,230
Non-CPA
Program Contracted Services 296,371 2 ,144 298,515 - 298,515 3 33,023
Other Expenditures
Salaries - 1 03,389 103,389 - 103,389 9 9,181
Fringe Benefit Costs - 5 1,954 51,954 - 51,954 4 7,768
Auditing - - - - - 2 ,988
Consultants - 1 1,750 11,750 - 11,750 9 ,500
Equipment Rental - 2 ,135 2,135 - 2,135 2 ,770
Postage - 4 59 459 - 459 8 00
Office Supplies - 1 ,136 1,136 - 1,136 2 ,339
Program Supplies - 1 1,677 12,027 - 12,027 1 1,439
Equipment Operation - 4 8 48 - 48 -
Business Travel - - - - - 1 54
Subscriptions and Dues - 4 23 423 - 423 9 99
Meetings & Conferences - - - - - 1 0,590
Training - 1 ,235 1,235 - 1,235 1 ,484
Board's Expenditures - 7 ,444 7,444 - 7,444 9 ,996
Advertising - 5 00 500 - 500 7 53
Marketing/Promotions - 1 ,274 1,274 - 1,274 -
Communications - 1 50 752 - 752 1 ,881
Rent - - 4,550 - 4,550 -
Other Charges - 2 23,786 223,786 - 223,786 2 33,655
Subtotal Non-CPA Expenditures 296,371 4 19,504 721,377 - 721,377 7 69,320
Total Expenditures 296,371 4 19,504 1,028,800 - 1,028,800 1 ,114,550
Excess of Revenues Over (Under) Expenditures 1 (409,452) (409,451) 41 (409,410) (395,519)
OTHER FINANCING SOURCES
Transfers In for:
Program Contracted Services - 4 09,452 409,452 - 409,452 3 96,213
Net Increase in Fund Balances 1 - 1 41 42 6 94
Fund Balances, July 1 - (523,131) 55,936 9,350 65,286 6 4,592
Fund Balances, June 30 $ 1 $ (523,131) $ 55,937 $ 9,391 $ 65,328 $ 6 5,286
-170-

QUEEN ANNE'S COUNTY
COMMUNITY PARTNERSHIPS FOR CHILDREN SPECIAL REVENUE FUND
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES - BUDGETARY BASIS
FOR THE YEAR ENDED JUNE 30, 2021
COMMUNITY PARTNERSHIPS FOR CHILDREN RETURNED REINVESTMENT FUND
Variance with Variance with
Final Budget Final Budget
Original Final Positive Original Final Positive
Budget Budget Actual (Negative) Budget Budget Actual (Negative)
REVENUES
Intergovernmental
GOC - CPA and Non-CPA $ 360,286 $ 341,552 $ 307,423 $ (34,129) $ - $ - $ - $ -
Federal GOCCP Youth Strategies - - 5,502 5,502 - - - -
Other 296,372 296,372 296,372 - - - - -
Investment Income - - - - - - 41 4 1
Miscellaneous 11,000 11,000 10,052 ( 948) - - - -
Total Revenues 667,658 648,924 619,349 (29,575) - - 41 4 1
EXPENDITURES
Program Contracted Services 364,824 329,928 334,065 ( 4,137) - - - -
Other Expenditures
Salaries 203,695 209,695 208,143 1,552 - - - -
Fringe Benefit Costs 60,857 60,857 62,251 ( 1,394) - - - -
Auditing 6,886 4,467 2,028 2,439 - - - -
Consultants 16,304 10,000 11,750 ( 1,750) - - - -
Professional Groups 500 - - - - - - -
Equipment Rental 3,627 3,627 2,510 1,117 - - - -
Postage 760 6 10 4 64 146 - - - -
Office Supplies 4,752 5,241 3,667 1,574 - - - -
Program Supplies 19,229 35,988 45,523 ( 9,535) - - - -
Repairs and Equipment 1,975 1,975 2,115 ( 140) - - - -
Printing and Publishing 1,155 3 50 - 350 - - - -
Equipment Operation 120 - 4 8 (48) - - - -
Business Travel 4,749 5,226 1,040 4,186 - - - -
Subscriptions and Dues - 8 73 6 20 253 - - - -
Meetings & Conferences 5,814 9,215 4,542 4,673 - - - -
Training 6,699 7,601 2,615 4,986 - - - -
Board's Expenditures 6,500 6,500 7,444 ( 944) - - - -
Advertising 1,650 9 00 5 35 365 - - - -
Marketing/Promotions 2,895 2,895 1,274 1,621 - - - -
Communications 3,984 4,621 3,613 1,008 - - - -
Rent 1,400 8,225 5,750 2,475 - - - -
Other Charges 381,328 372,175 328,803 43,372 - - - -
Total Expenditures 1,099,703 1,080,969 1,028,800 52,169 - - - -
Excess of Revenues Over (Under)
Expenditures ( 432,045) (432,045) (409,451) 22,594 - - 41 4 1
OTHER FINANCING SOURCES
Transfers In for:
Program Contracted Services 432,045 432,045 409,452 (22,593) - - - -
Net Increase in Fund Balances $ - $ - 1 $ 1 $ - $ - 41 $ 4 1
Fund Balances, July 1 55,936 9,350
Fund Balances, June 30 $ 55,937 $ 9,391
-172-

QUEEN ANNE'S COUNTY
COMMUNITY PARTNERSHIPS FOR CHILDREN SPECIAL REVENUE FUND
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES - BUDGETARY BASIS
FOR THE YEAR ENDED JUNE 30, 2021
(CONTINUED)
TOTAL
Variance with
Final Budget
Original Final Positive
Budget Budget Actual (Negative)
$ 3 60,286 $ 341,552 $ 307,423 $ (34,129)
- - 5,502 5,502
296,372 2 96,372 296,372 -
- - 41 41
11,000 1 1,000 10,052 ( 948)
667,658 6 48,924 619,390 (29,534)
364,824 3 29,928 334,065 ( 4,137)
203,695 2 09,695 208,143 1,552
60,857 6 0,857 62,251 ( 1,394)
6,886 4,467 2,028 2,439
16,304 1 0,000 11,750 ( 1,750)
500 - - -
3,627 3,627 2,510 1,117
760 610 4 64 146
4,752 5,241 3,667 1,574
19,229 3 5,988 45,523 ( 9,535)
1,975 1,975 2,115 (140)
1,155 350 - 350
120 - 48 (48)
4,749 5,226 1,040 4,186
- 873 6 20 253
5,814 9,215 4,542 4,673
6,699 7,601 2,615 4,986
6,500 6,500 7,444 ( 944)
1,650 900 5 35 365
2,895 2,895 1,274 1,621
3,984 4,621 3,613 1,008
1,400 8,225 5,750 2,475
381,328 3 72,175 328,803 43,372
1 ,099,703 1,080,969 1,028,800 52,169
(432,045) (432,045) (409,410) 22,635
432,045 4 32,045 409,452 (22,593)
$ - $ - 4 2 $ 42
65,286
$ 65,328
-173-

STATISTICAL SECTION
The Statistical Section, which fully incorporates information mandated by Governmental Accounting
Standards Board (GASB) Statement No. 44, Economic Condition Reporting: The Statistical Section,
presents detailed information for the primary government in the following areas, as a context for
understanding what the information in the Financial Section says about the County’s overall financial
health:
FINANCIAL TRENDS – Information to help the reader understand how the County’s financial
performance and well-being have changed over time.
REVENUE CAPACITY – Information to help the reader assess the County’s most significant
local revenue sources – the property tax and income tax.
DEBT CAPACITY – Information to help the reader assess the affordability of the County’s
current levels of outstanding debt and the County’s ability to issue additional debt in the future.
DEMOGRAPHIC AND ECONOMIC INFORMATION – Indicators to help the reader
understand the environment within which the County’s financial activities take place.
OPERATING INFORMATION – Service and infrastructure data to help the reader understand
how the information in the County’s financial report relates to the services the County provides
and the activities it performs.
Many of these tables cover more than two fiscal years and present data from outside the accounting
records. Therefore, the Statistical Section is unaudited.
-175-

QUEEN ANNE'S COUNTY, MARYLAND
FINANCIAL TRENDS
NET POSITION BY COMPONENT - GOVERNMENT-WIDE
(GOVERNMENTAL AND BUSINESS-TYPE ACTIVITIES)
LAST TEN FISCAL YEARS
Table 1
2012 2013 2014 2015 2016
Governmental Activities:
Net Investment in Capital Assets $ 118,564,684 $ 121,246,426 $ 127,369,959 $ 125,434,538 $ 123,466,319
Restricted 5,982,041 15,691,080 17,616,132 2 0,464,486 21,063,295
Unrestricted (deficit) (1) (44,686,543) (66,089,615) ( 71,169,310) (73,475,567) (78,567,505)
Total Governmental Activities Net Position 79,860,182 (2) 70,847,891 (3) 73,816,781 (4) 7 2,423,457 65,962,109
Business-type Activities:
Net Investment in Capital Assets 76,763,695 78,693,078 79,783,160 8 0,787,152 80,909,015
Restricted 3,513,948 3,176,328 3,110,033 3,061,534 1,699,914
Unrestricted 12,591,302 11,031,281 8,721,212 8,486,063 10,240,161
Total Business-type Activities Net Position 92,868,945 (2) 92,900,687 91,614,405 (4) 9 2,334,749 92,849,090
Primary Government:
Net Investment in Capital Assets 195,328,379 199,939,504 207,153,119 2 06,221,690 204,375,334
Restricted 9,495,989 18,867,408 20,726,165 2 3,526,020 22,763,209
Unrestricted (deficit) (1) (32,095,241) (55,058,334) ( 62,448,098) (64,989,504) (68,327,344)
Total Primary Government Net Position $ 172,729,127 (2) $ 163,748,578 (3) $ 165,431,186 (4) $ 164,758,206 $ 158,811,199
NOTES:
* Government-wide net position information is reported on the accrual basis of accounting.
* Accounting standards require that net position be reported in three components in the financial
statements: net investment in capital assets, restricted; and unrestricted. Net
position is considered restricted when (1) an external party, such as the state or federal
government, places a restriction on how the resources may be used, or (2) enabling
legislation is enacted by the County.
* Source: Statement of Net Position
(1) In the government-wide financial statements, the County has reported negative unrestricted amounts for some years.
This is due to the fact that the County issues general obligation bonded debt for purposes of capital construction on
behalf of the Queen Anne's County Board of Education. Absent the effect of this relationship, the County would
have reported the following:
Government-wide unrestricted (deficit) net position would have been:
Unrestricted (deficit) net position reported above $ (32,095,241) $ (55,058,334) $ (62,448,098) $ (64,989,504) $ (68,327,344)
Debt issued for capital on behalf of others 68,278,842 63,283,726 67,651,486 6 6,219,608 63,271,304
County (deficit) net position absent the effect of this relationship $ 36,183,601 $ 8,225,392 $ 5,203,388 $ 1,230,104 $ (5,056,040)
(2) In fiscal year 2013, the County consolidated two Enterprise funds into the General Fund. This consolidation resulted in a total net position change of $539,220 between Governmental Activities
and Business-type Activities. The FY2012 Net Position has been reclassified to show this change.
(3) FY2013 Net Position of Governmental Activities was restated in fiscal year 2014.
(4) FY2014 Net Position of Governmental and Business-Type Activities was restated in fiscal year 2015.
-176-

QUEEN ANNE'S COUNTY, MARYLAND
FINANCIAL TRENDS
NET POSITION BY COMPONENT - GOVERNMENT-WIDE
(GOVERNMENTAL AND BUSINESS-TYPE ACTIVITIES)
LAST TEN FISCAL YEARS
Table 1
(CONTINUED)
2017 2018 2019 2020 2021
$ 120,249,244 $ 114,794,226 $ 115,143,089 $ 114,252,313 $ 116,220,059
13,094,534 13,275,244 18,962,289 19,844,181 20,883,128
(67,189,342) (58,025,753) (61,637,321) (48,809,467) (20,071,163)
66,154,436 70,043,717 72,468,057 85,287,027 117,032,024
86,163,078 84,386,291 85,916,730 86,939,502 88,635,207
1,700,836 1,060,134 2,234,440 2,037,318 6,322,353
4,116,300 7,458,996 10,087,649 16,587,060 19,018,596
91,980,214 92,905,421 98,238,819 105,563,880 113,976,156
206,412,322 199,180,517 201,059,819 201,191,815 204,855,266
14,795,370 14,335,378 21,196,729 21,881,499 27,205,481
(63,073,042) (50,566,757) (51,549,672) (32,222,407) (1,052,567)
$ 158,134,650 $ 162,949,138 $ 170,706,876 $ 190,850,907 $ 231,008,180
$ (63,073,042) $ (50,566,757) $ (51,549,672) $ (32,222,407) $ (1,052,567)
59,207,136 58,625,356 58,007,072 55,846,036 56,855,185
$ (3,865,906) $ 8,058,599 $ 6,457,400 $ 23,623,629 $ 55,802,618
-177-

QUEEN ANNE'S COUNTY, MARYLAND
FINANCIAL TRENDS
CHANGES IN NET POSITION - GOVERNMENT-WIDE (GOVERNMENTAL AND BUSINESS-TYPE ACTIVITIES)
LAST TEN FISCAL YEARS
Table 2-a
2012 2013 2014 2015 2016
Expenses
Governmental Activities:
General Government $ 13,421,531 $ 13,639,728 $ 14,133,149 $ 10,849,277 $ 13,936,312
Public Safety 2 5,469,721 2 6,174,144 2 6,666,211 25,297,450 27,525,712
Public Works 1 0,373,286 1 1,891,013 1 2,365,647 14,363,603 19,522,534
Parks & Recreation (3) - - - - -
Health 1,642,723 1 ,812,920 2 ,083,201 1,856,158 2,032,657
Social Services 4,526,166 5 ,560,196 5 ,040,139 4,775,440 5,300,871
Education 5 3,693,309 4 9,459,783 5 4,882,430 65,633,331 60,752,025
Library 1,302,163 1 ,304,076 1 ,336,098 1,458,348 1,622,848
Conservation of Natural Resources 2,802,337 838,775 2 ,395,762 587,147 1,799,234
Economic/Community Development 887,837 1 ,108,912 1 ,528,035 1,763,024 3,391,547
Interest and Fiscal Charges 4,196,072 4 ,042,236 3 ,987,943 4,039,622 4,345,527
Total Governmental Activities Expenses 118,315,145 115,831,783 124,418,615 130,623,400 140,229,267
Business-type Activities:
Water and Sewer 1 0,711,211 1 1,783,515 1 1,059,306 10,412,432 10,615,466
Golf Course (4) 2 ,269,933 538,420 515,325 496,065 505,085
Public Landings and Marinas (5) 110,884 535,837 544,945 537,823 529,943
Airport 1,457,087 913,845 807,226 1,014,491 966,896
Total Business-type Activities Expenses 1 4,549,115 1 3,771,617 1 2,926,802 12,460,811 12,617,390
Total Primary Government Expenses 132,864,260 129,603,400 137,345,417 143,084,211 152,846,657
Program Revenues
Governmental Activities:
General Government
Charges for Services 1 ,081,808 1 ,272,807 1 ,500,273 1,505,857 1,565,170
Operating Grants and Contributions 742,205 697,712 606,649 644,297 582,571
Capital Grants and Contributions 116,710 135,032 589,988 9 6,684 (30,000)
Total Revenue 1,940,723 2 ,105,551 2 ,696,910 2,246,838 2,117,741
Public Safety
Charges for Services 1 ,320,647 1 ,387,591 1 ,286,945 1,244,752 1,354,350
Operating Grants and Contributions 1,113,018 1 ,328,493 1 ,081,577 1,052,666 1,088,597
Capital Grants and Contributions 191,223 249,594 282,139 119,118 175,653
Total Revenue 2,624,888 2 ,965,678 2 ,650,661 2,416,536 2,618,600
Public Works
Charges for Services 1,107,426 1 ,636,604 1 ,425,012 1,275,538 1,337,358
Operating Grants and Contributions 488,027 624,653 712,550 527,538 1,029,019
Capital Grants and Contributions 541,887 1 ,687,783 2 ,221,299 8 0,000 108,880
Total Revenue 2,137,340 3 ,949,040 4 ,358,861 1,883,076 2,475,257
Parks & Recreation (3)
Charges for Services - - - - -
Operating Grants and Contributions - - - - -
Capital Grants and Contributions - - - - -
Total Revenue - - - - -
Social Services
Charges for Services 71,655 71,973 65,537 6 8,187 7 6,404
Operating Grants and Contributions 2,076,096 2 ,613,905 2 ,026,675 2,056,111 1,834,000
Capital Grants and Contributions 18,691 51,023 67,392 4 0,527 140,400
Total Revenue 2,166,442 2 ,736,901 2 ,159,604 2,164,825 2,050,804
Education
Charges for Services 1 ,169,425 1 ,052,691 1 ,721,379 1,249,332 1,230,994
Operating Grants and Contributions - - - - -
Capital Grants and Contributions - - - - -
Total Revenue 1,169,425 1 ,052,691 1 ,721,379 1,249,332 1,230,994
Library
Charges for Services - - - - -
Operating Grants and Contributions - - - - -
Capital Grants and Contributions - - - - -
Total Revenue - - - - -
Conservation of Natural Resources
Charges for Services 98,593 63,105 73,279 7 2,688 7 0,708
Operating Grants and Contributions 36,872 400,193 103,892 9 6,195 6 8,152
Capital Grants and Contributions 998,757 - 75,820 3 ,637 573,003
Total Revenue 1,134,222 463,298 252,991 172,520 711,863
Economic/Community Development
Charges for Services 159,492 234,100 508,000 8 0,558 311,000
Operating Grants and Contributions 245,143 176,216 255,100 285,344 156,804
Capital Grants and Contributions 81,867 575,440 (69,569) - -
Total Revenue 486,502 985,756 693,531 365,902 467,804
Total Governmental Activities Program Revenues 1 1,659,542 1 4,258,915 1 4,533,937 10,499,029 11,673,063
-178-

QUEEN ANNE'S COUNTY, MARYLAND
FINANCIAL TRENDS
CHANGES IN NET POSITION - GOVERNMENT-WIDE (GOVERNMENTAL AND BUSINESS-TYPE ACTIVITIES)
LAST TEN FISCAL YEARS
Table 2-a
(CONTINUED)
2017 2018 2019 2020 2021
$ 13,177,254 $ 15,833,152 $ 16,493,064 $ 17,299,695 $ 21,447,303
27,997,262 27,130,890 31,231,182 31,445,313 33,376,832
20,753,117 17,665,141 19,118,090 15,045,105 13,898,271
- - - 7,780,241 6,051,585
2,006,219 1,996,939 1,865,300 2,176,263 2,412,059
5,418,152 5,152,409 5,804,131 4,940,431 4,557,075
59,211,517 62,296,920 62,579,905 66,848,496 66,649,935
1,710,668 1,785,580 1,858,711 1,916,365 1,982,798
616,237 2,567,600 2,696,971 1,423,080 3,621,749
1,860,222 2,477,129 1,808,000 2,281,480 5,262,207
4,150,101 4,294,929 4,712,864 4,391,332 4,330,706
136,900,749 141,200,689 148,168,218 155,547,801 163,590,520
11,818,087 12,297,109 11,232,955 11,602,537 12,157,175
540,504 509,150 584,718 541,335 523,435
572,360 534,966 1,342,308 683,738 1,104,170
1,053,899 1,077,168 1,434,031 968,205 940,188
13,984,850 14,418,393 14,594,012 13,795,815 14,724,968
150,885,599 155,619,082 162,762,230 169,343,616 178,315,488
1,552,164 1,669,311 1,769,520 1,509,985 2,027,823
563,016 660,790 716,683 428,812 2,686,609
- 1,080,084 480,500 520,277 1,056,963
2,115,180 3,410,185 2,966,703 2,459,074 5,771,395
1,350,626 1,505,267 1,415,187 1,379,621 1,772,824
1,037,879 1,294,733 1,161,505 1,697,018 3,603,339
5 ,406 166,001 176,970 112,845 1,379,718
2,393,911 2,966,001 2,753,662 3,189,484 6,755,881
1,472,664 1,779,206 1,784,040 817,088 1,083,030
980,075 822,659 1,155,251 1,233,626 1,494,842
161,084 282,028 1,353,948 4 5,640 -
2,613,823 2,883,893 4,293,239 2,096,354 2,577,872
- - - 822,605 1,058,579
- - - 3 7,060 216,861
- - - 2,237,549 343,301
- - - 3,097,214 1,618,741
7 3,066 7 1,131 9 1,183 7 2,840 3 7,025
1,893,648 2,018,289 2,120,065 2,273,959 2,381,707
5 8,500 5 8,500 175,960 362,900 157,905
2,025,214 2,147,920 2,387,208 2,709,699 2,576,637
1,319,433 1,272,301 1,318,609 1,593,200 3,383,580
- - - - -
- - - - -
1,319,433 1,272,301 1,318,609 1,593,200 3,383,580
- - - - -
- - - - -
- - 4 3,059 107,575 973,747
- - 4 3,059 107,575 973,747
6 0,826 110,655 126,940 136,458 163,971
186,333 131,321 9 4,814 117,820 111,443
- 1,439,284 2,118,200 831,901 1,612,662
247,159 1,681,260 2,339,954 1,086,179 1,888,076
620,000 316,500 - 205,000 864,667
231,360 810,319 205,300 757,258 3,978,848
- - - - -
851,360 1,126,819 205,300 962,258 4,843,515
11,566,080 15,488,379 16,307,734 17,301,037 30,389,444
CONTINUED
-179-

QUEEN ANNE'S COUNTY, MARYLAND
FINANCIAL TRENDS
CHANGES IN NET POSITION - GOVERNMENT-WIDE (GOVERNMENTAL AND BUSINESS-TYPE ACTIVITIES)
LAST TEN FISCAL YEARS
Table 2-a
(CONTINUED)
2012 2013 2014 2015 2016
Business-type Activities:
Water and Sewer
Charges for Services $ 7 ,977,667 $ 8 ,181,434 $ 8 ,341,848 $ 8,840,213 $ 8,956,360
Operating Grants and Contributions 55,728 161,600 90,000 9 0,000 8 5,099
Capital Grants and Contributions 347,573 2 ,048,768 665,268 1,862,257 1,958,051
Total Revenue 8,380,968 1 0,391,802 9 ,097,116 10,792,470 10,999,510
Golf Course (4)
Charges for Services 1 ,501,550 313,364 297,293 295,955 305,528
Operating Grants and Contributions 52,915 - - - -
Capital Grants and Contributions 28,680 - - - -
Total Revenue 1,583,145 313,364 297,293 295,955 305,528
Public Landings and Marinas (5)
Charges for Services 102,290 440,270 423,478 423,723 423,427
Operating Grants and Contributions 14,183 42,914 36,439 4 3,304 3 6,781
Capital Grants and Contributions 78,314 18,692 - - -
Total Revenue 194,787 501,876 459,917 467,027 460,208
Airport
Charges for Services 58,589 48,072 49,061 5 3,200 4 5,916
Operating Grants and Contributions 47,412 2,621 2,420 7 3,311 5 2,837
Capital Grants and Contributions 693,162 2 ,472,782 7,457 - -
Total Revenue 799,163 2 ,523,475 58,938 126,511 9 8,753
Total Business-type Activities Program Revenues 1 0,958,063 1 3,730,517 9 ,913,264 11,681,963 11,863,999
Total Primary Government Program Revenues 2 2,617,605 2 7,989,432 2 4,447,201 22,180,992 23,537,062
Net (Expense) Revenue (1)
Governmental activities (106,655,603) (101,572,868) (109,884,678) (120,124,371) (128,556,204)
Business-type activities (3,591,052) (41,100) (3,013,538) (778,848) (753,391)
Total Primary Government Net Expense $ (110,246,655) $ (101,613,968) $ (112,898,216) $ (120,903,219) $ (129,309,595)
General Revenues and Other Changes in Net Position
Governmental Activities:
Taxes (2) $ 105,693,926 $ 107,978,036 $ 112,123,625 $ 116,821,607 $ 121,011,135
Investment income 126,650 107,095 95,286 9 4,092 174,691
Gain on Sale of Capital Assets 27,627 163,426 346,765 1,098,632 161,106
Miscellaneous 1,254,255 1 ,051,760 877,629 1,076,893 949,046
Transfers In (Out) (605,996) (337,843) (589,737) (360,177) (201,122)
Total Governmental Activities 106,496,462 108,962,474 112,853,568 118,731,047 122,094,856
Business-type Activities:
Investment income 374,665 356,374 343,568 323,585 320,443
Gain on Sale of Capital Assets - - - - -
Miscellaneous 1,127,590 855,504 793,951 815,430 746,167
Transfers In (Out) 605,996 359,277 589,737 360,177 201,122
Total Business-type Activities 2,108,251 1 ,571,155 1 ,727,256 1,499,192 1,267,732
Total Primary Government 108,604,713 110,533,629 114,580,824 120,230,239 123,362,588
Change in Net Position
Governmental activities (159,141) 7 ,389,606 2 ,968,890 (1,393,324) (6,461,348)
Business-type activities (1,482,801) 1 ,530,055 (1,286,282) 720,344 514,341
Total Primary Government $ (1,641,942) $ 8 ,919,661 $ 1 ,682,608 $ (672,980) $ (5,947,007)
NOTES:
* Government-wide net position information is reported on the accrual basis of accounting.
* Source: Statement of Activities.
(1) Net (expense)/revenue is the difference between the expenses and program revenues of a function or program. It indicates
the degree to which a function or program is supported with its own fees and program-specific grants versus its reliance
upon funding from taxes and general revenues. Numbers in parentheses indicate that expenses were greater than program
revenues and therefore general revenues were needed to finance that function or program. Numbers without parentheses
mean that program revenues were more than sufficient to cover expenses.
(2) See Table 2-b for detail of General Tax Revenues.
(3) For years FY12 through FY19, Parks & Recreation governmental activities are included in public works (parks) and social services (recreation).
(4) Prior to FY13, this section included data for the Golf Course, Recreation Programs, Public Landings,
and Property Management Funds. Beginning in FY13, this section only includes Golf Course Fund data.
(5) Prior to FY13, this section only included data for the Public Marinas Funds. Beginning in FY13, this section includes
data for both Public Marinas and Public Landings, as these funds were combined to form one fund.
-180-

QUEEN ANNE'S COUNTY, MARYLAND
FINANCIAL TRENDS
CHANGES IN NET POSITION - GOVERNMENT-WIDE (GOVERNMENTAL AND BUSINESS-TYPE ACTIVITIES)
LAST TEN FISCAL YEARS
Table 2-a
(CONTINUED)
2017 2018 2019 2020 2021
$ 8,222,317 $ 9,214,383 $ 10,524,474 $ 13,873,082 $ 12,174,150
9 0,000 9 0,000 520,000 2,541,550 4,600,000
2,222,796 4,198,378 3,626,906 1,974,341 2,668,488
10,535,113 13,502,761 14,671,380 18,388,973 19,442,638
318,599 340,123 373,014 399,603 593,022
- - - - -
- - - - -
318,599 340,123 373,014 399,603 593,022
443,176 451,524 454,071 538,760 540,240
3 3,542 104,829 888,592 1 0,447 178,208
- - - - -
476,718 556,353 1,342,663 549,207 718,448
3 3,256 2 5,857 2 4,710 2 4,130 2 4,920
245,738 6 0,858 725,109 9 5,052 2 0,180
- - - - -
278,994 8 6,715 749,819 119,182 4 5,100
11,609,424 14,485,952 17,136,876 19,456,965 20,799,208
23,175,504 29,974,331 33,444,610 36,758,002 51,188,652
(125,334,669) (125,712,310) (131,860,484) (138,246,764) (133,201,076)
(2,375,426) 6 7,559 2,542,864 5,661,150 6,074,240
$ (127,710,095) $ (125,644,751) $ (129,317,620) $ (132,585,614) $ (127,126,836)
$ 123,299,031 $ 131,444,679 $ 137,285,550 $ 148,876,477 $ 163,687,534
444,063 978,955 1,772,464 1,393,017 239,908
5 3,936 8 7,734 2 5,823 4 4,343 9 5,687
2,065,465 630,895 979,201 900,976 1,073,180
(335,499) (183,026) (1,341,011) (149,079) (150,236)
125,526,996 132,959,237 138,722,027 151,065,734 164,946,073
361,840 439,716 550,691 589,126 424,983
- - 3 3,100 1 7,876 573,500
809,211 865,879 865,732 907,830 1,189,317
335,499 183,026 1,341,011 149,079 150,236
1,506,550 1,488,621 2,790,534 1,663,911 2,338,036
127,033,546 134,447,858 141,512,561 152,729,645 167,284,109
192,327 7,246,927 6,861,543 12,818,970 31,744,997
(868,876) 1,556,180 5,333,398 7,325,061 8,412,276
$ (676,549) $ 8,803,107 $ 12,194,941 $ 20,144,031 $ 40,157,273
-181-

QUEEN ANNE'S COUNTY, MARYLAND
FINANCIAL TRENDS
GENERAL TAX REVENUES - GOVERNMENTAL ACTIVITIES
LAST TEN FISCAL YEARS
Table 2-b
2012 2013 2014 2015 2016
Local Property Taxes $ 65,937,415 $ 65,591,225 $ 64,712,683 $ 64,672,721 $ 65,185,546
Local Income Tax 34,028,234 35,769,303 40,899,804 44,643,870 47,928,725
Other Local Taxes 5,728,277 6,617,508 6,511,138 7,505,016 7,896,864
Total Taxes - Governmental Activities $ 105,693,926 $ 107,978,036 $ 112,123,625 $ 116,821,607 $ 121,011,135
2017 2018 2019 2020 2021
Local Property Taxes $ 66,487,004 $ 67,736,404 $ 70,670,569 $ 71,874,566 $ 74,474,109
Local Income Tax 48,624,679 55,211,695 57,728,293 67,698,447 73,458,519
Other Local Taxes 8,187,348 8,496,580 8,886,688 9,303,464 15,754,906
Total Taxes - Governmental Activities $ 123,299,031 $ 131,444,679 $ 137,285,550 $ 148,876,477 $ 163,687,534
NOTES:
* Government-wide general tax revenue information is reported on the accrual basis of accounting.
* Source: Statement of Activities.
-182-

QUEEN ANNE'S COUNTY, MARYLAND
FINANCIAL TRENDS
FUND BALANCES - GOVERNMENTAL FUNDS
LAST TEN FISCAL YEARS
Table 3
2012 2013 2014 2015 2016
General Fund:
Nonspendable $ 555,215 $ 626,122 $ 480,385 $ 687,777 $ 586,481
Restricted 340,670 8,111,614 8,375,368 8,681,112 9,002,389
Committed 695,944 - 1,157,360 2,000,000 3,000,000
Assigned - 1,284,657 1,284,875 2,034,875 1,926,782
Unassigned 11,207,265 5,965,003 7,123,519 7,793,085 8,468,591
Total General Fund 12,799,094 15,987,396 18,421,507 21,196,849 22,984,243
All Other Governmental Funds:
Nonspendable 5,136,024 5,406,512 5,470,608 5,919,048 6,146,072
Restricted 12,255,292 12,724,859 21,824,970 17,794,372 21,316,088
Committed 2,054,749 3,480,382 4,097,033 4,209,177 3,425,701
Assigned 18,654,017 24,665,235 25,939,319 23,093,224 18,029,073
Unassigned (157,828) (135,515) (115,800) (108,185) (115,129)
Total All Other Governmental Funds 37,942,254 46,141,473 57,216,130 50,907,636 48,801,805
Total All Governmental Funds $ 50,741,348 $ 62,128,869 $ 75,637,637 $ 72,104,485 $ 71,786,048
2017 2018 2019 2020 2021
General Fund:
Nonspendable $ 754,921 $ 1,001,610 $ 1,616,447 $ 2,400,664 $ 5,751,694
Restricted 10,626,394 10,999,800 14,361,899 14,711,547 16,182,014
Committed 4,000,000 5,027,897 6,000,000 6,998,256 7,621,618
Assigned 1,998,415 1,483,827 1,224,503 1,099,170 1,525,829
Unassigned 8,830,530 11,142,331 11,856,474 15,874,992 19,340,107
Total General Fund 26,210,260 29,655,465 35,059,323 41,084,629 50,421,262
All Other Governmental Funds:
Nonspendable 7,552,462 7,583,553 - - -
Restricted 8,900,465 6,815,341 12,598,139 15,121,784 17,919,423
Committed 13,447,283 15,202,215 18,514,079 21,296,829 25,457,920
Assigned 16,045,167 19,618,643 23,573,581 23,721,935 36,026,980
Unassigned (53,665) (48,758) (28,164) (24,133) (19,649)
Total All Other Governmental Funds 45,891,712 49,170,994 54,657,635 60,116,415 79,384,674
Total All Governmental Funds $ 72,101,972 $ 78,826,459 $ 89,716,958 $ 101,201,044 $ 129,805,936
NOTES:
* Fund balance information for governmental funds is reported on the modified accrual basis of accounting.
* Source: Balance Sheet, Governmental Funds.
-183-

QUEEN ANNE'S COUNTY, MARYLAND
FINANCIAL TRENDS
CHANGES IN FUND BALANCES - GOVERNMENTAL FUNDS
LAST TEN FISCAL YEARS
Table 4
2012 2013 2014 2015 2016
Revenues
Taxes
Local Property Taxes $ 6 5,918,832 $ 6 5,554,079 $ 6 4,701,622 $ 64,672,292 $ 64,946,443
Local Income Taxes 35,969,879 39,438,906 40,326,921 42,889,715 46,424,552
Other Local Taxes 5,728,277 6,617,508 6,511,137 7 ,505,016 7 ,896,865
State Shared Taxes 306,235 510,726 749,366 5 57,834 6 23,256
Licenses and Permits 877,365 1,004,774 1,080,891 1 ,062,917 1 ,078,144
Intergovernmental 5,867,211 7,588,691 5,588,984 4 ,030,576 4 ,696,561
Bond Interest Reimbursement - Build America Bond 432,212 406,337 383,777 3 75,323 3 64,799
Charges for Current Services 3,908,998 4,594,240 5,357,919 4 ,251,835 4 ,617,730
Fines and Forfeitures 222,683 119,857 141,615 1 82,160 2 50,110
Capital Contributions - Developer - - 102,316 - -
Investment Income 126,650 107,095 95,286 94,092 1 74,691
Donations 46,332 36,332 39,055 41,391 45,773
Miscellaneous 1,254,255 1,051,760 877,629 1 ,076,893 9 49,045
Total Revenues 1 20,658,929 1 27,030,305 1 25,956,518 126,740,044 132,067,969
Expenditures
Current
General Government (1) 9,171,830 9,282,310 10,649,489 8 ,833,255 9 ,817,062
Public Safety 20,985,077 21,275,229 22,266,458 23,133,608 23,523,103
Public Works 7,733,226 9,615,805 9,967,363 12,041,969 15,080,454
Parks and Recreation - - - - -
Health 1,604,462 1,811,402 2,030,740 1 ,822,856 1 ,992,208
Social Services 3,533,022 4,051,741 3,474,886 3 ,602,146 3 ,835,730
Education 53,755,497 48,418,107 59,752,944 65,683,908 60,808,143
Library 1,277,993 1,278,228 1,310,250 1 ,432,500 1 ,597,000
Conservation of Natural Resources 2,794,262 890,480 2,363,254 5 65,289 1 ,744,260
Economic/Community Development 758,089 898,129 1,306,516 1 ,616,784 3 ,188,928
Miscellaneous 3,704,702 4,862,189 3,202,417 3 ,535,585 4 ,766,722
Capital Outlay 2,755,949 3,370,909 8,669,375 8 ,733,509 11,050,384
Debt Service
Principal 7,095,307 7,069,406 7,210,561 7 ,444,611 7 ,667,316
Debt Issuance Costs 162,021 (94) 196,870 4 03,572 2 18,799
Interest and Fiscal Charges 4,116,939 3,675,628 3,501,230 3 ,846,823 3 ,696,719
Total Expenditures 1 19,448,376 1 16,499,469 1 35,902,353 142,696,415 148,986,828
Excess (Deficiency) of Revenues over (under) Expenditures 1,210,553 10,530,836 (9,945,835) (15,956,371) (16,918,859)
Other Financing Sources (Uses)
Issuance of Debt 8,010,000 564,068 22,405,542 25,384,493 15,484,639
Other Financing Use - Proceeds of Refunding Bonds - - - - 8 ,042,773
Bond Premiums 713,235 (101) 1,118,097 1 ,901,240 1 ,650,448
Payments to Bond Refunding Agent (8,557,455) - - (14,881,834) -
Other Financing Use - Debt Service - Principal - - - - (8,446,336)
Proceeds of Capital Asset Disposals 47,396 308,856 458,759 1 ,331,608 18,100
Insurance Proceeds 11,631 20,070 61,942 57,916 1 53,534
Transfers In 9,635,881 10,851,904 5,861,261 5 ,079,641 9 ,941,051
Transfers Out (10,369,909) (11,228,409) (6,450,998) (6,449,845) (10,243,787)
Total Other Financing Sources (Uses) (509,221) 516,388 23,454,603 12,423,219 16,600,422
Special Item 1,360,643 - - - -
Net Increase (Decrease) in Fund Balances $ 2,061,975 $ 1 1,047,224 $ 1 3,508,768 $ (3,533,152) $ (318,437)
Debt service as a percentage of non-capital expenditures (2, 3) 9.66% 9.54% 8.44% 8.43% 8.16%
NOTES:
* Governmental fund information is reported on the modified accrual basis of accounting.
* Source: Statement of Revenues, Expenditures and Changes in Fund Balances - Governmental Funds
and the Reconciliation of the Statement of Revenues, Expenditures, and Changes in Fund Balances of Governmental Funds to the Statement of Activities.
(1) For all fiscal years, "General Government" includes amounts previously classified as "Miscellaneous," "Intergovernmental" and/or "Contingency."
(2) Only the principal and interest components of debt service expenditures are included in the calculation of the ratio of total debt service expenditures to noncapital expenditures.
(3) Noncapital expenditures represents Total Expenditures above, less the Net Increase in Capital Assets from the Reconciliation between the Government-Wide Statement of Activities
and the Statement of Revenues, Expenditures, and Changes in Fund Balance. Only the assets acquired (not included assets transferred or donated) from the reconciliation are used in the calculation.
-184-

QUEEN ANNE'S COUNTY, MARYLAND
FINANCIAL TRENDS
CHANGES IN FUND BALANCES - GOVERNMENTAL FUNDS
LAST TEN FISCAL YEARS
Table 4
(CONTINUED)
2017 2018 2019 2020 2021
$ 66,501,901 $ 67,944,730 $ 70,615,293 $ 71,682,389 $ 74,769,217
48,578,044 51,834,189 55,282,162 61,547,651 67,985,531
8 ,187,348 8 ,496,580 8 ,886,688 9,303,464 15,754,906
7 08,566 8 36,677 1 ,171,668 1,192,293 1 ,286,374
1 ,123,072 1 ,167,444 1 ,224,381 1,083,317 1 ,461,286
3 ,987,308 7 ,539,052 8 ,284,699 9,506,419 18,705,791
3 50,254 3 34,858 3 19,362 - -
5 ,114,605 5 ,298,701 5 ,088,123 5,320,465 8 ,789,033
2 11,102 2 58,226 1 92,975 1 33,015 1 41,180
- - - - -
4 44,063 9 78,955 1 ,772,464 1,393,017 2 39,908
60,217 57,635 31,084 1 43,375 5,780
2 ,065,465 6 30,895 9 79,201 9 00,976 1 ,073,180
137,331,945 145,377,942 153,848,100 162,206,381 190,212,186
10,382,078 10,640,065 10,542,151 10,610,554 13,487,519
23,866,030 25,049,431 26,804,113 27,648,023 29,314,405
15,506,684 15,235,104 16,163,026 12,749,864 12,223,767
- - - 6 ,995,840 5 ,257,527
1 ,967,956 1,971,460 1 ,832,104 2 ,147,035 2 ,437,604
4 ,013,664 4 ,129,134 4 ,377,273 4 ,513,642 4 ,294,334
59,266,025 62,352,046 62,640,409 66,904,857 66,664,141
1 ,684,820 1 ,765,190 1 ,833,513 1 ,891,167 1 ,957,600
5 65,938 2 ,577,735 2 ,717,738 1 ,475,572 3 ,672,847
1 ,710,899 2 ,433,171 1 ,638,265 2 ,107,676 5 ,233,618
4 ,185,652 5 ,348,568 5 ,729,955 5 ,308,680 6 ,834,217
14,591,632 12,311,551 9 ,323,882 4 ,963,004 12,790,600
8 ,074,013 7 ,149,537 7 ,855,820 8 ,624,604 7 ,343,425
1 96,150 2 29,894 2 11,447 3 16,027 2 49,479
4 ,104,254 4 ,280,553 4 ,586,387 4 ,676,955 4 ,492,461
150,115,795 155,473,439 156,256,083 160,933,500 176,253,544
(12,783,850) (10,095,497) (2,407,983) 1 ,272,881 13,958,642
12,775,926 16,000,000 11,000,000 9 ,000,000 13,000,000
- - - 14,682,184 10,835,995
6 18,681 9 08,973 1 ,011,998 3 ,654,843 3 ,814,696
- - - - -
- - - (17,043,453) (12,970,537)
55,189 54,097 2 31,588 30,949 41,099
12,241 39,940 3,114 35,761 1 02,429
6 ,331,482 8 ,220,201 12,588,897 9 ,690,474 20,469,607
(6,693,745) (8,403,227) (13,929,908) (9,839,553) (20,647,039)
13,099,774 16,819,984 10,905,689 10,211,205 14,646,250
- - - - -
$ 3 15,924 $ 6,724,487 $ 8,497,706 $ 11,484,086 $ 28,604,892
8.99% 8.00% 8.47% 8.53% 7.26%
-185-

QUEEN ANNE'S COUNTY, MARYLAND
REVENUE CAPACITY
ASSESSED VALUE OF TAXABLE AND EXEMPT PROPERTY
LAST TEN FISCAL YEARS
Table 5
Real Property (2) Personal Property Total Total
Total Public Utility Taxable Taxable and
Fiscal Commercial Residential (1) Total Direct Assessed Assessed Exempt Exempt
Year Assessed Value Assessed Value Assessed Value Tax Rate (3) Value (2) (4) Value Property Property
2012 $ 1,485,091,345 $ 6,139,645,414 $ 7 ,624,736,759 $ 0 .8471 $ 60,635,440 $ 7,685,372,199 $ 6 94,372,116 $ 8 ,379,744,315
2013 1,567,115,297 5,990,170,828 7 ,557,286,125 0 .8471 63,194,130 7,620,480,255 7 32,300,804 8 ,352,781,059
2014 1,540,562,905 5,935,284,963 7 ,475,847,868 0 .8471 64,411,900 7,540,259,768 6 96,880,673 8 ,237,140,441
2015 1,526,533,795 5,971,094,589 7 ,497,628,384 0 .8471 71,076,850 7,568,705,234 7 08,231,797 8 ,276,937,031
2016 1,536,236,637 6,015,729,665 7 ,551,966,302 0 .8471 74,544,230 7,626,510,532 7 13,843,531 8 ,340,354,063
2017 1,578,390,091 6,136,189,107 7 ,714,579,198 0 .8471 77,685,020 7,792,264,218 7 71,576,578 8 ,563,840,796
2018 1,619,626,376 6,277,865,272 7 ,897,491,648 0 .8471 76,903,490 7,974,395,138 7 84,345,727 8 ,758,740,865
2019 1,668,339,027 6,485,471,694 8 ,153,810,721 0 .8471 110,703,740 8,264,514,461 8 10,049,666 9 ,074,564,127
2020 1,796,512,410 6,587,063,708 8 ,383,576,118 0 .8471 103,282,520 8,486,858,638 8 39,013,301 9 ,325,871,939
2021 1,810,616,428 6,789,270,644 8 ,599,887,072 0 .8471 115,005,450 8,714,892,522 8 60,398,332 9 ,575,290,854
NOTES:
* Tax exempt property is included for purposes of calculating total assessed value, which is used on Table 12-a.
(1) Residential real property includes single-family homes, townhouses, condominiums, and apartment dwellings. The assessed value shown
above has been reduced for the Homestead Credit assessment.
(2) Real property and personal property assessments are done every three years and every year, respectively, by the State
Department of Assessments and Taxation at 100% of estimated fair value.
(3) See Table 6-a for real property direct tax rates. Tax Rates are applied per $100 of assessed value.
(4) The personal property tax rate for Queen Anne's County is zero.
Source: State of Maryland, Department of Assessments and Taxation.
-187-

QUEEN ANNE'S COUNTY, MARYLAND
REVENUE CAPACITY
REAL PROPERTY TAX RATES - COUNTY DIRECT RATE
LAST TEN FISCAL YEARS
Table 6-a
County
Fiscal Direct
Year Rate (1)
2012 $ 0 .8471
2013 0 .8471
2014 0 .8471
2015 0 .8471
2016 0 .8471
2017 0 .8471
2018 0 .8471
2019 0 .8471
2020 0 .8471
2021 0 .8471
NOTES:
* No discounts are allowed.
* Taxes are levied as of July 1, are due by September 30, and become delinquent October 1.
* Owner occupied properties may elect to pay on an annual basis. If no election is made,
taxes are paid on a semi-annual basis with payment due by September 30 and December 31
* Non-owner occupied properties must pay on an annual basis.
* Interest at one percent per month is assessed on delinquent tax bills.
* Revised tax bills based upon certifications from the State received after September 1
may be paid within thirty days without interest.
* Delinquent taxes on real property are collected by sale.
* Costs of tax sale, which vary, are added to the redemption.
* Tax sale date: Third Tuesday in May.
* The personal property tax rate for Queen Anne's County is zero.
(1) Tax Rates are applied per $100 of assessed value.
-188-

QUEEN ANNE'S COUNTY, MARYLAND
REVENUE CAPACITY
REAL PROPERTY TAX RATES - COUNTY SPECIAL TAXING DISTRICTS
LAST TEN FISCAL YEARS
Table 6-b
Kent Narrows
Commercial Management
Fiscal and Waterfront
Year Improvement District
2012 $ 0 .0600
2013 0 .0600
2014 0 .0600
2015 0 .0600
2016 0 .0600
2017 0 .0600
2018 0 .0600
2019 0 .0600
2020 0 .0600
2021 0 .0600
NOTES:
* Tax rates are per $100 of assessed value.
* The personal property tax rate for Queen Anne's County is zero.
-189-

QUEEN ANNE'S COUNTY, MARYLAND
REVENUE CAPACITY
REAL PROPERTY TAX RATES - OVERLAPPING GOVERNMENTS - TOWNS
LAST TEN FISCAL YEARS
Table 6-c
Fiscal Town of Town of Town of Town of Town of
Year Centreville Barclay Church Hill Millington Queen Anne
2012 $ 0 .3800 $ 0 .2000 $ 0 .3400 $ 0 .2800 $ 0 .1800
2013 0 .3800 0 .2000 0 .3400 0 .2800 0 .1800
2014 0 .3800 0 .2000 0 .3400 0 .2800 0 .1800
2015 0 .3800 0 .2000 0 .3400 0 .2800 0 .1800
2016 0 .3800 0 .2000 0 .3400 0 .2800 0 .1800
2017 0 .4100 0 .2000 0 .3400 0 .2800 0 .1800
2018 0 .4050 0 .2000 0 .3400 0 .2800 0 .1800
2019 0 .4050 0 .2000 0 .3400 0 .2800 0 .1800
2020 0 .4050 0 .2000 0 .3400 0 .2800 0 .1800
2021 0 .4050 0 .2000 0 .3400 0 .2774 0 .1800
NOTES:
* Tax rates are per $100 of assessed value.
* The personal property tax rate for Queen Anne's County is zero.
* Taxes collected by the County for other fiscal units, including overlapping governments, are remitted
based on actual collections.
-190-

QUEEN ANNE'S COUNTY, MARYLAND
REVENUE CAPACITY
REAL PROPERTY TAX RATES - OVERLAPPING GOVERNMENTS - TOWNS
LAST TEN FISCAL YEARS
Table 6-c
(CONTINUED)
Town of Town of Town of
Queenstown Sudlersville Templeville
$ 0 .1890 $ 0 .1670 $ 0 .3600
0 .1890 0 .1670 0 .3600
0 .1890 0 .1670 0 .3600
0 .1895 0 .1670 0 .3600
0 .1850 0 .1670 0 .3600
0 .1810 0 .1670 0 .5788
0 .1773 0 .1670 0 .3600
0 .1726 0 .1670 0 .3600
0 .1744 0 .1670 0 .3600
0 .1867 0 .1670 0 .3600
-191-

QUEEN ANNE'S COUNTY, MARYLAND
REVENUE CAPACITY
TEN HIGHEST COMMERCIAL PROPERTY TAXPAYERS
CURRENT FISCAL YEAR AND NINE YEARS AGO
Table 7
For the Fiscal Year Ended June 30, 2021
Ratio:
Taxpayer
Base to Total
Assessable Base Assessable Base
Second Horizon Group Limited Partnership $ 61,418,700 0.70 %
KRM-Chesapeake LLC 29,424,900 0.34
Chesapeake Bay Beach Club LLC 20,756,600 0.24
Maryland General Land Co LLC 16,557,600 0.19
Great American Life Insurance Co 14,882,200 0.17
Kent Towne Market LLC 14,089,200 0.16
Beach Harbor Campers Cooperative Inc 13,110,500 0.15
Anne Arundel Real Estate Holding 12,055,700 0.14
Mears Point Association 10,683,733 0.12
Kent Narrows Properties 9,015,800 0.10
Total $ 201,994,933 2.31 %
Total Assessable Base $ 8,714,892,522 100.00 %
For the Fiscal Year Ended June 30, 2012
Ratio:
Taxpayer
Base to Total
Assessable Base Assessable Base
Second Horizon Group Limited Partnership $ 52,302,300 0.68 %
Great American Life Insurance Company 21,335,500 0.28
KRM Development Corporation 17,299,600 0.23
Beach Harbor Campers Cooperative Inc 13,653,800 0.18
Mears Point Association 10,800,000 0.14
Washington Brick & Terracota Company 10,120,500 0.13
Anne Arundel Real Estate Holding Company 9,670,300 0.13
PRS Realty LLC 9,588,300 0.12
Kent Towne Market LLC 8,398,200 0.11
213 Centreville Associates LLC 8,365,100 0.11
Total $ 161,533,600 2.11 %
Total Assessable Base $ 7,685,372,199 1 00.00 %
Source: State of Maryland Department of Assessments and Taxation
-192-

QUEEN ANNE'S COUNTY, MARYLAND
REVENUE CAPACITY
PROPERTY TAX LEVIES AND COLLECTIONS
LAST TEN FISCAL YEARS
Table 8
Collected within the
Taxes Levied Fiscal Year of the Levy Collections in Total Collections to Date
Fiscal for the Percentage of Subsequent Percentage of
Year Fiscal Year Amount Original Levy Years Amount Original Levy
2012 $ 64,549,671 $ 64,459,862 99.86% $ 79,219 $ 64,539,081 99.98%
2013 63,904,147 63,596,067 99.52% 54,255 63,650,322 99.60%
2014 63,184,321 62,834,349 99.45% 89,285 62,923,634 99.59%
2015 63,338,629 63,231,601 99.83% 68,072 63,299,673 99.94%
2016 63,799,184 63,647,404 99.76% 79,414 63,726,818 99.89%
2017 65,217,648 65,107,115 99.83% 108,740 65,215,855 99.99%
2018 66,768,776 66,721,619 99.93% 45,372 66,766,991 99.99%
2019 68,887,556 68,778,389 99.84% 69,038 68,847,427 99.94%
2020 70,825,936 70,375,695 99.36% 296,616 70,672,311 99.78%
2021 72,635,124 72,627,467 99.99% - 72,627,467 99.99%
NOTES:
* This table includes data for all property taxes billed applicable to all funds for Queen Anne's County, Maryland to include General,
Special Revenue, and Enterprise Funds. Property taxes billed for the State of Maryland and various municipalities are excluded.
-193-

QUEEN ANNE'S COUNTY, MARYLAND
DEBT CAPACITY
RATIOS OF OUTSTANDING DEBT BY TYPE
LAST TEN FISCAL YEARS
Table 9
Governmental Activities
General Total
Fiscal Obligation Notes Capital Governmental
Year Bonds Payable Leases Activities
2012 $ 97,127,263 $ 889,256 $ - $ 9 8,016,519
2013 90,092,100 1,146,755 - 9 1,238,855
2014 107,883,563 958,156 - 1 08,841,719
2015 112,060,053 784,785 - 1 12,844,838
2016 118,977,909 1,913,199 - 1 20,891,108
2017 123,519,157 1,698,425 - 1 25,217,582
2018 132,567,304 1,417,461 - 1 33,984,765
2019 135,985,079 1,098,323 - 1 37,083,402
2020 136,513,411 775,589 - 1 37,289,000
2021 142,970,963 703,773 - 1 43,674,736
Business-type Activities Ratios
Debt to
General Total Total Total Outstanding
Fiscal Obligation Notes Capital Business-type Primary Personal Debt per
Year Bonds Payable Leases Activities Government Income (1) Capita (1)
2012 $ 2,936,543 $ 15,238,959 $ - $ 1 8,175,502 $ 116,192,021 6.95% $ 2,431
2013 2,490,475 13,767,769 - 1 6,258,244 107,497,099 6.12% 2,210
2014 2,053,736 12,584,475 - 1 4,638,211 123,479,930 6.97% 2,538
2015 3,540,295 11,388,918 - 1 4,929,213 127,774,051 6.89% 2,618
2016 3,520,859 10,471,639 - 1 3,992,498 134,883,606 7.24% 2,780
2017 3,217,479 16,296,744 - 1 9,514,223 144,731,805 7.64% 2,960
2018 2,976,195 25,484,821 - 2 8,461,016 162,445,781 8.39% 3,322
2019 2,725,011 29,419,756 - 3 2,144,767 169,228,169 8.22% 3,335
2020 2,475,881 31,932,369 - 3 4,408,250 171,697,250 7.29% 3,264
2021 2,337,041 34,432,935 - 3 6,769,976 180,444,712 7.73% 3,458
NOTES:
(1) See Table 14 for personal income and population data, which are used in calculating these ratios.
-194-

QUEEN ANNE'S COUNTY, MARYLAND
DEBT CAPACITY
RATIOS OF GENERAL BONDED DEBT OUTSTANDING
LAST TEN FISCAL YEARS
Table 10
Percentage of
Fiscal General Total Taxable Per
Year Bonded Debt (1) Assessable Base (2) Capita (3)
2012 $ 100,063,806 1.30% $ 2,093
2013 92,582,575 1.21% 1,903
2014 109,937,299 1.46% 2,260
2015 115,600,348 1.53% 2,369
2016 122,498,768 1.61% 2,525
2017 126,736,636 1.63% 2,592
2018 135,543,499 1.70% 2,772
2019 138,710,090 1.68% 2,733
2020 138,989,292 1.64% 2,643
2021 145,308,004 1.67% 2,785
NOTES:
* General Bonded Debt includes all general obligation debt, regardless of
purpose or repayment source, and other bonded debt financed with general
government resources. Other debt is excluded because it is not in the form of bonds.
(1) General Bonded Debt is comprised of both governmental and business-
type activities from Table 9.
(2) See Table 5 for taxable assessable base.
(3) See Table 14 for population data.
-195-

QUEEN ANNE'S COUNTY, MARYLAND
DEBT CAPACITY
COMPUTATION OF NET DIRECT AND OVERLAPPING DEBT
AS OF JUNE 30, 2021
Table 11
Name of Jurisdiction Gross Debt
Queen Anne's County:
County Government
Total Net Direct Debt (1) $ 143,674,736
Towns: (2)
Centreville (100%) 15,290,625
Millington (100%) 1,095,000
Queenstown (100%) 5 ,157,814
Sudlersville (100%) (3) 4,712,418
Total Net Overlapping Debt 26,255,857
Total Net Direct and Overlapping Debt $ 169,930,593
NOTES:
(1) Net direct debt of the County includes Governmental Activities general obligation bonds, notes payable, and capital leases. See Table 9.
Overlapping debt is the debt of other governmental entities located within the County that is
payable in whole or in part by taxpayers of the County.
(2) Entities are located wholly within Queen Anne's County. Debt information reported by municipalities.
(3) FY21 gross debt could not be obtained. The amount being reported is the amount confirmed from FY20.
-197-

QUEEN ANNE'S COUNTY, MARYLAND
DEBT CAPACITY
COMPUTATION OF LEGAL DEBT MARGIN
LAST TEN FISCAL YEARS
Table 12-a
2012 2013 2014 2015 2016
Computation of Legal Debt Margin - for Queen Anne's County
Other than Debt related to the Sanitary District:
Authorized debt limit under Title 5 (Subtitle 4) (1) $ 8,000,000 $ 8,000,000 $ 8,000,000 $ 8,000,000 $ 8,000,000
Authorized bonded debt under specific public laws
Enterprise Funds, excluding Sanitary District (4) 2,304,876 2,160,475 2,053,736 3,540,295 3,520,859
General Obligation Debt (4) 97,127,263 90,092,100 107,883,563 112,060,053 118,977,909
Subtotal 99,432,139 92,252,575 109,937,299 115,600,348 122,498,768
Total authorized debt under Title 5 and specific public laws 107,432,139 100,252,575 117,937,299 123,600,348 130,498,768
LESS Outstanding bonds, notes payable, and capital leases (5) 116,192,021 107,497,099 123,479,930 127,774,051 134,883,606
Less: Sanitary District debt (4) 15,870,626 14,097,769 12,584,475 11,388,918 10,471,639
Subtotal 100,321,395 93,399,330 110,895,455 116,385,133 124,411,967
Legal Debt Margin - Other than the Sanitary District $ 7,110,744 $ 6,853,245 $ 7,041,844 $ 7,215,215 $ 6,086,801
Debt related to the Sanitary District Proprietary Fund:
Total taxable assessed value (3) $ 7,685,372,199 $ 7,620,480,255 $ 7,540,259,768 $ 7,568,705,234 $ 7,626,510,532
Plus exempt property (3) 694,372,116 732,300,804 696,880,673 708,231,797 713,843,531
Total assessed value $ 8,379,744,315 $ 8,352,781,059 $ 8,237,140,441 $ 8,276,937,031 $ 8,340,354,063
Debt Limit - 6% of total assessed value (2) $ 502,784,659 $ 501,166,864 $ 494,228,426 $ 496,616,222 $ 500,421,244
LESS Sanitary District 15,870,626 14,097,769 12,584,475 11,388,918 10,471,639
Less: Restricted Cash and Investments in the
Debt Service Fund available for payment of principal 3,244,564 2,840,468 2,763,304 2,695,383 1,120,775
12,626,062 11,257,301 9,821,171 8,693,535 9,350,864
Legal Debt Margin - Sanitary District $ 490,158,597 $ 489,909,563 $ 484,407,255 $ 487,922,687 $ 491,070,380
NOTES:
(1) Title 5, Subtitle 4 (1), of the Code of Public Local Laws of Queen Anne's County authorizes the County to borrow up to $8,000,000 for
general operating and capital improvement expenditures. This authority is in addition to any bonded debt authorized under specific public local laws.
(2) Title 24, Subtitle 1, Section 24-146(A) of the Code of Public Local Laws of Queen Anne's County authorizes the County to borrow an amount not to
exceed 6% of the total value of property assessed. The proceeds of such borrowings must be used for sewer and water system construction payments.
(3) See Table 5.
(4) See Note 9, Section B.
(5) See Note 9.
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QUEEN ANNE'S COUNTY, MARYLAND
DEBT CAPACITY
COMPUTATION OF LEGAL DEBT MARGIN
LAST TEN FISCAL YEARS
Table 12-a
(CONTINUED)
2017 2018 2019 2020 2021
$ 8,000,000 $ 8,000,000 $ 8,000,000 $ 8,000,000 $ 8,000,000
3,217,479 2,976,195 2,725,011 2,475,881 2,337,041
123,519,157 132,567,304 135,985,079 136,513,411 142,970,963
126,736,636 135,543,499 138,710,090 138,989,292 145,308,004
134,736,636 143,543,499 146,710,090 146,989,292 153,308,004
144,731,805 162,445,781 169,228,169 171,697,250 180,444,712
16,296,744 25,484,821 29,419,756 31,932,369 34,432,935
128,435,061 136,960,960 139,808,413 139,764,881 146,011,777
$ 6,301,575 $ 6,582,539 $ 6,901,677 $ 7,224,411 $ 7,296,227
$ 7,792,264,218 $ 7,974,395,138 $ 8,264,514,461 $ 8,486,858,638 $ 8 ,714,892,522
771,576,578 784,345,727 810,049,666 839,013,301 860,398,332
$ 8,563,840,796 $ 8,758,740,865 $ 9,074,564,127 $ 9,325,871,939 $ 9,575,290,854
$ 513,830,448 $ 525,524,452 $ 544,473,848 $ 559,552,316 $ 574,517,451
16,296,744 25,484,821 29,419,756 31,932,369 34,432,935
9 47,445 1,060,045 1,259,440 2,031,867 2,684,988
15,349,299 24,424,776 28,160,316 29,900,502 31,747,947
$ 498,481,149 $ 501,099,676 $ 516,313,532 $ 529,651,814 $ 542,769,504
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QUEEN ANNE'S COUNTY, MARYLAND
DEBT CAPACITY
COMPUTATION OF LOCAL DEBT LIMIT
LAST TEN FISCAL YEARS
Table 12-b
2012 2013 2014 2015 2016
Computation of Local Debt Limit, as Authorized under Article 95, Section 22F of the Annotated Code of Maryland
and per criteria established by Queen Anne's County Resolution No. 13-04, as adopted May 2013.
CALCULATION PER FIRST FINANCIAL CRITERIA:
The sum of all outstanding and new general obligation and/or
bonded debt is 2.5% or less of the total taxable assessed base.
Total Taxable Assessed Base (1) $ 7 ,685,372,199 $ 7,620,480,255 $ 7,540,259,768 $ 7 ,568,705,234 $ 7,626,510,532
2.5% 2.5% 2.5% 2.5% 2.5%
2.5% of Total Taxable Assessed Base $ 192,134,305 $ 190,512,006 $ 188,506,494 $ 1 89,217,631 $ 190,662,763
LESS Outstanding and New General Obligation Debt applicable to limit (2) (3)
Enterprise Funds' Debt - Bonds $ 2,936,543 $ 2,490,475 $ 2 ,053,736 $ 3,540,295 $ 3,520,859
General Obligation Debt - Bonds and Notes 98,016,519 91,238,855 108,841,719 112,844,838 120,891,108
Total Outstanding and New General Obligation Debt $ 100,953,062 $ 93,729,330 $ 110,895,455 $ 1 16,385,133 $ 124,411,967
2.5% of Total Taxable Assessed Base in Excess of
Total Outstanding and New General Obligation Debt $ 91,181,243 $ 96,782,676 $ 77,611,039 $ 72,832,498 $ 66,250,796
CALCULATION PER SECOND FINANCIAL CRITERIA:
The sum of all outstanding and new general obligation and/or
bonded debt is $3,000 or less per capita.
Total County Population (4) 47,798 48,650 48,650 48,804 48,517
$3,000 Per Capita $ 3,000 $ 3,000 $ 3,000 $ 3,000 $ 3,000
$ 1 43,394,000 $ 145,950,000 $ 145,950,000 $ 1 46,412,000 $ 145,551,000
LESS Outstanding and New General Obligation Debt (1) $ 100,953,062 $ 93,729,330 $ 110,895,455 $ 1 16,385,133 $ 124,411,967
$3,000 Per Capita in Excess of
Total Outstanding and New General Obligation Debt $ 42,440,938 $ 52,220,670 $ 35,054,545 $ 30,026,867 $ 21,139,033
NOTES:
(1) See Table 5 - Total Taxable Assessed Value.
(2) See Note 9 A - Changes in Noncurrent Liabilities.
(3) General Obligation Debt includes debt relating to the Sanitary District, because such debt is backed by the full faith
and credit of the County, but excludes all capital leases, which are collateralized by the equipment purchased with
such leases.
(4) See Table 14 - Population.
In May, 2013, as described in Note 9 E, Queen Anne’s County adopted Resolution No. 13-04, thereby continuing
a local debt policy in compliance with Article 95, Section 22F of the Annotated Code of Maryland.
This policy requires that the County’s Director of Budget and Finance to take the following steps:
(a) prepare a six-year capital project plan each year;
(b) propose an amount to be transferred from the General Fund operating balance to the General Capital Projects
Fund to serve as pay-as-you-go funding in the latter Fund, in order to lessen the need for future County debt;
(c) limit the County’s non-bonded indebtedness to $8.0 million for general operating expenses or capital
improvements;
(d) certify that the sum of outstanding general bonded debt and any new general obligation debt is 2.5% or less
of the total taxable assessed base and is $3,000 or less per capita; and
This policy also stipulates that although there is some flexibility as to the acceptable percentage of debt service to general fund
expenditures, and no absolute limit has been established by the rating agencies or the Government Finance Officers Association,
anything above 12% of total general fund expenditures would be a cause to carefully monitor debt service.
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QUEEN ANNE'S COUNTY, MARYLAND
DEBT CAPACITY
COMPUTATION OF LOCAL DEBT LIMIT
LAST TEN FISCAL YEARS
Table 12-b
(CONTINUED)
2017 2018 2019 2020 2021
$ 7,792,264,218 $ 7,974,395,138 $ 8 ,264,514,461 $ 8 ,486,858,638 $ 8,714,892,522
2.5% 2.5% 2.5% 2.5% 2.5%
$ 194,806,605 $ 199,359,878 $ 206,612,862 $ 212,171,466 $ 217,872,313
$ 3,217,479 $ 2,976,195 $ 2,725,011 $ 2,475,881 $ 2,337,041
125,217,582 133,984,765 137,083,402 137,289,000 143,674,736
$ 128,435,061 $ 136,960,960 $ 139,808,413 $ 139,764,881 $ 146,011,777
$ 66,371,544 $ 62,398,918 $ 66,804,449 $ 72,406,585 $ 71,860,536
48,904 48,904 50,750 52,597 52,177
$ 3,000 $ 3,000 $ 3,000 $ 3,000 $ 3,000
$ 146,712,000 $ 146,712,000 $ 152,250,000 $ 157,791,000 $ 156,531,000
$ 128,435,061 $ 136,960,960 $ 139,808,413 $ 139,764,881 $ 146,011,777
$ 18,276,939 $ 9,751,040 $ 12,441,587 $ 18,026,119 $ 10,519,223
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QUEEN ANNE'S COUNTY, MARYLAND
DEMOGRAPHIC AND ECONOMIC INFORMATION
PRINCIPAL EMPLOYERS
CURRENT FISCAL YEAR AND NINE YEARS AGO
Table 13
For the Fiscal Year Ended June 30, 2021
Percentage of
Total County
Employer Employees Rank Employment
Queen Anne's County Board of Education 9 82 1 6.73%
Queen Anne's County Government 5 33 2 3.65%
Chesapeake College 4 69 3 3.21%
Paul Reed Smith Guitars 4 27 4 2.93%
REEB Millwork 3 03 5 2.08%
Federal Resources Supply 2 66 6 1.82%
S.E.W. Friel 2 60 7 1.78%
Genesis Healthcare 1 35 8 0.93%
Clinton Nurseries of Md. 1 30 9 0.89%
Harris Seafood Company 1 25 10 0.86%
Total 3 ,630 24.88%
For the Fiscal Year Ended June 30, 2012
Percentage of
Total County
Employer Employees Rank Employment
Queen Anne's County Board of Education 9 41 1 8.23%
Chesapeake College 4 89 2 4.28%
Queen Anne's County Government 4 30 3 3.76%
S.E.W. Friel 2 75 4 2.41%
Paul Reed Smith Guitars 2 44 5 2.13%
Safeway 1 80 6 1.57%
River Plantation 1 75 7 1.53%
Genesis Healthcare 1 50 8 1.31%
Harris Seafood Company 1 50 9 1.31%
Acme Markets 1 49 10 1.30%
Total 3,183 27.83%
Source: Queen Anne's County Economic Development Office; Table 15.
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QUEEN ANNE'S COUNTY, MARYLAND
DEMOGRAPHIC AND ECONOMIC INFORMATION
DEMOGRAPHIC STATISTICS
LAST TEN FISCAL YEARS
Table 14
Average
Total Registered
Fiscal Personal Per Capita Unemployment Number of
Year Population (1) Income (2) Income (3) Rate (3) Pupils (4)
2012 47,798 $ 1,672,547,616 $ 3 4,992 6.50% 7 ,757
2013 48,650 1,757,238,000 3 6,120 6.40% 7 ,717
2014 48,650 1,771,687,050 3 6,417 5.10% 7 ,720
2015 48,804 1,854,356,784 3 7,996 4.90% 7 ,752
2016 48,517 1,862,664,664 3 8,392 3.90% 7 ,738
2017 48,904 1,894,198,632 3 8,733 3.80% 7 ,799
2018 48,904 1,936,256,072 3 9,593 3.90% 7 ,768
2019 50,750 2,058,064,750 4 0,553 3.70% 7 ,767
2020 52,597 2,353,926,138 4 4,754 7.00% 7 ,705
2021 52,177 2,335,129,458 4 4,754 5.20% 7 ,351
NOTES:
(1) Source: Queen Anne's County Division of Land Use and Zoning
(2) Personal income derived by multiplying population by per capita income.
(3) Source: US Census Bureau and Maryland Department of Labor, Licensing, and Regulation - as of June.
(4) Source: Queen Anne's County Board of Education.
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QUEEN ANNE'S COUNTY, MARYLAND
OPERATING INFORMATION
COUNTY GOVERNMENT EMPLOYEES - FULL-TIME EQUIVALENTS
LAST TEN FISCAL YEARS
Table 15
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
Number of Exempt Employees 26 28 29 30 32 35 34 32 33 37
Number of Full Time Employees 386 391 393 416 431 439 450 479 484 496
Number of Part Time Employees (FTE) 9 8 7 3 3 4 3 3 2 2
Total County Government Employees 421 427 429 449 466 478 487 514 519 535
NOTES:
Source: Queen Anne's County Office of Budget and Finance
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QUEEN ANNE'S COUNTY, MARYLAND
OPERATING INFORMATION
COUNTY GOVERNMENT EMPLOYEES - FULL-TIME ONLY BY FUNCTION
LAST TEN FISCAL YEARS
Table 16
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
Governmental Activities:
General Government 74 82 77 81 83 87 76 75 78 79
Public Safety:
Police 53 56 58 58 59 61 62 69 71 70
Fire - Emergency Management Services 61 64 67 71 72 73 75 82 83 83
Detention Center 42 41 41 41 41 45 41 42 43 45
Animal Services 10 6 3 3 2 2 2 2 2 13
Public Works 51 51 54 58 61 59 75 80 77 75
Health 1 1 1 1 1 1 1 1 1 1
Social Services 36 32 36 38 42 41 39 39 39 41
Parks 27 27 29 39 42 44 43 46 52 51
Conservation of Natural Resources 3 4 4 3 4 4 4 4 4 4
Economic/Community Development 3 6 2 3 6 5 10 11 9 10
Total Governmental Activities 361 370 372 396 413 422 428 451 459 472
Business-Type Activities:
Sanitary District 45 45 46 46 46 48 51 55 53 56
Bay Bridge Airport 3 1 1 1 1 1 2 2 2 2
Golf - 1 1 1 1 1 1 1 1 1
Public Landings 3 2 2 2 2 2 2 2 2 2
Total Business-Type Activities 51 49 50 50 50 52 56 60 58 61
Total Full-Time County Employees 412 419 422 446 463 474 484 511 517 533
NOTES:
- Only full-time County employees are represented in this table.
- Employees of the County's component units have been excluded from this table.
Source: Queen Anne's County Office of Budget and Finance
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QUEEN ANNE'S COUNTY, MARYLAND
OPERATING INFORMATION
OPERATING INDICATORS BY FUNCTION
LAST TEN FISCAL YEARS
Table 17
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
Governmental Activities:
General Government:
Planning & Zoning:
Number of commercial permits issued 99 75 51 52 50 47 55 30 49 91
Number of residential permits issued:
Single Family Permits 119 161 133 123 84 124 145 155 173 275
Multi Family Permits 20 21 12 - 1 29 - 37 41 62
Renovations and Additions Permits 207 312 327 270 303 323 339 359 317 343
Total residential permits issued 346 494 472 393 388 476 484 551 531 680
Public Safety:
Fire and Rescue:
Number of volunteer members 689 689 689 683 500 400 500 450 542 558
Police:
Uniformed Police Officers 59 61 61 64 64 64 68 69 71 71
Number of law violations:
Physical arrests 848 1,144 1,239 1,055 903 914 1,097 930 854 1,080
Traffic violations 5,818 5,915 6,514 6,030 8,002 7,183 12,384 10,474 9,705 11,142
Detention Center:
Detention Center Officers 38 40 41 41 39 38 42 41 41 42
Average yearly prison population 86 128 138 123 115 133 115 105 106 158
Public Works:
Wastewater Treated - Daily (mgd) 1.9 2.0 2.0 2.1 2.0 2.0 2.2 2.2 2.1 2.3
Education:
Number of Personnel
Teachers 537 546 550 575 575 572 569 572 584 603
Administrators 39 39 41 40 40 38 37 37 37 36
Support 300 294 344 295 296 304 300 301 281 336
Other 47 47 37 34 34 34 34 32 7 7
Number of Students 7,757 7,717 7,720 7,752 7,738 7,799 7,768 7,767 7,705 7,351
Number of High School Graduates 598 537 605 589 532 550 552 521 590 561
NOTES:
Source: Various County departments.
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QUEEN ANNE'S COUNTY, MARYLAND
OPERATING INFORMATION
CAPITAL ASSET STATISTICS BY FUNCTION
LAST TEN FISCAL YEARS
Table 18
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
Governmental Activities:
Public Safety:
Fire and Rescue:
Number of volunteer stations 10 9 9 9 9 9 9 9 9 9
Equipment:
Engines 17 18 17 16 16 16 16 15 15 15
Tankers 9 9 8 8 8 8 8 7 9 9
Aerial Units 5 5 4 4 5 5 4 5 5 5
Rescue Units 7 8 6 7 6 6 5 5 7 7
Brush Units 8 8 7 7 7 7 7 7 8 8
Boats 5 5 6 6 6 6 3 4 4 4
Ambulance/Medic Units 17 17 13 14 12 13 13 11 13 12
Cars/Other 22 22 25 25 25 16 14 28 33 33
Police:
Number of Stations 1 1 1 1 1 1 1 1 1 1
Number of Vehicles
Patrol 62 62 68 68 71 70 70 71 81 66
Other 3 3 12 15 10 9 14 14 12 29
Detention Center
Capacity 148 148 148 148 148 148 148 148 148 148
Public Works:
County Maintained Roads and Streets
Paved (miles) 540 541 543 543 540 549 549 549 550 550
Unpaved (miles) 12 12 12 12 12 12 12 12 12 12
County Owned Water and
Wastewater Facilities
Water
Miles of Mains 59 61 62 62 64 65 67 68 69 70
Water Treatment Plants 11 11 11 11 11 11 11 11 11 11
Booster Stations 2 2 2 2 2 2 2 2 2 2
Wastewater
Miles of Mains 118 120 121 122 128 136 151 153 154 160
Wastewater Treatment Plants 1 1 1 1 1 1 1 1 1 1
Wastewater Collection, Lift,
and Pumping Stations 31 31 31 31 31 32 32 32 32 32
Education:
Number of Schools
High Schools 2 2 2 2 2 2 2 2 2 2
Middle Schools 4 4 4 4 4 4 4 4 4 4
Elementary Schools 8 8 8 8 8 8 8 8 8 8
Parks and Recreation:
Parks 33 33 33 33 32 32 32 32 32 32
Park Acreage 2,915 2,915 2,915 2,915 2,915 2,915 3,085 3,085 3,085 3,085
Public Landings 21 19 20 20 19 20 20 20 20 20
Library:
Number of Libraries 3 3 3 3 3 3 3 3 3 3
NOTES:
Source: Various County departments.
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