Fiscal Year 2015 CAFR (PDF)

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

QUEEN ANNE'S COUNTY, MARYLAND
COMPREHENSIVE ANNUAL FINANCIAL REPORT
FISCAL YEAR ENDED JUNE 30, 2015
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) 15-29
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 49-107
REQUIRED SUPPLEMENTARY INFORMATION 109
Maryland State Retirement and Pensions Systems
Schedule of the Proportionate Share of the Net Pension Liability 110
Schedule of Contributions 110
Actuarial Assumptions - Pension Plan 110
Other Post-Employment Benefits (OPEB) Trust
Schedule of Funding Progress 111
Budgetary Comparisons for General Fund
General Fund
Schedule of Revenues, Expenditures and Changes in Fund
Balances - Budget and Actual 112-114

QUEEN ANNE'S COUNTY, MARYLAND
COMPREHENSIVE ANNUAL FINANCIAL REPORT
FISCAL YEAR ENDED JUNE 30, 2015
TABLE OF CONTENTS (CONTINUED)
Page(s)
FINANCIAL SECTION (CONTINUED)
COMBINING AND INDIVIDUAL FUND STATEMENTS AND SCHEDULES
(SUPPLEMENTARY INFORMATION) 116
Non-Major Governmental Funds 117-119
Combining Balance Sheet 120-122
Combining Statement of Revenues, Expenditures, and Changes in Fund Balances 124-126
Schedule of Revenues, Expenditures, and Changes in Fund Balances -
Budgetary Basis 128-133
Capital Projects Funds 135
Schedule of Appropriations and Expenditures 136-138
Non-Major Enterprise Funds 139-140
Combining Statement of Net Position 141
Combining Statement of Revenues, Expenses, and Changes in Net Position 142
Combining Statement of Cash Flows 143
Fiduciary Funds 144-145
Other Post-Employment Benefit Trust Fund
Combining Statement of Fiduciary Net Position 146
Combining Statement of Changes in Fiduciary Net Position 147
Agency Funds
Statement of Assets and Liabilities 149
Statement of Changes in Assets and Liabilities 150-151
Community Partnerships for Children Special Revenue Fund 153
Combining Balance Sheets - By Grantor 154-155
Schedule of Revenues, Expenditures, and Changes in Fund Balances -
By Community Partnership Agreements (CPA) and
Non-Community Partnership Agreements (Non-CPA) 156-158
Schedule of Revenues, Expenditures, and Changes in Fund Balances -
Budgetary Basis 160-161
STATISTICAL SECTION (UNAUDITED) 163
Table
1 Net Position by Component - Government-Wide 164-165
2a Changes in Net Position - Government-Wide 166-169
2b General Tax Revenues - Governmental Activities 170
3 Fund Balances - Governmental Funds 171
4 Changes in Fund Balances - Governmental Funds 172-173
5 Assessed Value of Taxable and Exempt Property 175
6a Real Property Tax Rates - County Direct Rate 176
6b Real Property Tax Rates - County Special Taxing Districts 177
6c Real Property Tax Rates - Overlapping Governments - Towns 178-179
7 Ten Highest Commercial Property Taxpayers 180
8 Property Tax Levies and Collections 181
9 Ratios of Outstanding Debt by Type 182
10 Ratios of General Bonded Debt Outstanding 183
11 Computation of Net Direct and Overlapping Debt 185
12a Computation of Legal Debt Margin 186-187
12b Computation of Local Debt Limit 188
13 Principal Employers 189
14 Demographic Statistics 190
15 County Government Employees - Full-Time Equivalents 192
16 County Government Employees - Full-Time Only by Function 193
17 Operating Indicators by Function 194
18 Capital Asset Statistics by Function 195

Introductory Section

Queen O F F I C E O F B U D G E T , FINANCE AND
INFORMATION TECHNOLOGY
Anne’s
The Liberty Building
County 107 North Liberty Street
Centreville, Maryland 21617
County Commissioners: Telephone: (410) 758-4064
James J. Moran, At Large Fax: (410) 758-3036
Jack N. Wilson, Jr., District 1
Stephen Wilson, District 2 County Administrator: Gregg A. Todd
Robert Charles Buckey, District 3 Director, Budget, Finance and IT: Jonathan R. Seeman
Mark A. Anderson, District 4 Chief Treasury Officer: Marie Lange
December 14, 2015
The Board of County Commissioners and
The Citizens of Queen Anne’s County, Maryland
FORMAL TRANSMITTAL OF THE COMPREHENSIVE ANNUAL FINANCIAL REPORT
(CAFR)
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 comprehensive annual financial report of Queen Anne’s County, Maryland for the fiscal year ended
June 30, 2015.
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 TGM Group LLC, 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, 2015, 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,
2015, are fairly presented in conformity with GAAP. The independent auditor’s report is presented as the
first component of the financial section of this report.
____________________________ ___________________________
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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.
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 48,804 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
new County Courthouse, 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, Finance, and Information Technology. 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
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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, Finance, and Information Technology 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.
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 2015 rate for the County was 4.9%, compared to the state’s rate of
5.6% and the U.S.’s rate of 5.3%. The 2015 average rate for the County was 4.9%.
Unemployment Rate
10.0%
9.0%
8.0%
7.0%
6.0%
5.0%
4.0%
3.0%
2.0%
1.0%
0.0%
Queen Anne's County Maryland United States
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 top 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
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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 taxes remained fairly constant in fiscal year 2015, decreasing by only 0.05% to $64.7 million.
Property tax revenue is projected to remain constant into fiscal year 2016 with revenue projected to be
approximately $300 thousand above the 2015 fiscal year level. Local income tax is the County’s other
main revenue source. Income tax collections increased by 6.4% in fiscal year 2015, from $40.3 million in
fiscal year 2014 to $42.9 million in fiscal year 2015. The increase resulted from an increase in the
distributions received from the State. The projected income tax revenue for fiscal year 2016 is $44.8
million, which is $1.9 million more than the income tax revenue received in fiscal year 2015.
Recordation tax improved in fiscal year 2015 with an increase of 14.0% over fiscal year 2014, from $4.4
million in fiscal year 2014 to $5.1 million in fiscal year 2015. In addition to an increase in recordation tax
revenue, the transfer tax revenue also increased in fiscal year 2015 by 23.0%, from $1.5 million in fiscal
year 2014 to $1.8 million in fiscal year 2015. The increases in recordation and transfer tax revenue are
leading indicators that the health of the local real estate market continues to recover from the economic
downturn that began in fiscal year 2009.
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. The Ordinance requires the
County to maintain a Rainy Day Fund for contingencies in an amount equal to 7% of the following year’s
budgeted general fund operating revenues. The County funded the Rainy Day Fund with the required
amount of $8,557,813 in fiscal year 2015.
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. The Resolution requires the County to fund the Special
Fund by the amount that General Fund revenues and transfers exceed General Fund expenditures, not to
exceed $1,000,000 in any fiscal year. The transfer to the Special Fund shall only be made after the
requirements of the Rainy Day Fund have been met. The Special Fund shall not, in any event, exceed a
total of $4,000,000. The County funded the Special Fund with the required amount of $1,000,000 in fiscal
year 2015. The current balance of the Special Fund is $2,000,000.
Capital Projects - The County Commissioners’ six-year capital program, starting with fiscal year 2016,
prioritizes capital expenditures over these years to meet the County’s needs. The six-year program totals
$183.2 million and includes: $47.3 million for various Sanitary District projects (includes the Southern
Kent Island Sewer Service at $35.1 million); $31.1 million for administration and general services
(includes $22.2 million for the new courthouse); $26.3 million for Roads Board capital projects; $19.3
million for various school related projects (includes $9.1 million for the construction of a new elementary
school); and $14.7 million for parks.
FINANCIAL POLICIES
Bond Ratings - The financial policies and management practices of Queen Anne’s County were
recognized by two major rating agencies. Fitch Rating Service issued an AA+ bond rating and Moody’s
issued a rating of Aa2.
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, Finance, and
Information Technology is responsible for following certain procedures to ensure that debt limits
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QUEEN ANNE’S COUNTY, MARYLAND
GOVERNMENTAL ORGANIZATION
CERTAIN ELECTED AND OTHER OFFICIALS
AS OF JUNE 30, 2015
CERTAIN ELECTED OFFICIALS
County Commissioners James J. Moran, At Large
Jack N. Wilson, Jr., District 1
Stephen Wilson, District 2
Robert Charles Buckey, District 3
Mark A. Anderson, District 4
State’s Attorney Lance G. Richardson, Esq.
Sheriff Raymond G. Hofmann
CERTAIN DEPARTMENT HEADS AND OTHER OFFICIALS
County Administrator Gregg A. Todd
Director of Public Works Todd R. Mohn
Director of County Administration Gregg A. Todd
Director of Planning and Zoning E. Michael Wisnosky
Director of Community Services Catherine R. Willis
Director of Budget, Finance and Information Technology Jonathan R. Seeman
Chief Treasury Officer Marie K. Lange
County Attorney Patrick E. Thompson, Esq.
Independent Auditor Bond Counsel Financial Advisor
TGM Group LLC McKennon, Shelton Public Advisory Consultants
Certified Public Accountants & Henn, LLP Baltimore, Maryland
Salisbury, Maryland Baltimore, Maryland
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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, 2015, 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 Board of Education of Queen Anne’s County and
the Queen Anne’s County Free 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 of Education of Queen Anne’s County and the Queen Anne’s County Free 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
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includes evaluating the appropriateness of accounting policies used and the reasonableness of
significant accounting estimates made by management, as well as evaluating the overall presentation
of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis
for our audit opinions.
Opinions
In our opinion, 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, 2015, 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.
Emphasis of Matter
As discussed in Note 1 to the financial statements, during the year ended June 30, 2015, the County
adopted new accounting guidance from Governmental Accounting Standards Board (GASB) Statement
No. 68, “Accounting and Financial Reporting for Pensions”. Our opinion is not modified with
respect to this matter.
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.
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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.
The introductory and statistical sections have not been subjected to the auditing procedures applied in
the audit of the basic financial statements and, accordingly, we do not express an opinion or provide
any assurance on them.
Other Reporting Required by Government Auditing Standards
In accordance with Government Auditing Standards, we have also issued our report dated December
11, 2015, 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 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
December 11, 2015
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Management’s Discussion and Analysis
Introduction
This section of the Comprehensive Annual 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, 2015. 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, economic development incentive, BRIDGE fund, community
partnerships for children, dredging special assessments, Kent Narrows, franchise fee, hotel tax, law library,
inmate welfare, and agricultural transfer. 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 five agency funds. The accounting used for fiduciary funds is
much like that used for proprietary funds except that the agency 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 2015 2014 * 2015 2014 * 2015 2014 *
Current and Other Assets $ 90,381,714 $ 9 1,422,865 $ 21,611,101 $ 22,223,066 $ 1 11,992,815 $ 113,645,931
Capital Assets 1 55,865,901 150,349,444 95,643,876 94,304,327 251,509,777 244,653,771
Total Assets 246,247,615 241,772,309 117,254,977 116,527,393 363,502,592 358,299,702
Total Deferred Outflows of Resources 4,386,343 3,267,963 305,440 282,811 4,691,783 3 ,550,774
Noncurrent liabilities 165,920,840 161,740,882 22,764,531 22,137,572 188,685,371 183,878,454
Other liabilities 8,440,226 7,703,760 1,334,047 1,650,842 9,774,273 9 ,354,602
Total Liabilities 174,361,066 169,444,642 24,098,578 23,788,414 198,459,644 193,233,056
Total Deferred Inflows of Resources 3,849,435 1,778,849 1,127,090 1,407,385 4,976,525 3 ,186,234
Net position:
Net investment in capital assets 125,434,538 127,369,959 80,787,152 79,783,160 206,221,690 207,153,119
Restricted amounts 20,464,486 17,616,132 3,061,534 3,110,033 23,526,020 20,726,165
Unrestricted amounts (deficit) (73,475,567) (71,169,310) 8,486,063 8,721,212 (64,989,504) ( 62,448,098)
Total Net Position $ 72,423,457 $ 7 3,816,781 $ 92,334,749 $ 91,614,405 $ 1 64,758,206 $ 165,431,186
* Restated for prior period adjustment (see Note 19).
The County’s total current and other assets decreased by $1.7 million, or 1.5 percent, to $112.0 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 2015 by $164.8 million.
Net position is divided into three categories: net investment in capital assets; restricted amounts; and
unrestricted amounts. By far the largest portion, $206.2 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 $66.2 million at June 30, 2015. Absent the effect of this relationship, the
County would have reported positive unrestricted amounts of $1.2 million on its government-wide financial
statements, rather than the negative unrestricted net assets of $65.0 million reported herein. For a multi-year
view of this calculation, see the Footnote presented in Table 1 of the Statistical Section.
An additional $23.5 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: $9.7 million related
to general government services; $4.6 million restricted for educational purposes; $4.9 million for
economic/community development; $620 thousand for public safety; and $658 thousand for conservation of
natural resources. For business-type activities, this amount includes $2.3 million restricted to meet Sanitary
District debt covenants and $753 thousand restricted by Sanitary District developer exaction project
requirements.
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 2015 2014 * 2015 2014 * 2015 2014 *
Revenues:
Program revenues:
Charges for services $ 5,496,912 $ 6,580,425 $ 9,613,091 $ 9,111,680 $ 15,110,003 $ 15,692,105
Operating grants and contributions 4,662,151 4,786,443 206,615 128,859 4,868,766 4,915,302
Capital grants and contributions 339,966 3,167,069 1,862,257 672,725 2,202,223 3,839,794
General revenues:
Property taxes 64,672,721 64,712,683 - - 64,672,721 64,712,683
Local income tax 44,643,870 40,899,804 - - 44,643,870 40,899,804
Other local taxes
Admission and amusement taxes 155,396 155,336 - - 155,396 155,336
Recordation taxes 5,071,013 4,446,658 - - 5,071,013 4,446,658
Hotel taxes 480,752 447,970 - - 480,752 447,970
County transfer taxes 1,797,855 1,461,174 - - 1,797,855 1,461,174
Investment income 94,092 95,286 323,585 343,568 417,677 438,854
Gain on sale of capital assets 1,098,632 346,765 - - 1,098,632 346,765
Miscellaneous 1,076,893 877,629 815,430 793,951 1,892,323 1,671,580
Total Revenues 129,590,253 127,977,242 12,820,978 11,050,783 142,411,231 139,028,025
Expenses:
Governmental Activities:
General government 10,849,277 11,891,878 - - 10,849,277 11,891,878
Public safety 25,297,450 26,666,211 - - 25,297,450 26,666,211
Public works 14,363,603 14,606,918 - - 14,363,603 14,606,918
Health 1,856,158 2,083,201 - - 1,856,158 2,083,201
Social services 4,775,440 5,040,139 - - 4,775,440 5,040,139
Education 65,633,331 54,882,430 - - 65,633,331 54,882,430
Libraries 1,458,348 1,336,098 - - 1,458,348 1,336,098
Conservation of natural resources 587,147 2,395,762 - - 587,147 2,395,762
Economic and Community development 1,763,024 1,528,035 - - 1,763,024 1,528,035
Interest and fiscal charges 4,039,622 3,987,943 - - 4,039,622 3,987,943
Business-type Activities:
Water and sewer - - 10,412,432 11,059,306 10,412,432 11,059,306
Airport - - 1,014,491 807,226 1,014,491 807,226
Golf course - - 496,065 515,325 496,065 515,325
Public landings and marinas - - 537,823 544,945 537,823 544,945
Total Expenses 130,623,400 124,418,615 12,460,811 12,926,802 143,084,211 137,345,417
Increase (Decrease) in Net Position before Transfers (1,033,147) 3,558,627 360,167 (1,876,019) (672,980) 1,682,608
Transfers in (out) (360,177) (589,737) 360,177 589,737 - -
Increase (Decrease) in Net Position (1,393,324) 2,968,890 720,344 (1,286,282) (672,980) 1,682,608
Net Position, prior year as restated 73,816,781 70,847,891 91,614,405 92,900,687 165,431,186 163,748,578
Net Position - current year $ 72,423,457 $ 73,816,781 $ 92,334,749 $ 91,614,405 $ 164,758,206 $ 165,431,186
* Restated for prior period adjustment (see Note 19).
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Governmental activities:
Revenues for governmental activities were $129.6 million for fiscal year 2015. The following chart depicts
revenues by source for governmental activities:
Revenues by Source ‐
Governmental Activities
For the Year Ended June 30, 2015
Gain on Sale of Capital
County transfer taxes Assets
1.39% Investment Income 0.85% Miscellaneous
0.07% 0.83%
Hotel taxes Charges for services
Recordation taxes 0.37% 4.24%
3.91%
Admission and Operating, capital &
amusement taxes restricted grants
0.12% 3.86%
Local income tax
34.45%
Property taxes
49.91%
 Taxes comprise the largest source of County revenue, totaling $116.8 million (90.2 percent) of total
revenue for fiscal year 2015. Of that amount, property and local income tax together yielded $109.3
million (84.4 percent) of all revenue. Each County sets its own property and income tax rates, within
parameters established by the State. For fiscal year 2015, 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.
 Charges for services, totaling $5.5 million, reflect fees charged to County citizens. These primarily
support general government ($1.5 million or 27.4 percent), public works ($1.3 million or 23.2
percent), education ($1.2 million or 22.7 percent), and public safety ($1.2 million or 22.7 percent).
 Operating grants and contributions, totaling $4.7 million, reflect grants from Federal and State
agencies that support specific County programs. Programs that benefitted the most were: social
services ($2.1 million or 44.1 percent) and public safety ($1.1 million or 22.6 percent).
-19-

Expenses for all governmental activities were $130.6 million for fiscal year 2015. The following chart depicts
expenses by function for governmental activities:
Expenses ‐
Governmental Activities
For the Year Ended June 30, 2015
Economic and
Community
Interest and fiscal
development
charges
1.35%
Conservation of 3.09%
natural resources
0.45% General government
8.31%
Libraries
1.12%
Public safety
19.37%
Public works
Education 11.00%
50.23% Health
Social services
1.42%
3.66%
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 $65.6 million (50.2 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 2015 2014 2015 2014 2015 2014
Education $ 65,633,331 $ 5 4,882,430 $ 1,249,332 $ 1,721,379 $ (64,383,999) $ (53,161,051)
Public Safety 25,297,450 26,666,211 2,416,536 2,650,661 (22,880,914) ( 24,015,550)
Public Works 1 4,363,603 14,606,918 1,883,076 4,358,861 (12,480,527) ( 10,248,057)
General Government 10,849,277 11,891,878 2,246,838 2,696,910 ( 8,602,439) (9,194,968)
Social Services 4,775,440 5,040,139 2,164,825 2,159,604 ( 2,610,615) (2,880,535)
Economic and Community Development 1,763,024 1,528,035 365,902 693,531 ( 1,397,122) (834,504)
Conservation of Natural Resources 587,147 2,395,762 172,520 252,991 (414,627) (2,142,771)
Other 7,354,128 7,407,242 - - ( 7,354,128) (7,407,242)
Total $ 130,623,400 $ 124,418,615 $ 10,499,029 $ 14,533,937 $ (120,124,371) $ (109,884,678)
Of the total cost of $130.6 million for governmental activities, $10.5 million (8.0 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 $5.5 million,
while governments and other organizations that benefited indirectly from these programs contributed operating
grants of $4.7 million and capital grants of $340 thousand.
County taxpayers paid for most of the remaining $120.1 million in net program costs, through a variety of
County taxes, for a total of $116.8 million. Net program costs of services provided to the public, in order of
net cost, were: $64.4 million for education; $22.9 million for public safety; $12.5 million for public works;
$8.6 million for general government; $2.6 million for social services; $1.4 million for economic and
community development; $415 thousand for conservation of natural resources; and $7.4 million for other
services. See Changes in Net Position and General Fund Budgetary Highlights for further details.
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Changes in net position: Government-wide revenues, less expenses, plus/minus transfers in/out, yield changes
in net position. During fiscal year 2015, governmental activities decreased the County’s net position overall
by $1.4 million, compared to an increase of $3.0 million in fiscal year 2014. The following discussion
explains changes in net position relative to the prior fiscal year.
Revenues for governmental activities increased by $1.6 million (1.3 percent). The following key revenues
changed, when compared to the prior fiscal year:
 Local income tax increased by $3.7 million (9.2 percent), from $40.9 million to $44.6 million. Queen
Anne’s County has experienced some demographic changes in recent years, with the higher income
levels growing faster than more moderate income levels. The growth in income tax appears to be
related to areas which have a disproportionate impact on higher level incomes, such as growth in stock
values, investment income and capital gains.
 Capital grants and contributions decreased by $2.8 million (89.3 percent), from $3.2 million in fiscal
year 2014 to $340 thousand in fiscal year 2015. Key factors for this change are:
o Public Works decreased by $2.1 million (96.4 percent). A significant portion of this decrease was
the result of two parcels of land donated to the County in fiscal year 2014 for future expansion of
the Cross Island Trail ($1.1 million). There were no such donations in fiscal year 2015. In
addition, there was $860 thousand received in fiscal year 2014 related to a capital project that is
complete and the County did not receive any revenue for the project in fiscal year 2015.
o General Government decreased by $493 thousand (83.6 percent) as a result of grant funding for
capital projects. The majority of the decrease was in the public drainage project which received
$400 thousand more capital grant funding in fiscal year 2014 compared to fiscal year 2015. This
decrease resulted from the timing of the project.
 Charges for Services decreased by $1.1 million (16.5 percent), from $6.6 million in fiscal year 2014 to
$5.5 million in fiscal year 2015. Of this decrease, $472 thousand related to a decrease in school
impact fee revenue. Another $428 thousand resulted from a decrease in housing and community
services funding received from developers.
Expenses for governmental activities increased by $6.2 million (5.0 percent) and transfers out to business-type
activities decreased by $230 thousand. Key positive and negative expense changes, in order of relative
importance, are:
 Education expenses increased by $10.8 million (19.6 percent). The majority of the increase resulted
from additional expenses for the renovation of Stevensville Middle School, of which expenses
increased by $7.8 million in fiscal year 2015 compared to fiscal year 2014. Another portion of the
increase was the result of the operating allocation to the Board of Education increasing by $3.0 million
in fiscal year 2015, which was funding above the maintenance of effort amount.
 Conservation of Natural Resources decreased by $1.8 million (75.5 percent) due to easement
acquisitions in fiscal year 2014 ($1.6 million total) compared to no acquisitions in 2015. Generally,
the timing of easement purchases is affected by the evaluation process of the identified land, as well as
the availability of State funds.
 Public Safety expenses decreased by $1.4 million (5.1 percent). The expense related to other post-
employment benefits for public safety decreasing by $2.1 million as a result of a decrease in the
annual cost. Offsetting this decrease were increases in other areas of public safety.
 General Government decreased by $1.0 million (8.8 percent) as a result of a decrease of $1.3 million
in expense related to other post-employment benefits. This decrease was partially offset by increases
in other areas of general government.
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Business-type activities:
Revenues, transfers in, and expenses for business-type activities were $12.8 million, $360 thousand, and $12.5
million, respectively, for fiscal year 2015. The following two charts depict revenues by source and expenses by
service for business-type activities:
Revenues by Source ‐
Business‐Type Activities
For the Year Ended June 30, 2015
Investment
income Miscellaneous
2.52% 6.36%
Operating &
capital grants & Charges for
contributions services
16.14% 74.98%
Expenses by Service ‐
Business‐Type Activities
For the Year Ended June 30, 2015
Golf course Public landings
3.98% and marinas
4.32%
Airport
Water and
8.14%
sewer
83.56%
Business-type activities increased the County’s net position altogether by $720 thousand in fiscal year 2015,
which is a difference of $2.0 million compared to the prior year’s decrease of $1.3 million. The fiscal year
2015 change in net position resulted primarily from:
 Capital grants and contributions increased by $1.2 million (176.8 percent), from $673 thousand in
fiscal year 2014 to $1.9 million in fiscal year 2015. This increase was entirely the result of the timing
of capital projects for the Sanitary District. The capital grants and contributions related to the Sanitary
District increased by $1.2 million due to funds received in the current fiscal year for the Gibson’s
Grant development.
 Operating expenses before transfers decreased by $466 thousand (3.6 percent), from $12.9 million in
fiscal year 2014 to $12.5 million in fiscal year 2015, for all business-type activities. The other post-
employment benefit expense allocated to the business-type activities decreased by $604 thousand
compared to the previous fiscal year. This decrease was partially offset by minor increases in other
categories.
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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 $72.1 million, compared to $75.6 million for the prior year. Approximately
10.7 percent of this total ($7.7 million) constitutes unassigned fund balance, which is available for spending.
The total unassigned fund balance of $7.7 million is comprised of $7.8 million of positive unassigned fund
balance for the general fund, reduced by negative unassigned fund balances of $108 thousand in the non-major
governmental funds. Additional detail on the negative unassigned balances can be found in Note 15 of this
report.
The nonspendable fund balance ($6.6 million), at 9.2 percent of the total fund balance, is not available for
spending and includes amounts related to inventory and loans receivable. Restricted fund balance of $26.5
million (36.7 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 $8.6 million for the rainy day fund.
Committed fund balance of $6.2 million (8.6 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 $2.0 million for the Special Fund.
The remaining 34.8 percent of fund balance ($25.1 million) 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 $21.2 million, which is an increase of $2.8 million
from the fiscal year 2014 balance of $18.4 million.
Of the total $21.2 million in fund balance, $7.8 million is unassigned, meaning that there are no constraints on
how the funds can be spent. In fiscal year 2013, the County Commissioners adopted Ordinance No. 12-21 for
the purpose of re-establishing the Rainy Day Fund, and requires the County to maintain a Rainy Day Fund for
contingencies in an amount equal to 7% of budgeted General Fund operating revenues. As a result of that
Ordinance, $8.6 million of rainy day funds are included in the General Fund’s restricted fund balance of $8.7
million for fiscal year 2015. The remaining fund balance is comprised of $688 thousand in nonspendable, $2.0
million in committed, and $2.0 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, 2015, the General Capital Projects Fund has a total fund balance of $30.8 million, compared to
$39.4 million at the end of the prior fiscal year. The $30.8 million in total fund balance is comprised of $1.2
million of nonspendable fund balance, $6.3 million in restricted fund balance, mainly for unspent bond
proceeds, $3.5 million of fund balance committed for specific projects, and $19.8 million of assigned fund
balance.
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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, and are financed mostly
from roads-related capital grants and roads benefit assessments.
As of June 30, 2015, the Roads Capital Projects Fund has a total fund balance of $3.6 million, compared to
$4.4 million at the end of the prior fiscal year. Of this total $3.6 million fund balance, $2.9 million has been
assigned to fund ongoing projects, while $704 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 2015
amounted to $8.7 million, which is $1.9 million less than the prior year.
Total net position of the Sanitary District amounted to $70.3 million at the end of fiscal year 2015, which
increased by $882 thousand when compared to the prior year. A large portion of the increase relates to the
decrease in costs associated with other post-employment benefits (OPEB), which totaled $446 thousand in
fiscal year 2015 for the Sanitary District. In fiscal year 2014, the OPEB costs totaled $1.0 million.
The unrestricted net position of the Bay Bridge Airport Enterprise Fund at year end amounted to negative
$220 thousand compared to a negative $512 thousand at the end of the prior fiscal year, reflecting an increase
of $292 thousand.
Total net position of the Bay Bridge Airport amounted to $15.8 million at the end of fiscal year 2015, which
was a slight decrease from the prior year amount of $15.9 million.
A discussion of Enterprise Fund capital assets and long-term debt can be found in those sections presented
later in this MD&A.
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 $119.9 million. Amendments increased spending authority by $972 thousand during fiscal year
2015, when compared to the original budget of $118.9 million.
Major components of these expenditure budget increases are as follows:
 Budgeted Transfers Out to General Capital Projects increased by $2.0 million during the year. 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 Parks Expenditures increased by $492 thousand as a result of a reorganization in fiscal year
2015 causing several employees to be transferred from other departments to the Parks Department.
This increase was offset by savings in other departments.
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 Budgeted Volunteer Fire and Rescue Services Expenditures increased by $304 thousand due to
additional costs associated with workmen’s compensation expense.
 Budgeted Debt Service Expenditures decreased by $525 thousand due to savings resulting from the
timing of bond payments for the fiscal year 2014 bonds.
 Budgeted Miscellaneous Expenditures decreased by $1.2 million due to a variety of savings, mostly
associated with contingencies.
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 $147 thousand. Actual
expenditures, and other financing uses, were less than final budgetary appropriations by $2.8 million. The net
effect of these two disparities was a positive variance of actual to final budget of $3.0 million.
The most noteworthy differences between final budgeted amounts and actual amounts are summarized as
follows:
Revenues:
 Transfers In were $985 thousand less than the final budget (78.6 percent), as a result of the transfer in
from School Impact fees not made in the fiscal year. Management determined that it was more
advantageous to leave the money in the Impact Fee Fund in anticipation of future Board of Education
projects.
Expenditures:
 Final Budgeted Salaries and Benefits were $31.1 million for the year, while actual costs were $30.1
million. They were underspent at year-end by $973 thousand (3.1 percent). Of this amount, the
Sheriff’s Office was responsible for $525 thousand of the unspent portion and the solid waste
department for $205 thousand. This was due to the number of vacant positions during the fiscal year
and the lapsed funds associated with the recruitment of staff.
 Final Budgeted Other Operating Charges were $88.8 million for the year, while actual costs were
$86.9 million. These costs were lower than budget at year end by $1.9 million (2.1 percent).
Operating Charges include contracted services, supplies, debt service, transfers out, and other charges.
o Contracted Services were underspent by $262 thousand, with the largest savings realized by
the detention center ($159 thousand) and information technology ($79 thousand).
o Supplies were underspent by $485 thousand, largely due to savings by roads ($244 thousand).
o Other Charges were underspent by $695 thousand, primarily due to savings in the Health
Department of $287 thousand. This represents the unspent portion of their allocation and was
returned to the County in fiscal year 2015. In addition, insurance costs were underspent by
$186 thousand due to savings in retiree health care costs and also general insurance expenses.
The solid waste department also realized savings of $116 thousand. The remaining savings
for other charges were spread throughout the General Fund.
o Transfers Out were underspent by $423 thousand, primarily due to savings realized by the
Department of Aging ($221 thousand), the Department of Housing ($109 thousand) and the
Golf Course Enterprise Fund ($93 thousand), which allowed these Departments to forgo this
portion of their appropriation.
-25-

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, 2015 amounted to $251.5 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 2015 2014 2015 2014 2015 2014
Land and Land Improvements $ 87,485,213 $ 87,771,980 $ 15,420,127 $ 14,158,331 $ 102,905,340 $ 101,930,311
Intangible Rights - Easements 821,819 821,819 6,140 6,140 827,959 827,959
Construction in Progress 10,986,604 4,577,269 850,582 4,724,659 11,837,186 9,301,928
Buildings 28,801,993 29,750,342 6,801,057 7,413,498 35,603,050 37,163,840
Improvements other than Buildings 7,438,743 7,762,975 10,711,646 8,318,916 18,150,389 16,081,891
Infrastructure 11,029,472 11,358,610 50,040,254 47,025,639 61,069,726 58,384,249
Auto, Machinery, and Equipment 9,302,057 8,306,449 11,814,070 12,657,143 21,116,127 20,963,592
Total $ 155,865,901 $ 150,349,444 $ 95,643,876 $ 94,304,326 $ 251,509,777 $ 244,653,770
Queen Anne’s County’s total investment in capital assets for the current fiscal year, net of depreciation,
increased by 2.8 percent, or $6.8 million. Of this amount, governmental investment in capital assets increased
by $5.5 million, while business-type investment in capital assets increased by $1.3 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.
Governmental Activities
Changes in Capital Assets 2014 Additions Transfers Retirements 2015
Land and Land Improvements $ 87,771,980 $ - $ - $ (286,767) $ 87,485,213
Intangible Rights - Easements 821,819 - - - 821,819
Construction in Progress 4,577,269 6,409,335 - - 10,986,604
Buildings 41,716,794 - - (32,723) 41,684,071
Improvements other than Buildings 9,577,406 - - - 9,577,406
Infrastructure 18,926,771 - - - 18,926,771
Auto, Machinery, and Equipment 29,945,924 2,602,132 - (1,029,851) 31,518,205
Total Assets before depreciation 193,337,963 9,011,467 - (1,349,341) 201,000,089
Less Depreciation (42,988,519) (3,162,028) - 1,016,359 (45,134,188)
Total Assets after depreciation $ 150,349,444 $ 5,849,439 $ - $ (332,982) $ 155,865,901
Business-Type Activities
Changes in Capital Assets 2014 Additions Transfers Retirements 2015
Land and Land Improvements $ 14,158,331 $ - $ 1,261,796 $ - $ 15,420,127
Intangible Rights - Easements 6,140 - - - 6,140
Construction in Progress 4,724,659 3,192,670 ( 7,066,747) - 850,582
Buildings 14,703,860 - - - 14,703,860
Improvements other than Buildings 11,914,132 - 2,910,335 - 14,824,467
Infrastructure 73,114,909 1,857,257 2,894,616 - 77,866,782
Auto, Machinery, and Equipment 23,845,145 2 89,574 - (148,518) 23,986,201
Total Assets before depreciation 142,467,176 5,339,501 - (148,518) 147,658,159
Less Depreciation (48,162,850) (3,999,951) - 148,518 (52,014,283)
Total Assets after depreciation $ 94,304,326 $ 1,339,550 $ - $ - $ 95,643,876
-26-

Noteworthy capital asset events during the current fiscal year for governmental activities included the
following:
 Land and Land Improvements decreased by a net amount of $287 thousand. The County sold two
commercial lots in the Matapeake Professional Park with a total historical cost of $284 thousand.
 Construction in Progress (CIP) increased by a net amount of $6.4 million. The following factors
contributed to this increase:
Major additions to Construction in Progress include: (a) Phase two of the radio system upgrade for the
Emergency Services Department ($3.2 million); (b) Construction phase work for the new county
complex ($2.0 million); (c) Architectural services related to construction of the new Courthouse ($443
thousand); (d) Construction of fiber infrastructure to serve county facilities and potentially the general
public ($255 thousand); (e) Site improvements at solid waste transfer stations ($124 thousand); and (f)
Upgrades to longer lasting, more efficient lighting at various county locations ($98 thousand).
 Auto, Machinery and Equipment increased by $1.6 million. The following factors contributed to this
net increase:
Additions totaled $2.6 million and included: (a) Roads Department replacement vehicles and
equipment ($1.1 million); (b) Solid Waste department vehicle and equipment replacement ($284
thousand); (c) Emergency Services department vehicle and equipment replacement ($315 thousand);
(d) General Services and DPW Administration vehicle and equipment replacement ($100 thousand);
(e) Sheriff’s Department vehicle and equipment replacement ($348 thousand); and (f) Parks
Department vehicle and equipment replacement ($123 thousand).
Retired assets of $1.0 million included the following, the majority of which were fully depreciated: (a)
Vehicles traded by the Solid Waste department ($218 thousand); (b) Obsolete Parks department
equipment sold or discarded ($146 thousand); (c) Obsolete Roads department equipment sold or
discarded ($212 thousand); (d) Sheriff vehicles sold as part of replacement program ($233 thousand);
and (e) Obsolete computer software, hardware, and other office equipment sold or discarded ($46
thousand).
Noteworthy capital asset transactions during the current fiscal year for business-type activities included the
following:
 Land and Land Improvements increased by $1.3 million. This increase is related to non-depreciable
site preparation and base work necessary to complete the Pier One Road relocation.
 Construction in Progress decreased by $3.9 million. This net decrease resulted from the following
activity:
Major additions to construction in progress totaled $3.2 million and included: (a) costs to construct
sewer and water infrastructure along Postal Road ($1.2 million); (b) improvements to the Bay Bridge
Airport property including the Pier One Road relocation, new hangar construction, and due diligence
activities for future easement acquisitions ($1.5 million); and (c) planning and design phase work for
the southern Kent Island sewer system ($434 thousand).
Costs that were reclassified from Construction in Progress to other capital asset accounts totaled $7.1
million and included: (a) Postal Road sewer and water ($2.6 million); (b) Airport Apron ($2.9
million); and (c) Pier One Road ($1.6 million).
 Improvements other than Buildings increased by $2.9 million. This increase related to the completion
of a new apron at the Bay Bridge Airport.
-27-

 Infrastructure increased by $4.8 million due to the following asset additions: (a) Postal Road sewer
and water ($2.6 million); (b) commercial developers contributed water and sewer infrastructure to be
maintained by the County ($1.9 million); and (c) the Pier One Road ($315 thousand).
 Auto, Machinery and Equipment increased by a net amount of $140 thousand. Additions totaled $289
thousand, and were mainly comprised of new sewer pumps, well pumps, and other sanitation
equipment. Retirements totaled $149 thousand, and were primarily related to the Sanitary District as
follows: (a) obsolete pumps and generators ($89 thousand); (b) retirement of obsolete software ($26
thousand); and (c) the sale of two service trucks no longer in service ($33 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, other post-employment benefit obligations, net pension liability, and compensated
absence obligations of $188.7 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 $188.7 million in debt, $22.8 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 $2.7 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.
Debt activities are summarized as follows:
Bonded Debt, Loans,
Other Post-Employment Benefit Obligation, Governmental Activities Business Type Activities Total
Pension Liability, and Compensated Absences 2015 2014 * 2015 2014 * 2015 2014 *
Bonds, Notes, and Premiums $ 112,844,838 $ 108,841,719 $ 14,929,213 $ 14,638,211 $ 1 27,774,051 $ 123,479,930
Other Post-Employment Benefit Obligation 3 3,920,346 32,201,835 5,951,774 5,477,412 39,872,120 37,679,247
Net Pension Liability 1 6,857,736 18,585,735 1,573,426 1,734,710 18,431,162 20,320,445
Compensated Absences 2,297,920 2,111,593 310,118 287,239 2,608,038 2 ,398,832
Total Long-term Debt $ 165,920,840 $ 161,740,882 $ 22,764,531 $ 22,137,572 $ 1 88,685,371 $ 183,878,454
* Restated for prior period adjustment (see Note 19).
During the 2015 fiscal year, the County’s total net debt increased by $4.8 million (2.6 percent). Of this
amount, governmental debt increased by $4.2 million (2.6 percent), while business-type debt increased by
$627 thousand (2.8 percent). In fiscal year 2015, the County issued 2015 bonds totaling $12.2 million and
also issued 2015 refunding bonds totaling $14.0 million. In addition, the total Other Post-Employment
Benefit Obligations also increased by $2.2 million. Offsetting these increases 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 $7.2 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 2015, Queen Anne’s County Government received an “AA+” bond rating from Fitch Rating
Service and an “Aa2” bond rating from Moody’s Investors Service.
-28-

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 2016 fiscal year:
 Property assessments are projected to increase by 0.43 percent over the previous year, based on State
Assessment Office values used to compute the Constant Yield rate.
 Income tax revenue is projected to increase to $44.8 million in fiscal year 2016, which is a 4.4%
increase over actual receipts for fiscal year 2015.
The following are a few of the highlights from the fiscal year 2016 budget:
o Other Post-Employment Benefits shall continue to be funded in accordance with the approved
ten year plan;
o The Board of Education will be funded at $1.3 million above Maintenance of Effort in fiscal
year 2016;
o The County’s pay for performance system will continue in fiscal year 2016 using the rating
levels of 1, 2, and 3;
o The County’s educational assistance program will be reinstated in fiscal year 2016;
o County employees shall receive a one and a half percent cost of living allowance as of July 1,
2015, with the exception of employees hired between January 1, 2015 and June 30, 2015 who
will receive a one and a half percent cost of living allowance as of January 1, 2016;
o County employees making $40,000 or less will receive $600 as their cost of living allowance
and County employees making $80,000 or more will receive $1,200 as their cost of living
allowance; and
o Funding will be provided to enhance economic development and tourism.
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 or can be emailed to
accounting@qac.org. This report can also be found on the County’s website, http://www.qac.org (see
Government, Departments, Office of Budget, Finance, and IT, Accounting section, Link to 2015
Comprehensive Annual Financial Report (CAFR)).
-29-

-30-

Basic Financial Statements
-31-

QUEEN ANNE'S COUNTY, MARYLAND
STATEMENT OF NET POSITION
JUNE 30, 2015
PRIMARY GOVERNMENT
GOVERNMENTAL BUSINESS-TYPE
ACTIVITIES ACTIVITIES TOTAL
ASSETS
Equity in Pooled Cash and Investments $ 55,590,512 $ 11,313,619 $ 66,904,131
Cash and Cash Equivalents - - -
Taxes Receivable (Net) 593,861 - 593,861
Accounts and Loans Receivable (Net) 7,467,540 519,438 7,986,978
Special Assessments (Net) 722,804 - 722,804
Internal Balances 396,254 (396,254) -
Due from Primary Government - - -
Due from Other Governments 13,759,597 88,206 13,847,803
Bond Interest Reimbursement Receivable - Build America Bond 93,472 3,826 9 7,298
Inventories 675,458 556,446 1,231,904
Prepaid Items 12,319 - 1 2,319
Restricted Assets:
Equity in Pooled Cash and Investments 11,069,897 8,543,775 19,613,672
Accounts Receivable (Net) - 21,619 2 1,619
Special Assessments Receivable (Net) - 960,426 960,426
Capital Assets:
Nondepreciable Assets 99,293,636 16,276,849 115,570,485
Depreciable Assets, Net 56,572,265 79,367,027 135,939,292
Total Assets 246,247,615 117,254,977 363,502,592
DEFERRED OUTFLOWS OF RESOURCES
Deferred Outflows related to Pensions 2,521,294 252,614 2,773,908
Deferred Charge on Refunding 1,865,049 52,826 1,917,875
Total Deferred Outflows of Resources 4,386,343 305,440 4,691,783
LIABILITIES
Accounts Payable and Other Current Liabilities 4,301,972 622,457 4,924,429
Accrued Interest Payable 841,326 78,186 919,512
Due to Component Units 2,104,360 - 2,104,360
Due to Other Governmental Agencies 334,194 - 334,194
Unearned Revenue 858,374 570,906 1,429,280
Escrow Deposits - 62,498 6 2,498
Noncurrent Liabilities:
Due within One Year 9,547,655 1,324,491 10,872,146
Due in More than One Year 156,373,185 21,440,040 177,813,225
Total Liabilities 174,361,066 24,098,578 198,459,644
DEFERRED INFLOWS OF RESOURCES
Deferred Inflows related to Pensions 1,845,189 172,221 2,017,410
Deferred Assessments 782,771 954,869 1,737,640
Deferred Fees 1,221,475 - 1,221,475
Total Deferred Inflows of Resources 3,849,435 1,127,090 4,976,525
NET POSITION
Net Investment in Capital Assets 125,434,538 80,787,152 206,221,690
Amounts Restricted for:
General Government 9,739,787 - 9,739,787
Education 4,555,956 - 4,555,956
Economic/Community Development 4,890,776 - 4,890,776
Public Safety 619,918 - 619,918
Conservation of Natural Resources 657,942 - 657,942
Social Services 107 - 1 07
Debt Service - 2,308,234 2,308,234
Capital Projects - 753,300 753,300
Other Purposes - - -
Unrestricted Amounts (Deficit) ( 73,475,567) 8,486,063 (64,989,504)
Total Net Position $ 72,423,457 $ 92,334,749 $ 164,758,206
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, 2015
(CONTINUED)
COMPONENT UNITS
BOARD OF FREE
EDUCATION LIBRARY
$ - $ -
12,039,717 367,028
- -
202,246 30,031
- -
- -
2,167,479 -
1,433,851 -
- -
32,419 -
- 17,263
- 623,722
- -
- -
27,083,385 29,850
145,232,324 1,093,766
188,191,421 2,161,660
512,789 -
- -
512,789 -
12,129,795 63,616
- -
- -
- -
464,256 -
- -
670,725 -
47,174,568 1,259,558
60,439,344 1,323,174
390,704 -
- -
- -
390,704 -
169,230,662 1,123,616
- -
- -
- -
- -
- -
- -
- -
423,999 -
6,461 10,500
( 41,786,960) (295,630)
$ 127,874,162 $ 838,486
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, 2015
PRIMARY GOVERNMENT
OPERATING CAPITAL
CHARGES FOR GRANTS AND GRANTS AND TOTAL
EXPENSES SERVICES CONTRIBUTIONS CONTRIBUTIONS REVENUE
PRIMARY GOVERNMENT
Governmental Activities
General Government $ 10,849,277 $ 1,505,857 $ 644,297 $ 96,684 $ 2,246,838
Public Safety 25,297,450 1,244,752 1,052,666 119,118 2,416,536
Public Works 14,363,603 1,275,538 527,538 80,000 1,883,076
Health 1,856,158 - - - -
Social Services 4,775,440 68,187 2,056,111 40,527 2,164,825
Education 6 5,633,331 1,249,332 - - 1,249,332
Library 1 ,458,348 - - - -
Conservation of Natural Resources 587,147 72,688 96,195 3,637 172,520
Economic/Community Development 1 ,763,024 80,558 285,344 - 365,902
Interest and Fiscal Charges 4 ,039,622 - - - -
Total Governmental Activities 130,623,400 5,496,912 4,662,151 339,966 10,499,029
Business-type Activities
Water and Sewer 1 0,412,432 8,840,213 90,000 1,862,257 10,792,470
Airport 1 ,014,491 53,200 73,311 - 126,511
Golf Course 496,065 295,955 - - 295,955
Public Landings and Marinas 537,823 423,723 43,304 - 467,027
Total Business-type Activities 1 2,460,811 9,613,091 206,615 1,862,257 11,681,963
Total Primary Government $ 1 43,084,211 $ 15,110,003 $ 4,868,766 $ 2,202,223 $ 22,180,992
COMPONENT UNITS
Board of Education $ 1 10,123,255 $ 1,407,148 $ 13,006,856 $ - $ 14,414,004
Free Library 1 ,998,236 5,071 211,334 - 216,405
Total Component Units $ 1 12,121,491 $ 1,412,219 $ 13,218,190 $ - $ 14,630,409
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, as previously reported
Adjustment to Beginning Net Position
Net Position - Beginning of Year, as Restated
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 QUEEN ANNE'S COUNTY, MARYLAND
STATEMENT OF ACTIVITIES STATEMENT OF ACTIVITIES
FOR THE YEAR ENDED JUNE 30, 2015 FOR THE YEAR ENDED JUNE 30, 2015
(CONTINUED)
NET (EXPENSE) REVENUE AND CHANGES IN NET POSITION
PRIMARY GOVERNMENT COMPONENT UNITS
GOVERNMENTAL BUSINESS-TYPE BOARD OF FREE
ACTIVITIES ACTIVITIES TOTAL EDUCATION LIBRARY
$ ( 8,602,439) $ - $ (8,602,439) $ - $ -
( 22,880,914) - (22,880,914) - -
( 12,480,527) - (12,480,527) - -
( 1,856,158) - (1,856,158) - -
( 2,610,615) - (2,610,615) - -
( 64,383,999) - (64,383,999) - -
( 1,458,348) - (1,458,348) - -
( 414,627) - (414,627) - -
( 1,397,122) - (1,397,122) - -
( 4,039,622) - (4,039,622) - -
( 120,124,371) - (120,124,371) - -
- 380,038 380,038 - -
- (887,980) (887,980) - -
- (200,110) (200,110) - -
- (70,796) (70,796) - -
- (778,848) (778,848) - -
$ ( 120,124,371) $ (778,848) $ (120,903,219) $ - $ -
$ - $ - $ - $ (95,709,251) $ -
- - - - ( 1,781,831)
- - - (95,709,251) ( 1,781,831)
64,672,721 - 64,672,721 - -
44,643,870 - 44,643,870 - -
155,396 - 155,396 - -
5,071,013 - 5,071,013 - -
480,752 - 480,752 - -
1,797,855 - 1,797,855 - -
- - - 1 03,341,853 1,570,623
94,092 323,585 417,677 1 8,052 2,822
1,098,632 - 1,098,632 - -
1,076,893 815,430 1,892,323 1 85,789 82,218
( 360,177) 360,177 - - -
118,731,047 1,499,192 120,230,239 1 03,545,694 1,655,663
( 1,393,324) 720,344 (672,980) 7 ,836,443 ( 126,168)
90,218,678 93,112,718 183,331,396 1 23,504,380 964,654
( 16,401,897) (1,498,313) (17,900,210) (3,466,661) -
73,816,781 91,614,405 165,431,186 1 20,037,719 964,654
$ 72,423,457 $ 92,334,749 $ 164,758,206 $ 1 27,874,162 $ 838,486
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, 2015
MAJOR FUNDS NON-MAJOR TOTAL
GENERAL GENERAL ROADS GOVERNMENTAL GOVERNMENTAL
FUND CAPITAL CAPITAL FUNDS FUNDS
ASSETS
Cash and Cash Equivalents $ 17,645,275 $ 22,053,114 $ 3,721,634 $ 12,170,489 $ 55,590,512
Prepaid Items 12,319 - - - 1 2,319
Receivables
Taxes Receivable (Net) 534,109 - - 59,752 5 93,861
Accounts and Loans Receivable 226,897 1,160,378 15,002 6,065,263 7 ,467,540
Special Assessments (Net) - - 217,235 505,569 7 22,804
Due from Other Governments 8,446,812 126,604 - 554,470 9 ,127,886
Due from Other Funds 601,810 54,922 - - 6 56,732
Inventory 675,458 - - - 6 75,458
Restricted
Restricted Equity in Pooled Cash - 11,069,897 - - 11,069,897
Total Assets $ 28,142,680 $ 34,464,915 $ 3,953,871 $ 19,355,543 $ 85,917,009
LIABILITIES
Accrued Liabilities $ 2,381,169 $ 1,500,239 $ 32,106 $ 384,042 $ 4,297,556
Due to Other Funds - - - 260,478 2 60,478
Due to Component Units - 2,104,360 - - 2 ,104,360
Due to Other Governmental Agencies - - - 334,194 3 34,194
Unearned Revenue 611,346 71,678 - 175,350 8 58,374
Total Liabilities 2,992,515 3,676,277 32,106 1,154,064 7 ,854,962
DEFERRED INFLOWS OF RESOURCES
Unavailable Income Taxes 2,929,270 - - - 2 ,929,270
Unavailable Property Taxes 146,105 - - - 1 46,105
Unavailable Inter-County Bonds Receivable 877,941 - - - 8 77,941
Unavailable Benefit Assessments - - 277,202 505,569 7 82,771
Unavailable Fees - - - 1,221,475 1 ,221,475
Total Deferred Inflows 3,953,316 - 277,202 1,727,044 5 ,957,562
FUND BALANCES
Nonspendable 687,777 1,158,824 - 4,760,224 6 ,606,825
Restricted 8,681,112 6,283,720 - 11,510,652 26,475,484
Committed 2,000,000 3,505,190 703,987 - 6 ,209,177
Assigned 2,034,875 19,840,904 2,940,576 311,744 25,128,099
Unassigned 7,793,085 - - ( 108,185) 7 ,684,900
Total Fund Balances 21,196,849 30,788,638 3,644,563 16,474,435 72,104,485
Total Liabilities, Deferred Inflows and
Fund Balances $ 28,142,680 $ 34,464,915 $ 3,953,871 $ 19,355,543 $ 85,917,009
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, 2015
Total Fund Balance - Governmental Funds $ 72,104,485
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 4,631,711
A portion of the County’s 2009 Bond offering was issued using
Build America Bonds. As an incentive to use these bonds, the Federal
government offered an interest reimbursement grant, which offsets the
County's debt service for interest expense. At year end, a receivable is booked
for the interest reimbursement due, but not yet received, which relates to the
interest expense not paid yet.
ADD Bond Interest Reimbursement Receivable - Build America Bond 93,472
Capital assets used in governmental fund activities are not current financial resources
and therefore are not reported in the funds.
ADD Nondepreciable capital assets
Land and Land Improvements $ 43,912,700
Infrastructure 44,394,332
Construction in Progress 10,986,604 99,293,636
ADD Depreciable capital assets
Buildings 41,684,071
Improvements other than Buildings 9,577,406
Machinery and Equipment 20,040,703
Automobiles and Trucks 11,477,502
Infrastructure 18,926,771
Less Accumulated depreciation (45,134,188) 56,572,265
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.
ADD Property Taxes deferred in governmental funds 146,105
ADD Income Taxes deferred in governmental funds 2,929,270
ADD Loans receivable deferred in governmental funds 877,941 3,953,316
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.
SUBTRACT Accrued Interest Payable (841,326)
SUBTRACT Liability for Retirement Incentive (4,416)
SUBTRACT Long-Term Liabilities Due within One Year
Accrued Compensated Absences (1,343,904)
Bonds and Notes Payable (8,203,751) (9,547,655)
SUBTRACT Long-Term Liabilities Due in More than One Year
Other Post-Employment Benefit Obligation (33,920,346)
Net Pension Liability (16,857,736)
Accrued Compensated Absences (954,016)
Bonds and Notes Payable (104,641,087) (156,373,185)
ADD / SUBTRACT Deferred Inflows and Outlfows
Deferred Inflows - Maryland State Pension (1,845,189)
Deferred Outflows - Maryland State Pension 2,521,294
Deferred Charge On Refunding 1,865,049 2,541,154
Total Net Position - Governmental Activities $ 72,423,457
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, 2015
MAJOR FUNDS NON-MAJOR TOTAL
GENERAL GENERAL ROADS GOVERNMENTAL GOVERNMENTAL
FUND CAPITAL CAPITAL FUNDS FUNDS
REVENUES
Taxes
Local Property Tax $ 6 4,643,520 $ - $ - $ 28,772 $ 64,672,292
Local Income Tax 4 2,889,715 - - - 42,889,715
Admission and Amusement Taxes 155,396 - - - 155,396
Recordation Taxes 3 ,399,247 506,595 - 1,165,171 5,071,013
Hotel Taxes - - - 480,752 480,752
County Transfer Taxes 1 ,797,855 - - - 1,797,855
State Shared Taxes 518,326 - - 39,508 557,834
Licenses and Permits 615,401 - - 447,516 1,062,917
Intergovernmental 1 ,742,520 103,728 - 2,184,328 4,030,576
Bond Interest Reimbursement - Build America Bond 375,323 - - - 375,323
Charges for Current Services 2 ,170,142 56,053 78,731 1,946,909 4,251,835
Fines and Forfeitures 82,059 - - 100,101 182,160
Investment Income 56,231 8,643 18,208 11,010 94,092
Donations 4,380 - - 37,011 41,391
Miscellaneous 948,444 79,370 - 49,079 1,076,893
Total Revenues 1 19,398,559 754,389 96,939 6,490,157 126,740,044
EXPENDITURES
Current
General Government 7 ,081,681 865,449 - 380,233 8,327,363
Public Safety 2 1,929,943 594,848 - 608,817 23,133,608
Public Works 8 ,458,784 29,754 715,492 - 9,204,030
Health 1 ,822,856 - - - 1,822,856
Social Services 284,474 55,728 - 3,261,944 3,602,146
Education 5 3,020,064 12,663,844 - - 65,683,908
Library 1 ,432,500 - - - 1,432,500
Conservation of Natural Resources 517,319 47,970 - - 565,289
Economic/Community Development 279,687 61,962 - 1,275,135 1,616,784
Parks 2 ,754,492 83,447 - - 2,837,939
Recreation 505,892 - - - 505,892
Intergovernmental 302,377 - - - 302,377
Miscellaneous 3 ,233,208 - - - 3,233,208
Capital Outlay - 7,550,846 1,158,314 24,349 8,733,509
Debt Service
Principal 7 ,400,186 - - 44,425 7,444,611
Debt Issuance Costs - 403,572 - - 403,572
Interest and Fiscal Charges 3 ,846,823 - - - 3,846,823
Total Expenditures 1 12,870,286 22,357,420 1,873,806 5,594,903 142,696,415
Excess of Revenues Over (Under) Expenditures 6 ,528,273 (21,603,031) ( 1,776,867) 895,254 ( 15,956,371)
OTHER FINANCING SOURCES (USES)
Issuance of Debt - 24,549,249 835,244 - 25,384,493
Bond Premiums - 1,901,240 - - 1,901,240
Payments to Bond Refunding Agent - (14,881,834) - - ( 14,881,834)
Proceeds of Capital Asset Disposals 75,098 1,254,900 - 1,610 1,331,608
Insurance Proceeds 57,916 - - - 57,916
Transfers In 268,376 2,178,450 180,000 2,452,815 5,079,641
Transfers Out (4,154,321) (2,027,148) - (268,376) ( 6,449,845)
Other Financing Sources (Uses) (3,752,931) 12,974,857 1,015,244 2,186,049 12,423,219
Net Increase (Decrease) in Fund Balances 2 ,775,342 (8,628,174) ( 761,623) 3,081,303 ( 3,533,152)
Fund Balances, July 1 1 8,421,507 39,416,812 4,406,186 13,393,132 75,637,637
Fund Balances, June 30 $ 2 1,196,849 $ 30,788,638 $ 3,644,563 $ 16,474,435 $ 72,104,485
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, 2015
Change in Fund Balances - Total governmental funds, per Statement of Revenues, Expenditures,
and Changes in Fund Balances of Governmental Funds $ ( 3,533,152)
Amounts reported for governmental activities in the Statement of Activities are different because:
Capital outlay expenditures are reported in Governmental Funds during the year. However, in the Statement
of Activities, costs for capital asset purchases are allocated over the estimated useful lives of those of those assets and reported as depreciation
expense over a number of years. Therefore, the change in assets differs from the change in fund balance by the amount of capital asset
purchases that will be capitalized and depreciated over a number of years, less the offsetting depreciation expense for the current year.
Proceeds received on disposal of capital assets are reported in Governmental Funds as current financial
resources. In the Statement of Activities, only the gain or (loss) realized on disposal of capital assets is reported. Thus, the change in net assets
differs from the change in fund balance by the cost of capital assets sold, net of accumulated depreciation (i.e., book value). In addition,
developer contributions of capital assets (primarily infrastructure) are not reported in Governmental Funds because they do not represent current
financial resources available to cover this year's expenditures. Thus, the change in net assets differs from the change in fund balance by the capital assets received.
Donated Capital Assets are not reported in Governmental Funds because they are not current financial resources.
However, in the Statement of Activities, they are recognized as capital contributions and as capital assets.
The following is a summary of the net increase in capital assets, which is detailed in Note 6 - Capital Assets - Primary Government.
ADD capital assets acquired as capital outlay $ 222,307
ADD capital assets resulting from general capital projects 7,550,846
ADD capital assets resulting from roads capital projects 1,158,314
ADD capital asset donations and transfers 8 0,000
SUBTRACT book value of disposed capital assets, net of accumulated depreciation (332,982)
SUBTRACT current year depreciation expense (3,162,028)
Net Increase in Capital Assets 5,516,457
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 (168,290)
A portion of the County’s 2009 Bond offering was issued using Build America Bonds. As an incentive to use these bonds, the Federal
government offered an interest reimbursement grant, which offsets the County’s debt service for interest expense. Therefore, at year end,
a receivable is booked for the interest reimbursement due, but not yet received.
CHANGE in bond interest reimbursement receivable - Build America Bond (3,007)
Liability for retirement incentive
As part of the retirement incentives offered in fiscal years 2011 and 2012, retirees were given a certain period of health insurance at
at no cost, rather than the normal premium. The maximum period of no cost health insurance was three 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.
CHANGE in liability for the retirement incentive 17,679
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 429
CHANGE in Income Tax Deferred Inflows 1,754,156
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 Assets,
issuing debt increases long term liabilities, while repayment reduces those liabilities.
ADD retirements and repayments made on long term debt 23,282,614
SUBTRACT proceeds of debt ( 27,285,733)
SUBTRACT College reimbursement received (325,761)
ADD County's allocation to College for debt 5 0,576
Change in Deferred Refunding Costs 780,924
(3,497,380)
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 204,356
Change in accrued Other Post Employment Benefit Obligation (1,718,511)
Change in Accrued Compensated Absences (186,327)
Change in deferred outflow of resources - Maryland State Pension (see Note 12) 337,456
Change in deferred inflow of resources - Maryland State Pension (see Note 12) (1,845,189)
Change in net pension liability - Maryland State Pension (see Note 12) 1,727,999
Change in Net Position - governmental activities, per Statement of Activities $ ( 1,393,324)
The accompanying notes to the basic financial statements are an integral part of this statement.
-39-

QUEEN ANNE'S COUNTY, MARYLAND QUEEN ANNE'S COUNTY, MARYLAND
STATEMENT OF NET POSITION STATEMENT OF NET POSITION
ENTERPRISE FUNDS ENTERPRISE FUNDS
JUNE 30, 2015 JUNE 30, 2015
(CONTINUED)
SANITARY DISTRICT
SEWER WATER RESTRICTED
ASSETS OPERATIONS OPERATIONS FUND
Current Assets
Unrestricted
Equity in Pooled Cash $ 6,874,424 $ 3 ,594,833 $ -
Accounts Receivable (Net) 3 18,735 179,151 -
Due from Other Funds 3 87,778 - -
Due from Other Governments - - -
Bond Interest Reimbursement Receivable - Build America Bond - - -
Inventories 5 23,905 - -
Restricted
Restricted Equity in Pooled Cash - - 5 ,848,392
Restricted Accounts Receivable (Net) - - 6,816
Total Current Assets 8,104,842 3 ,773,984 5 ,855,208
Noncurrent Assets
Restricted
Special Assessments Receivable (Net) - - 952,578
Capital Assets
Intangible Rights - 6,140 -
Land, Improved and Unimproved 8 14,531 - -
Buildings and Improvements to Buildings 12,977,010 180,203 -
Improvements Other Than Buildings 1,615,474 128,152 -
Automotive Equipment 1,052,397 259,422 -
Equipment 20,519,704 1 ,488,050 -
Furniture and Fixtures 2 8,779 13,681 -
Infrastructure Improvements 54,669,030 2 2,882,303 -
Construction in Progress 4 33,919 - -
Capital Assets before Depreciation 92,110,844 2 4,957,951 -
Less Accumulated Depreciation (38,734,285) (8,385,015) -
Total Capital Assets, Net of
Accumulated Depreciation 53,376,559 1 6,572,936 -
Total Noncurrent Assets 53,376,559 1 6,572,936 952,578
Total Assets 61,481,401 2 0,346,920 6 ,807,786
DEFERRED OUTFLOWS OF RESOURCES
Deferred Outflow for Pension Contributions 1 74,156 51,007 -
Deferred Charge on Refunding - - -
Total Deferred Outflows of Resources 1 74,156 51,007 -
LIABILITIES
Current Liabilities
Payable from Unrestricted Assets
Accounts Payable 4 37,673 92,394 -
Accrued Interest Payable 4 7,034 - -
Escrow Deposits 4 8,948 - -
Due to Other Funds - - -
Unearned Revenue 5 68,432 - -
Current Portion of Compensated Absences 1 12,385 44,951 -
Current Portion of Bonds/Notes Payable 8 97,616 - -
Payable from Restricted Assets
Current Portion of Bonds Payable - - -
Total Current Liabilities 2,112,088 137,345 -
Noncurrent Liabilities
Payable from Unrestricted Assets
Compensated Absences 7 9,780 31,910 -
Other Post-Employment Benefit Obligation 4,212,547 1 ,268,574 -
Net Pension Liability 1,084,741 317,700 -
Bonds/Notes Payable 10,471,639 - -
Total Noncurrent Liabilities 15,848,707 1 ,618,184 -
Total Liabilities 17,960,795 1 ,755,529 -
DEFERRED INFLOWS OF RESOURCES
Deferred Inflow for Pension Contributions 1 18,732 34,774 -
Unavailable Water and Sewer Assessments - - 952,578
Total Deferred Inflows of Resources 1 18,732 34,774 952,578
NET POSITION
Net Investment in Capital Assets 42,007,304 1 6,572,936 -
Amounts Restricted for:
Debt Service - - -
Capital Projects - - 753,300
Unrestricted Amounts (Deficit) 1,568,726 2 ,034,688 5 ,101,908
Total Net Position $ 43,576,030 $ 1 8,607,624 $ 5 ,855,208
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, 2015
(CONTINUED)
TOTAL
PRIMARY
SANITARY DISTRICT NON-MAJOR GOVERNMENT
DEBT SERVICE BAY BRIDGE ENTERPRISE ENTERPRISE
FUND TOTAL AIRPORT FUNDS FUNDS
$ - $ 1 0,469,257 $ 37,342 $ 807,020 $ 1 1,313,619
- 497,886 2 0,680 872 519,438
- 387,778 - - 387,778
- - 6 8,305 19,901 88,206
- - 6 05 3,221 3,826
- 523,905 2 5,734 6,807 556,446
2 ,695,383 8,543,775 - - 8 ,543,775
14,803 21,619 - - 21,619
2 ,710,186 2 0,444,220 152,666 837,821 2 1,434,707
7,848 960,426 - - 960,426
- 6,140 - - 6,140
- 814,531 11,931,964 2 ,673,632 1 5,420,127
- 1 3,157,213 1,233,204 313,443 1 4,703,860
- 1,743,626 7,615,114 5 ,465,727 1 4,824,467
- 1,311,819 7 3,470 46,431 1 ,431,720
- 2 2,007,754 7 4,252 425,036 2 2,507,042
- 42,460 - 4,979 47,439
- 7 7,551,333 315,449 - 7 7,866,782
- 433,919 411,123 5,540 850,582
- 1 17,068,795 21,654,576 8 ,934,788 1 47,658,159
- (47,119,300) (3,529,822) (1,365,161) (52,014,283)
- 6 9,949,495 18,124,754 7 ,569,627 9 5,643,876
7,848 7 0,909,921 18,124,754 7 ,569,627 9 6,604,302
2 ,718,034 9 1,354,141 18,277,420 8 ,407,448 1 18,039,009
- 225,163 7 ,104 20,347 252,614
- - 2 1,622 31,204 52,826
- 225,163 2 8,726 51,551 305,440
- 530,067 5 2,476 39,914 622,457
68 47,102 1 7,223 13,861 78,186
- 48,948 1 3,550 - 62,498
387,778 387,778 - 396,254 784,032
- 568,432 - 2,474 570,906
- 157,336 3 ,687 20,345 181,368
- 897,616 9 0,429 135,588 1 ,123,633
19,490 19,490 - - 19,490
407,336 2,656,769 177,365 608,436 3 ,442,570
- 111,690 2 ,617 14,443 128,750
- 5,481,121 240,924 229,729 5 ,951,774
- 1,402,441 4 4,248 126,737 1 ,573,426
173 1 0,471,812 2,059,031 1 ,255,247 1 3,786,090
173 1 7,467,064 2,346,820 1 ,626,156 2 1,440,040
407,509 2 0,123,833 2,524,185 2 ,234,592 2 4,882,610
- 153,506 4 ,843 13,872 172,221
2,291 954,869 - - 954,869
2,291 1,108,375 4 ,843 13,872 1 ,127,090
- 5 8,580,240 15,996,916 6 ,209,996 8 0,787,152
2 ,308,234 2,308,234 - - 2 ,308,234
- 753,300 - - 753,300
- 8,705,322 (219,798) 539 8 ,486,063
$ 2 ,308,234 $ 7 0,347,096 $ 15,777,118 $ 6 ,210,535 $ 9 2,334,749
The accompanying notes to the basic financial statements are an integral part of this statement.
-41-

QUEEN ANNE'S COUNTY, MARYLAND QUEEN ANNE'S COUNTY, MARYLAND
STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN NET POSITION STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN NET POSITION
ENTERPRISE FUNDS ENTERPRISE FUNDS
FOR THE YEAR ENDED JUNE 30, 2015 FOR THE YEAR ENDED JUNE 30, 2015
(CONTINUED)
SANITARY DISTRICT
SEWER WATER RESTRICTED
OPERATIONS OPERATIONS FUND
OPERATING REVENUES
Charges for Services $ 5,389,462 $ 2,246,143 $ 987,800
Intergovernmental 90,000 - -
Bond Interest Reimbursement - Build America Bond - - -
Material Sales 7,500 1 1,863 -
Miscellaneous Revenues 35,078 1 34,211 -
Total Operating Revenues 5,522,040 2 ,392,217 987,800
OPERATING EXPENSES
Cost of Sales and Services
Collection 2,387,146 - -
Distribution - 2 45,167 -
Treatment 993,259 1 ,224,785 -
Shop 166,633 1 02,709 -
Airport - - -
Recreation - - -
Total Cost of Sales and Services 3,547,038 1 ,572,661 -
Administration and Inspection 688,052 5 04,026 -
Other Post-Employment Benefit Contributions 347,311 9 8,914 -
Depreciation 2,936,923 5 31,111 -
Total Operating Expenses 7,519,324 2 ,706,712 -
Operating Income (Loss) ( 1,997,284) (314,495) 987,800
NON-OPERATING REVENUES (EXPENSES)
Investment Income 97,181 8 5,087 116,118
Interest Expense ( 185,792) - -
Gain on Disposal of Capital Assets 2,475 - -
Total Non-Operating Revenues (Expenses) ( 86,136) 8 5,087 116,118
Income (Loss) Before Contributions and Transfers ( 2,083,420) (229,408) 1,103,918
Capital Contributions, Fees and Grants 1,426,329 4 35,928 -
TRANSFERS
Transfers In 1,337,762 - -
Transfers Out (5,000) (5,000) (1,050,886)
Net Transfers In (Out) 1,332,762 (5,000) (1,050,886)
Change in Net Position 675,671 2 01,520 53,032
Total Net Position - Beginning of Year, as Previously Reported 43,932,698 18,708,848 5,802,176
Adjustments to Restate Beginning Net Position ( 1,032,339) (302,744) -
Total Net Position - Beginning of Year, as Restated 42,900,359 18,406,104 5,802,176
Total Net Position - End of Year $ 43,576,030 $ 18,607,624 $ 5,855,208
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, 2015
(CONTINUED)
TOTAL
PRIMARY
SANITARY DISTRICT NON-MAJOR GOVERNMENT
DEBT SERVICE BAY BRIDGE ENTERPRISE ENTERPRISE
FUND TOTAL AIRPORT FUNDS FUNDS
$ 2 16,808 $ 8,840,213 $ 53,200 $ 719,678 $ 9 ,613,091
- 9 0,000 70,901 30,473 191,374
- - 2,410 12,831 15,241
- 1 9,363 290,367 42,090 351,820
- 1 69,289 267,412 26,909 463,610
2 16,808 9 ,118,865 684,290 831,981 1 0,635,136
- 2 ,387,146 - - 2 ,387,146
- 2 45,167 - - 245,167
- 2 ,218,044 - - 2 ,218,044
- 2 69,342 - - 269,342
- - 562,470 - 562,470
- - - 793,327 793,327
- 5 ,119,699 562,470 793,327 6 ,475,496
- 1 ,192,078 - - 1 ,192,078
- 4 46,225 5,235 22,902 474,362
- 3 ,468,034 384,348 147,569 3 ,999,951
- 10,226,036 952,053 963,798 1 2,141,887
2 16,808 (1,107,171) (267,763) ( 131,817) (1,506,751)
2 4,930 3 23,316 269 - 323,585
(3,079) (188,871) (62,438) ( 70,090) (321,399)
- 2,475 - - 2,475
2 1,851 1 36,920 (62,169) ( 70,090) 4,661
2 38,659 (970,251) (329,932) ( 201,907) (1,502,090)
- 1 ,862,257 - - 1 ,862,257
1 ,050,886 2 ,388,648 215,201 154,976 2 ,758,825
(1,337,762) (2,398,648) - - (2,398,648)
(286,876) (10,000) 215,201 154,976 360,177
(48,217) 8 82,006 (114,731) ( 46,931) 720,344
2 ,356,451 70,800,173 1 5,934,179 6,378,366 9 3,112,718
- (1,335,083) (42,330) ( 120,900) (1,498,313)
2 ,356,451 69,465,090 1 5,891,849 6,257,466 9 1,614,405
$ 2,308,234 $ 70,347,096 $ 1 5,777,118 $ 6,210,535 $ 9 2,334,749
The accompanying notes to the basic financial statements are an integral part of this statement.
-43-

QUEEN ANNE'S COUNTY, MARYLAND QUEEN ANNE'S COUNTY, MARYLAND
STATEMENT OF CASH FLOWS STATEMENT OF CASH FLOWS
ENTERPRISE FUNDS ENTERPRISE FUNDS
FOR THE YEAR ENDED JUNE 30, 2015
(CONTINUED)
SANITARY DISTRICT SANITARY DISTRICT
SEWER WATER RESTRICTED
OPERATIONS OPERATIONS FUND
CASH FLOW FROM OPERATING ACTIVITIES
Receipts from customers and users $ 5 ,440,109 $ 2 ,260,709 $ 9 92,086
Receipts from other operating sources 132,578 146,074 -
Receipts from bond interest reimbursement - Build America Bond - - -
Payments to suppliers (1,586,182) (1,317,130) -
Payments to employees and on behalf of employees (2,565,143) (960,270) -
Net Cash Provided (Used) by Operating Activities 1 ,421,362 129,383 992,086
CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES
Transfers in from other funds 1 ,337,762 - -
(Payment) Receipts from interfund loans (10,221) - -
Transfers to other funds (5,000) (5,000) (1,050,886)
Principal paid on interfund loans - - -
Net Cash Provided (Used) by Noncapital Financing Activities 1 ,322,541 (5,000) (1,050,886)
CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES
Proceeds from the disposition of capital assets 2,475 - -
Receipts from capital grants 5,000 - -
Principal paid on capital debt (1,144,590) - -
Proceeds from the sale of bonds - - -
Premium on sale of bonds - - -
Deferred Refunding costs on sale of bonds - - -
Interest paid on capital debt (193,174) - -
Acquisition and construction of capital assets (1,586,545) (341,704) -
Net Cash Provided (Used) by Capital and Related Financing Activities (2,916,834) (341,704) -
CASH FLOWS FROM INVESTING ACTIVITIES
Net Cash Provided by Investing Activities - Investment Income 97,181 85,087 116,118
Net Increase (Decrease) in Cash and Cash Equivalents (75,750) (132,234) 57,318
Balances - Beginning of the year 6 ,950,174 3 ,727,067 5 ,791,074
Balances - End of the year $ 6 ,874,424 $ 3 ,594,833 $ 5 ,848,392
Reconciliation of operating income (loss) to net cash
provided by operating activities
Operating income (loss) $ (1,997,284) $ (314,495) $ 9 87,800
Adjustments to reconcile operating income (loss)
to net cash provided by operating activities:
Depreciation 2 ,936,923 531,111 -
Effect of changes in operating assets and liabilities:
Accounts receivable, net 26,487 14,566 4,286
Special assessments receivable, net - - 162,135
Operating grants receivable - - -
Build America Bonds Interest receivable - - -
Inventories and Prepaid Expenses 67,308 - -
Vendor accounts payable 9,940 (206,538) -
Compensated absences 9,539 7,102 -
Other Post-Employment Benefit Obligation 347,311 98,914 -
Pension Obligation (3,022) (1,277) -
Escrow deposits payable (610) - -
Deferred revenue collected in advance 24,770 - (162,135)
Net Cash Provided (Used) by Operating Activities $ 1 ,421,362 $ 1 29,383 $ 9 92,086
Noncash investing, capital and financing activities:
Donation of capital assets (infrastructure) by developers $ 1 ,421,329 $ 4 35,928 $ -
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, 2015
(CONTINUED)
TOTAL
PRIMARY
SANITARY DISTRICT NON-MAJOR GOVERNMENT
DEBT SERVICE BAY BRIDGE ENTERPRISE ENTERPRISE
FUND TOTAL AIRPORT FUNDS FUNDS
$ 2 38,595 $ 8 ,931,499 $ 60,028 $ 7 30,667 $ 9 ,722,194
- 278,652 628,680 101,253 1 ,008,585
- - 2,430 12,935 15,365
- (2,903,312) (576,428) (451,811) (3,931,551)
- (3,525,413) (117,512) (332,812) (3,975,737)
238,595 2 ,781,426 (2,802) 60,232 2 ,838,856
1 ,050,886 2 ,388,648 215,201 154,976 2 ,758,825
387,778 377,557 - 396,254 773,811
(1,337,762) (2,398,648) - - (2,398,648)
(377,557) (377,557) (313,110) (339,036) (1,029,703)
(276,655) (10,000) (97,909) 212,194 104,285
- 2,475 - - 2,475
- 5,000 126,090 - 131,090
(50,967) (1,195,557) (255,728) (154,992) (1,606,277)
- - 1 ,760,827 24,707 1 ,785,534
- - 118,397 2,476 120,873
- - (12,385) (1,763) (14,148)
(3,824) (196,998) (56,512) (69,507) (323,017)
- (1,928,249) (1,542,905) (11,090) (3,482,244)
(54,791) (3,313,329) 137,784 (210,169) (3,385,714)
24,930 323,316 269 - 323,585
(67,921) (218,587) 37,342 62,257 (118,988)
2 ,763,304 1 9,231,619 - 744,763 1 9,976,382
$ 2 ,695,383 $ 19,013,032 $ 37,342 $ 8 07,020 $ 19,857,394
$ 2 16,808 $ (1,107,171) $ (267,763) $ (131,817) $ (1,506,751)
- 3 ,468,034 384,348 147,569 3 ,999,951
6,814 52,153 5,928 10,101 68,182
305,354 467,489 - - 467,489
- - - 1,781 1,781
- - 20 104 124
- 67,308 18,405 (509) 85,204
- (196,598) (152,218) 6,299 (342,517)
- 16,641 2,686 3,552 22,879
- 446,225 5,235 22,902 474,362
- (4,299) (343) (638) (5,280)
- (610) 900 - 290
(290,381) (427,746) - 888 (426,858)
$ 2 38,595 $ 2 ,781,426 $ (2,802) $ 60,232 $ 2 ,838,856
$ - $ 1 ,857,257 $ - $ - $ 1 ,857,257
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 AGENCY FUNDS
JUNE 30, 2015
PRIVATE
PURPOSE
TRUST FUND OTHER
TAX SALE POST-EMPLOYMENT AGENCY
DEPOSITS BENEFIT TRUST FUND FUNDS
ASSETS
Cash and Cash Equivalents $ 235,444 $ 2 ,652,569 $ 4 29,851
Total Assets 235,444 2 ,652,569 $ 4 29,851
LIABILITIES
Accrued Liabilities - - $ 1 ,440
Due to Other Governments - 1 56,794 4 1,253
Deposits and Escrows - - 3 87,158
Total Liabilities - 1 56,794 $ 4 29,851
NET POSITION
Held in Trust $ 235,444 $ 2 ,495,775
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 AND OTHER POST-EMPLOYMENT BENEFIT TRUST FUND
FOR THE YEAR ENDED JUNE 30, 2015
PRIVATE
PURPOSE
TRUST FUND
TAX SALE
DEPOSITS
ADDITIONS
Total Additions - Tax Sale Collections in Excess of Tax Due $ 8 4,187
DEDUCTIONS
Distributions to Property Holders -
Change in Assets 84,187
NET POSITION HELD IN TRUST
Net Position-Beginning of Year 151,257
Net Position-End of Year $ 235,444
OTHER
POST-EMPLOYMENT
BENEFIT TRUST FUND
ADDITIONS
CONTRIBUTIONS
Employers $ 3,432,870
Members 978,878
TOTAL CONTRIBUTIONS 4,411,748
Investment Income 2,971
Total Additions 4,414,719
DEDUCTIONS
Claims Paid 3,874,748
Change in Assets 539,971
NET POSITION HELD IN TRUST
Net Position-Beginning of Year 1,955,804
Net Position-End of Year $ 2,495,775
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 62-63
4 Accounts Receivable 64-65
5 Unearned Revenue 66
6 Capital Assets 67-71
7 Interfund Receivables and Payables 72
8 Interfund Transfers 73
9 Noncurrent Liabilities 74-82
10 Restricted Assets and Liabilities
and Fund Balances 83-85
11 Risk Management 86
12 Retirement Plans 87-95
13 Deferred Compensation Plan 96
14 Other Post-Employment Benefits 96-102
15 Deficit Equity Balances 103
16 Commitments and Contingencies 103-104
17 Joint Venture 105
18 Pollution Remediation Obligations 106-107
19 Prior Period Restatement 107
-48-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
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
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.
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, Maryland 21617 Centreville, MD 21617
-49-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
A. REPORTING ENTITY (CONTINUED)
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 17.
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.
For the most part, the effect of interfund activity has been removed from these statements.
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, 2015
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; 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, 2015
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. Agency funds report only assets and liabilities; they
do not report changes in net position. Therefore, agency funds are reported using the accrual basis of accounting to recognize
receivables and payables. Activity during the year is accounted for as additions to and deductions from asset and liability
accounts (for Agency Funds) and Net Position (for Private Purpose and Other Post-Employment Benefit Trust Funds). 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, 2015
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 twenty non-major governmental funds, which are used to account
for and report the proceeds of specific revenue sources. Included in the twenty non-major governmental funds are
seventeen 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 7,000 customers.
Water Operations - This fund is used to account for the operation of the water supply system
serving approximately 4,300 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, 2015
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 accounts 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. Other agencies and political subdivisions have
the right to participate in this Trust Fund also, as an investment vehicle for their Other Post-
Employment Benefit Plan through the pooling of investment resources. Currently, the only other
agency participating is Kent County, Maryland.
Agency Funds - These funds are used to account for assets held in a purely custodial capacity where the
County receives, temporarily invests, and remits such resources to individuals, private organizations or other
governments. These monies include escrow deposits for tax ditches, zoning deposits, state and town tax
collections, motor vehicle administration deposits, and abandoned property.
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, 2015
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 stated at the lower of cost or market with cost
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 ($1,000 for
computers) 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 are recorded at estimated fair market 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, 2015
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 3 - 20
Office furniture, fixtures and equipment 5 - 15
Vehicles 7 – 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
The Queen Anne’s County post-employment 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.
Additional details regarding other post-employment benefits can be found in Notes 9 and 14.
Primary Government – In both the government-wide and enterprise funds, liability for other post-
employment benefits is adjusted at the end of the fiscal year. For the year ended June 30, 2015, the other post-
employment benefit obligation amounted to $39,872,120, including both governmental ($33,920,346) and
business-type activities ($5,951,774).
Component Unit - Board of Education – For the year ended June 30, 2015, the other post-employment
benefit obligation for the Board of Education amounted to $40,085,868.
Component Unit – Free Library – For the year ended June 30, 2015, the other post-employment benefit
obligation for the Library amounted to $1,259,558.
-56-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
D. ASSETS, LIABILITIES, AND NET POSITION OR EQUITY (CONTINUED)
7) Net Pension Liability
The Queen Anne’s County government participates in the Maryland State Retirement and Pension
Systems. Beginning in fiscal year 2015, the County is required to report the net pension liability
associated with this system. Additional details regarding retirement benefits can be found in Note 12.
Primary Government –For the year ended June 30, 2015, the net pension liability amounted to $18,431,162,
including both governmental ($16,857,736) and business-type activities ($1,573,426).
Component Unit - Board of Education – For the year ended June 30, 2015, the net pension liability for the
Board of Education amounted to $3,569,488.
8) 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 $2,608,038 at June 30, 2015, including both governmental ($2,297,920) and
business-type activities ($310,118).
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, 2015 amounted to $1,095,985. Because payment of sick leave is contingent upon an
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.
9) 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 incurred.
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, payments to the Bond Refunding
Agent and associated bond issuance costs are reported as other financing uses.
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
D. ASSETS, LIABILITIES, AND NET POSITION OR EQUITY (CONTINUED)
10) Net Position/Fund Equity
In the government-wide financial statements, the County has reported an unrestricted net deficit of
$64,989,504. 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, 2015, the County has reported outstanding
general obligation debt related to assets held by the Board of Education amounting to $66,219,608 (of which
$65,703,051 has been spent and the remaining $516,557 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 $1,230,104.
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, 2015, 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 represent 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 $ 20,464,486
Business-type activities:
Debt Service $ 2,308,234
Capital Projects 753,300 3,061,534
Total Restricted Amounts $ 23,526,020
Note that unspent bond proceeds of $6,010,999 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.
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
D. ASSETS, LIABILITIES, AND NET POSITION OR EQUITY (CONTINUED)
10) 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, prepaid items, and loans receivable.
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.
11) 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, 2015
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
D. ASSETS, LIABILITIES, AND NET POSITION OR EQUITY (CONTINUED)
11) 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 State
Department of Assessments and Taxation without public notice and only after public hearings. The
County tax rate for the fiscal year ended June 30, 2015 was $0.8471 per $100 of assessed value.
E. NEW ACCOUNTING PRONOUNCEMENTS
The County adopted the provisions of the following Governmental Accounting Standards Board Statements:
Statement No. 68, entitled Accounting and Financial Reporting for Pensions, an amendment of GASB Statement No. 27
and Statement No. 71, Pension Transition for Contributions Made Subsequent to the Measurement Date. As part of
GASB 68 the County is required to record its net pension liability.
Statement No. 69, entitled Government Combinations and Disposals of Government Operation, and GASB Statement
No. 70, entitled Accounting and Financial Reporting for Nonexchange Financial Guarantees. Both Statements 69 and
70 were adopted this fiscal year but had no effect on these accompanying financial statements.
Statement No. 72, entitled Fair Value Measurement and Application; Statement No. 73, entitled, Accounting and
Financial Reporting for Pensions and Related Assets That Are Not within the Scope of GASB Statement 68, and
Amendments to certain Provisions of GASB Statements 67 and 68; GASB Statement No. 74 entitled, Financial
Reporting for Postemployment Benefit Plans Other Than Pension Plans; GASB Statement No. 75, entitled, Accounting
and Financial Reporting for Postemployment Benefits Other Than Pensions; GASB Statement No. 76; entitled, The
Hierarchy of Generally Accepted Accounting Principles for State and Local Government; and GASB Statement No. 77;
entitled, Tax Abatement Disclosures, which will require adoption in the future, if applicable. The County will be
analyzing the effects of these pronouncements and plans to adopt them as applicable by their effective date.
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, 2015
NOTE 2 - BUDGETS AND BUDGETARY ACCOUNTING (CONTINUED)
During the fiscal year, the Commissioners may adopt supplemental appropriations. For the year ended
June 30, 2015, supplemental appropriations were as follows:
Original Final
Supplemental Appropriations Budget Budget Increase
General Fund - expenditures and transfers $ 1 18,891,110 $ 119,863,251 $ 972,141
Special Revenue Funds that adopt annual budgets
Non-Major Funds that adopt annual budgets -
Department of Aging - expenditures $ 2,151,363 $ 2,256,563 $ 105,200
Housing & Community Services - expenditures 1,110,104 1,492,859 382,755
BRIDGE Fund* - expenditures - 1,296,792 1,296,792
Community Partnerships for Children - expenditures & transfers 1,050,361 1,095,147 44,786
Franchise Fee* - expenditures - 415,000 415,000
Hotel Tax* - expenditures - 518,738 518,738
Kent Narrows - expenditures 38,000 45,305 7,305
Fire Company Impact Fees - expenditures 200,250 383,711 183,461
Total Special Revenue Funds that adopt annual budgets $ 4,550,078 $ 7,504,115 $ 2,954,037
* The Bridge, Franchise Fee, and Hotel Tax funds are all new funds added in fiscal year 2015.
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, Economic Development
Incentive, BRIDGE, Community Partnerships for Children, Franchise Fee, Hotel Tax, Dredging Special Assessments,
Kent Narrows, Law Library, Inmate Welfare, Agricultural Transfer, 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, 2015.
However, salary reversions are budgeted as a lump sum negative $800,000, 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, 2015
NOTE 3 – CASH, INVESTMENTS AND INVESTMENT INCOME
A. DEPOSITS AND INVESTMENTS
PRIMARY GOVERNMENT AND FIDUCIARY FUNDS
Cash and investments were as follows at year-end:
Collected
Carrying Bank Balances Total
Amount or Fair Value Collateral
Demand Deposit Accounts, Short-Term
Certificates of Deposit and Petty Cash $ 25,634,943 $ 26,479,768 $ 31,501,458
Investment in Maryland Local
Government Investment Pool (MLGIP) 64,200,724 64,197,022 65,480,962
$ 89,835,667 $ 90,676,790 $ 96,982,420
Cash and investments reconcile to the basic financial statements as follows:
Primary
Cash and Investments Government Fiduciary Total
Unrestricted
Equity in Pooled Cash and Investments $ 66,904,131 $ 3,317,864 $ 70,221,995
Restricted
Equity in Pooled Cash and Investments 19,613,672 - 19,613,672
$ 86,517,803 $ 3,317,864 $ 89,835,667
At year-end, the carrying amount of combined deposits was $25,634,943. The collected bank balances were
$26,479,768 and of those balances, $751,330 was insured by federal depository insurance (FDIC). The uninsured
balances were fully collateralized by securities placed with the respective banks’ escrow agents and held in the
County’s name.
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.
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 MLGIP seeks to maintain a
constant value of $1 per unit with unit value computed using the amortized cost method. In addition, the net asset value
of the pool, marked to market, is calculated and maintained on a weekly basis to ensure a $1 per unit constant value.
As of June 30, 2015, the County’s investments, 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.
-62-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
NOTE 3 – CASH, INVESTMENTS AND INVESTMENT INCOME (CONTINUED)
A. DEPOSITS AND INVESTMENTS (CONTINUED)
COMPONENT UNITS (BOARD OF EDUCATION AND LIBRARY)
Component Unit - Board of Education - At year-end, the carrying amount of deposits was $12,039,717, including
$317,000 in certificates of deposit and excluding the carrying amount of fiduciary funds. At June 30, 2015, the
Board had deposits of approximately $13.7 million with local banks. Of the total deposits, approximately $1,600,000
not covered by the FDIC was collateralized by securities held by the pledging financial institution’s trust department
or agent, but not in the Board’s name.
Component Unit – Library - At year-end, the carrying amount of all bank deposits, including a $623,722 certificate
of deposit, was $990,750, while collected bank balances were $1,011,886. Of the bank balances, $575,196 was
secured by the FDIC and $436,690 was secured by collateral held by the pledging bank’s trust department but not in
the Library’s name.
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 $ 56,231
General Capital Projects 8,643
Roads Capital Projects 18,208
Non-Major Governmental Funds 11,010
Total Investment Income $ 94,092
Business-Type Funds
Major Enterprise Funds
Sanitary District $ 323,316
Airport 269
Total Investment Income $ 323,585
-63-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
NOTE 4 - ACCOUNTS RECEIVABLE
Receivables as of June 30, 2015 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 $ 240,138 $ - $ - $ - $ 240,138 $ - $ 240,138
Taxes - Other 293,971 - - 59,752 353,723 - 353,723
Subtotal Taxes 534,109 - - 59,752 593,861 - 593,861
Other Accounts Receivable:
Queen Anne's County Public Housing Authority - 1,158,825 - - 1,158,825 - 1,158,825
Sanitary District - User and Septage Fees - - - - - 497,886 497,886
Chesapeake College Debt Reimbursement 133,128 - - - 133,128 - 133,128
Franchise Fees - - - 50,000 50,000 - 50,000
Board of Education 31,358 - - - 31,358 - 31,358
Retirees Insurance 26,980 - - - 26,980 - 26,980
Governmental Funds - User Fees 5,049 - 15,002 - 20,051 - 20,051
Airport - Fuel Sales and User and Rental Fees - - - - - 20,680 20,680
Miscellaneous Receivables 30,382 1,553 - 47,994 79,929 872 80,801
Subtotal Other Accounts Receivable 226,897 1,160,378 15,002 97,994 1,500,271 519,438 2,019,709
Loans Receivable - - - 5,967,269 5,967,269 - 5,967,269
Subtotal Other Accounts and Loans Receivable 226,897 1,160,378 15,002 6,065,263 7,467,540 519,438 7,986,978
Special Assessments - - 217,235 505,569 722,804 - 722,804
Intergovernmental
Income Taxes Held by State 6,672,228 - - - 6,672,228 - 6,672,228
Grants Receivable 343,969 61,278 - 404,221 809,468 88,206 897,674
Recordation Tax 431,150 65,326 - 150,249 646,725 - 646,725
State-Shared Highway User Tax 121,524 - - - 121,524 - 121,524
Bonds Receivable 877,941 - - - 877,941 - 877,941
Subtotal Intergovernmental 8,446,812 126,604 - 554,470 9,127,886 88,206 9,216,092
Restricted Receivables
Accounts Receivable - - - - - 21,619 21,619
Special Assessments - - - - - 960,426 960,426
Subtotal Restricted Receivables - - - - - 982,045 982,045
Total Receivables $ 9,207,818 $ 1,286,982 $ 232,237 $ 7,185,054 $ 17,912,091 $ 1,589,689 $ 19,501,780
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 $4.6 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.
-64-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
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 are $625,000 and $252,941, respectively, for a
total of $877,941. 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 these two receivables
related to Chesapeake College, there is also a receivable of $4.6 million included in the Government-Wide Statement of
Net Position. Details are included on the previous page.
Loans receivable in the amount of $5,967,269 relate to the Housing and Community Services, Impact Fees, and Revolving
Loan Special Revenue Funds. Loans receivable in the amount of $4,695,890 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 $49,904 are also repaid over a number of years.
The remaining loan receivable balance of $1,221,475 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.
Income taxes held by the State in the amount of $6,672,228 have been estimated by the State as income tax due for “tax
years” 2014 and prior. It may take five years or longer for the State to receive all amounts relating to these “tax years” and
remit those monies to the County. 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 $722,804 represent receivables for governmental activities. Part of this amount
consists of $217,235 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 $505,569 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 $960,426 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.
-65-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
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 $ 21,416
Grant Drawdowns in Excess of Expenditures 37,308
Inspection Fees Collected in Advance 552,622
Subtotal 611,346
General Capital Projects Fund
Grant Drawdowns in excess of Expenditures 71,678
Non-Major Governmental Funds
Grant Drawdowns in Excess of Expenditures 175,350
Total Unearned Revenue $ 858,374
-66-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
NOTE 6 – CAPITAL ASSETS
PRIMARY GOVERNMENT
Changes in the County’s capital assets for governmental activities for the year ended June 30, 2015 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, 2014 Increases Transfers Decreases June 30, 2015
Capital Assets, not being depreciated:
Land $ 3 9,929,565 $ - $ - $ (286,767) $ 39,642,798
Intangible Rights - Easements 8 21,819 - - - 821,819
Land Improvements 3,448,083 - - - 3,448,083
Construction in Progress 4 ,577,269 6 ,409,335 - - 10,986,604
Land - Inexhaustible Infrastructure Improvements 44,394,332 - - - 44,394,332
Total Capital Assets, not being depreciated 93,171,068 6 ,409,335 - (286,767) 99,293,636
Capital Assets, being depreciated:
Buildings and Building Improvements 41,716,794 - - (32,723) 41,684,071
Improvements other than Buildings 9,577,406 - - - 9,577,406
Vehicles 1 1,242,170 1 ,106,614 - (871,282) 11,477,502
Equipment 8,427,558 1 ,242,924 - (112,504) 9,557,978
Furniture and Fixtures 10,276,196 2 52,594 - (46,065) 10,482,725
Infrastructure Improvements - Depreciable 18,926,771 - - - 18,926,771
Total Capital Assets, being depreciated 100,166,895 2 ,602,132 - (1,062,574) 101,706,453
Less Accumulated Depreciation for:
Buildings and Building Improvements 11,966,452 9 25,552 - (9,926) 12,882,078
Improvements other than Buildings 1,814,431 3 24,232 - - 2,138,663
Vehicles 6 ,844,818 7 98,080 - (866,696) 6,776,202
Equipment 5,778,797 4 76,644 - (100,753) 6,154,688
Furniture and Fixtures 9,015,860 3 08,382 - (38,984) 9,285,258
Infrastructure Improvements - Depreciable 7,568,161 3 29,138 - - 7,897,299
Total Accumulated Depreciation 42,988,519 3 ,162,028 - (1,016,359) 45,134,188
Total Capital Assets, being depreciated, net 57,178,376 (559,896) - (46,215) 56,572,265
Governmental activities Capital Assets, net $ 150,349,444 $ 5,849,439 $ - $ (332,982) $ 155,865,901
-67-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
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, 2015 are summarized as
follows, with depreciation shown separately. Completed projects that were reclassified from construction in progress
(CIP) to other asset accounts during the year are reported in the same column, as retirements from CIP and transfers to
other asset accounts.
Balance Balance
Business-Type Activities June 30, 2014 Increases Transfers Decreases June 30, 2015
Capital Assets, not being depreciated:
Land $ 12,929,533 $ - $ - $ - $ 12,929,533
Land Improvements 9,500 - - - 9,500
Intangible Rights 6,140 - - - 6,140
Construction in Progress 4,724,659 3,192,670 (7,066,747) - 850,582
Land - Inexhaustible Infrastructure Improvements 1,219,298 - 1,261,796 - 2,481,094
Total Capital Assets, not being depreciated 18,889,130 3,192,670 (5,804,951) - 16,276,849
Capital Assets, being depreciated:
Buildings and Improvements to Buildings 14,703,860 - - - 14,703,860
Improvements other than Buildings 11,914,132 - 2,910,335 - 14,824,467
Vehicles 1,459,459 5,550 - (33,289) 1 ,431,720
Equipment 22,312,358 2 84,024 - (89,340) 22,507,042
Furniture and Fixtures 73,328 - - (25,889) 4 7,439
Infrastructure Improvements - Depreciable 73,114,909 1,857,257 2,894,616 - 77,866,782
Total Capital Assets, being depreciated 123,578,046 2,146,831 5,804,951 (148,518) 131,381,310
Less Accumulated Depreciation for:
Buildings and Improvements to Buildings 7,290,362 6 12,441 - - 7,902,803
Improvements other than Buildings 3,595,216 5 17,605 - - 4,112,821
Vehicles 1,029,011 78,522 - (33,289) 1,074,244
Equipment 10,108,067 1,050,785 - (89,340) 11,069,512
Furniture and Fixtures 50,924 3,340 - (25,889) 2 8,375
Infrastructure Improvements - Depreciable 26,089,270 1,737,258 - - 27,826,528
Total Accumulated Depreciation 48,162,850 3,999,951 - (148,518) 52,014,283
Total Capital Assets, being depreciated, net 75,415,196 (1,853,120) 5,804,951 - 79,367,027
Business-Type activities Capital Assets, net $ 94,304,326 $ 1,339,550 $ - $ - $ 95,643,876
-68-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
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 $ 263,490
Public Safety 909,620
Public Works 1,520,866
Health 21,121
Social Services 351,465
Library 25,848
Conservation of Natural Resources 31,488
Economic/Community Development 38,130
$ 3,162,028
Business-Type Activities
Major Enterprise Funds:
Sanitary District $ 3,468,034
Airport 384,348
Non-Major Enterprise Funds 147,569
$ 3,999,951
-69-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
NOTE 6 – CAPITAL ASSETS (CONTINUED)
COMPONENT UNITS
Board of Education: Capital asset activity for the year ended June 30, 2015 is as follows:
Balance Balance
Board of Education June 30, 2014 Increases Decreases June 30, 2015
Capital Assets, not being depreciated:
Land $ 6,363,040 $ - $ - $ 6,363,040
Construction in Progress 5,362,160 15,358,185 - 20,720,345
Total Capital Assets, not being depreciated 11,725,200 15,358,185 - 27,083,385
Capital Assets, being depreciated:
Land Improvements 5,368,196 - - 5,368,196
Buildings 182,350,394 1,917,597 - 184,267,991
Furniture and Equipment 13,091,057 1,943,795 (339,153) 14,695,699
Total Capital Assets, being depreciated 200,809,647 3,861,392 (339,153) 204,331,886
Less Accumulated Depreciation for:
Land Improvements 3,803,517 176,424 - 3,979,941
Building 44,218,863 3,757,671 - 47,976,534
Furniture and Equipment 6,372,934 1,086,690 (316,537) 7,143,087
Total Accumulated Depreciation 54,395,314 5,020,785 (316,537) 59,099,562
Total Capital Assets, being depreciated, net 146,414,333 (1,159,393) (22,616) 145,232,324
Capital Assets, net $ 158,139,533 $ 14,198,792 $ (22,616) $ 172,315,709
-70-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
NOTE 6 – CAPITAL ASSETS (CONTINUED)
COMPONENT UNITS (CONTINUED)
Queen Anne’s County Free Library: Capital asset activity for the year ended June 30, 2015 is as follows:
Balance Balance
Library June 30, 2014 Increases Decreases June 30, 2015
Capital Assets, not being depreciated:
Artwork $ 2 9,850 $ - $ - $ 29,850
Capital Assets, being depreciated:
Books and Media 2,146,726 159,226 (125,866) 2,180,086
Building Improvements 311,523 - - 311,523
Equipment 22,870 - - 22,870
Total Capital Assets, being depreciated 2 ,481,119 159,226 (125,866) 2,514,479
Less Accumulated Depreciation 1,407,065 125,899 (112,251) 1,420,713
Total Capital Assets, being depreciated, net 1 ,074,054 33,327 (13,615) 1,093,766
Capital Assets, net $ 1,103,904 $ 33,327 $ (13,615) $ 1,123,616
-71-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
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.
Intra-entity receivables and payables usually relate to capital construction projects, wherein the primary government
records a liability to its component unit at year-end while the component unit records a payable to the contractor.
The interfund and intra-entity receivables and payables consist of the following at June 30, 2015:
Due from Fund
Total Due From
General Non-Major Sanitary Non-Major Other Funds /
Capital Projects Governmental District Enterprise Component Units
Due to Fund
General Fund $ - $ 205,556 $ - $ 396,254 $ 601,810
General Capital Projects - 54,922 - - 54,922
Sanitary District - - 387,778 - 387,778
Board of Education -
Component Unit 2,104,360 - - - 2,104,360
Total Due to Other Funds $ 2,104,360 $ 260,478 $ 387,778 $ 396,254 $ 3,148,870
In fiscal year 2015, the County issued a check to the Board of Education in the amount of $63,119 for Capital Projects.
At the end of fiscal year 2015, the Board of Education shows the payment as an accounts receivable. The County has
appropriately recorded the payment in Fiscal Year 2015, resulting in a reconciling item with the Board of Education.
Interfund receivables and payables are reported on the Statement of Net Position as Internal Balances, net of transactions
between the same types of funds.
-72-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
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 following interfund transfers were made during the fiscal year ended June 30,
2015:
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 $ 4,154,321 $ - $ 2,168,450 $ - $ 1,688,024 $ 142,871 $ 154,976 $ 4,154,321
General Capital Projects (1) 2,027,148 - - 1 80,000 764,791 72,330 - 1,017,121
Total Major Governmental Funds 6,181,469 - 2,168,450 1 80,000 2,452,815 215,201 154,976 5,171,442
Non-Major Governmental 268,376 268,376 - - - - - 268,376
Sanitary District - Sewer 5,000 - 5,000 - - - - 5,000
Sanitary District - Water 5,000 - 5,000 - - - - 5,000
Sanitary District - Restricted 1,050,886 - - - - 1,050,886 - 1,050,886
Sanitary District - Debt Service 1,337,762 - - - - 1,337,762 - 1,337,762
Total Major Enterprise Funds 2,398,648 - 10,000 - - 2,388,648 - 2,398,648
Total Transfers Out $ 8,848,493 $ 268,376 $ 2,178,450 $ 180,000 $ 2,452,815 $ 2,603,849 $ 154,976 $ 7,838,466
(1) In fiscal year 2015, the General Capital Projects Fund transferred 2011 and 2014 bond proceeds in the amounts of
$10,027 and $1,000,000, respectively, to the Bay Bridge Airport Fund. The transaction was appropriately recorded on
the Enterprise Fund books as an increase in debt liability and on the General Capital Projects Fund’s book as a transfer
out. Since enterprise funds and governmental funds record such transactions differently, the $1,010,027 is reported in
the above table only as a transfer out with no corresponding transfer in.
-73-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
NOTE 9 - NONCURRENT LIABILITIES
A. CHANGES IN NONCURRENT LIABILITIES
During the year ended June 30, 2015, 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 6/30/2014 * of debt Repayments June 30, 2015 One Year One Year
General Bonds Payable $ 99,382,612 $ 2 5,144,381 $ 22,264,256 $ 102,262,737 $ 7,443,044 $ 94,819,693
General Bonds Payable - Related to PHA 1,230,472 240,112 311,759 1,158,825 74,769 1,084,056
General Bonds Payable - Related to Ches College 4,800,000 - 168,290 4,631,710 167,217 4,464,493
Notes Payable 958,156 - 173,371 784,785 166,542 618,243
Bond Premiums 2,470,479 1 ,901,240 364,938 4,006,781 352,179 3,654,602
Subtotal Governmental Activities Debt 108,841,719 27,285,733 23,282,614 112,844,838 8,203,751 104,641,087
Other Post-Employment Benefit Obligation 32,201,835 3,530,360 1,811,849 33,920,346 - 33,920,346
Net Pension Liability 18,585,735 - 1,727,999 16,857,736 - 16,857,736
Compensated Absences 2,111,593 1 ,442,525 1,256,198 2,297,920 1,343,904 954,016
Total Governmental Activities Debt $ 161,740,882 $ 32,258,618 28,078,660 $ 165,920,840 $ 9,547,655 $ 156,373,185
Less College Reimbursements (325,761)
Total Governmental Retirements and Repayments $ 27,752,899
*Restated for prior period adjustment (see Note 19).
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 $ 22,264,256
Notes Payable 173,371
LESS: Payment to Bond Refunding Agent ( 14,881,834)
PLUS: Payment to Bond Ref Agent (PHA portion) 242,520
PLUS: Deferred Refunding Costs Incurred 982,086
LESS: Distributions of 2011 Bonds (10,027)
LESS: Distributions of 2014 Bonds ( 1,000,000)
LESS: College Reimbursements (325,761)
Total Principal Payments $ 7,444,611
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 $325,761 for this year’s principal and interest payments.
-74-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
NOTE 9 – NONCURRENT LIABILITIES (CONTINUED)
A. CHANGES IN NONCURRENT LIABILITIES (CONTINUED)
During the year ended June 30, 2015, 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 6/30/2014 * of debt Repayments June 30, 2015 One Year One Year
Golf Course $ 526,075 $ - $ 85,000 $ 441,075 $ 85,000 $ 356,075
Airport 522,917 1 ,760,827 255,728 2,028,016 82,924 1,945,092
Public Landings and Marinas 972,922 2 4,707 69,992 927,637 47,047 880,590
Sanitary District 12,584,475 - 1,195,557 11,388,918 917,106 10,471,812
Subtotal Debt 14,606,389 1 ,785,534 1,606,277 14,785,646 1,132,077 13,653,569
Bond Premiums
Golf Course 18,246 - 3,041 15,205 3,041 12,164
Airport 8,554 1 18,397 5,507 121,444 7,505 113,939
Public Landings and Marinas 5,022 2 ,476 580 6,918 500 6,418
Subtotal Bond Premiums 31,822 1 20,873 9,128 143,567 11,046 132,521
Subtotal Business-Type Activities Debt 14,638,211 1 ,906,407 1,615,405 14,929,213 1,143,123 13,786,090
Other Post-Employment Benefit Obligation 5,477,412 4 74,362 - 5,951,774 - 5,951,774
Net Pension Liability 1,734,710 - 161,284 1,573,426 - 1,573,426
Compensated Absences 287,239 3 10,118 287,239 310,118 181,368 128,750
Total Business-Type Activities Debt $ 22,137,572 $ 2 ,690,887 $ 2,063,928 $ 22,764,531 $ 1,324,491 $ 21,440,040
*Restated for prior period adjustment (see Note 19).
Additions of debt listed for the Airport include $10,027 in distributions of the 2011 bonds and $1,000,000 in
distributions of the 2014 bonds (see comment in Note 8), along with distributions from the 2015 bonds.
-75-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
NOTE 9 – NONCURRENT LIABILITIES (CONTINUED)
A. CHANGES IN NONCURRENT LIABILITIES (CONTINUED)
During the year ended June 30, 2015, 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, 2014 of new debt Repayments June 30, 2015 One Year One Year
Queen Anne's County
Board of Education
Retirement Incentives $ 12,279 $ - $ 3,374 $ 8,905 $ 3,374 $ 5,531
Compensated Absences 1,079,661 68,065 51,741 1,095,985 345,050 750,935
Capital Leases 2,556,970 822,000 2 93,923 3,085,047 322,301 2,762,746
Other Post-Employment Benefit Obligation 34,096,789 5,989,079 - 40,085,868 - 40,085,868
Net Pension Liability 3,935,378 - 3 65,890 3,569,488 - 3,569,488
Subtotal 41,681,077 6,879,144 714,928 47,845,293 670,725 47,174,568
Free Library
Other Post-Employment Benefit Obligation 1,247,264 12,294 - 1,259,558 - 1,259,558
Total Noncurrent Liabilites: Component Units $ 42,928,341 $ 6,891,438 $ 714,928 $ 49,104,851 $ 670,725 $ 48,434,126
-76-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
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 2009, the County implemented the provisions of Governmental Accounting Standards Board (GASB)
Statement 43, Financial Reporting for Post-Employment Benefit Plans Other than Pension Plans and GASB 45,
Accounting and Financial Reporting by Employers for Post-Employment Benefits Other Than Pensions. For
governmental funds, the other post-employment benefit obligations are 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 that employee charges the majority of their productive time. Other Post-
Employment Benefit Obligation 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
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.
-77-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
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, 2015, 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 2015 One Year One Year
General Obligation Bonds Payable
2005 Refunding Bonds General 3.00%-5.00% 2019 $ 30,026,336 $ 11,441,336 $ 2,995,000 $ 8,446,336
2006 Public Facilities General 4.000%-5.375% 2027 22,510,212 2,116,386 1,036,400 1,079,986
2009 Public Facilities General 1.400%-5.625% 2030 28,499,154 22,737,515 1,151,798 21,585,717
2011 Public Facilities General 2.00%-4.25% 2031 21,532,570 18,429,240 829,345 17,599,895
2012 Refunding Bonds General 2.00%-4.00% 2023 8,010,000 6,385,529 707,265 5,678,264
2014 Public Facilities General 2.00%-4.00% 2034 17,590,000 16,008,350 577,946 15,430,404
2015 Public Facilities General 3.00%-5.00% 2036 11,622,756 11,622,756 - 11,622,756
2015 Refunding Bonds General 2.00%-5.00% 2027 13,521,625 13,521,625 145,290 13,376,335
2003 Public Facilities Due from PHA 3.50%-4.50% 2023 335,000 37,582 18,404 19,178
2006 Public Facilities (2015 Refunding Bonds) Due from PHA 4.000%-5.375% 2027 399,728 711,660 36,050 675,610
2009 Public Facilities Due from PHA 1.400%-5.625% 2030 872,644 169,471 17,735 151,736
2015 Refunding Facilities Due from PHA 2.00%-3.00% 2027 240,112 240,112 2,580 237,532
2014 Public Facilities Due from other Counties 2.00%-4.00% 2034 4,800,000 4,631,710 167,217 4,464,493
Subtotal Bonds Payable 108,053,272 7,685,030 100,368,242
Notes Payable
2009 CELP Loan General 2.00% 2015 122,780 9,348 9,348 -
State of Maryland - Price Ck. Spec. Rev. 0.00% 2021 625,000 144,000 24,000 120,000
State of Maryland - Grove Ck. Spec. Rev. 0.00% 2034 510,617 388,067 20,425 367,642
State of Maryland - Narrows Pointe Spec. Rev. 0.00% 2030 15,542 15,542 - 15,542
Suntrust Financing General 2.01% 2016 564,068 227,828 112,769 115,059
Subtotal Notes Payable 7 84,785 166,542 6 18,243
Subtotal Bonds and Notes Payable 108,838,057 7,851,572 100,986,485
Bond Premiums 4,006,781 352,179 3,654,602
Subtotal Governmental Activities Debt 112,844,838 8,203,751 104,641,087
Other Post-Employment Benefit Obligation 33,920,346 - 33,920,346
Net Pension Liability 16,857,736 - 16,857,736
Compensated Absences 2,297,920 1,343,904 954,016
Total Governmental Activities $ 165,920,840 $ 9,547,655 $ 156,373,185
-78-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
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, 2015 for governmental activities are as follows:
Governmental Activities
Year Ending Governmental Bonds Payable Governmental Notes Payable
June 30, Principal Interest Total Principal Interest Total
2016 $ 7,685,030 $ 3 ,973,638 $ 11,658,668 $ 166,542 $ 4 ,719 $ 171,261
2017 8,243,061 4 ,023,243 12,266,304 175,026 2 ,336 177,362
2018 6,968,652 3 ,715,710 10,684,362 44,425 - 44,425
2019 7,258,827 3 ,447,867 10,706,694 44,425 - 44,425
2020 7,519,413 3 ,150,191 10,669,604 44,425 - 44,425
2021-2025 30,309,748 1 1,695,275 42,005,023 126,125 - 126,125
2026-2030 28,320,077 5 ,490,637 33,810,714 102,125 - 102,125
2031-2035 10,919,573 1 ,092,722 12,012,295 81,692 - 81,692
2036 828,891 1 3,986 842,877 - - -
$ 108,053,272 $ 3 6,603,269 $ 144,656,541 $ 784,785 $ 7 ,055 $ 791,840
A portion of the County’s 2009 Bond offering was issued using Build America Bonds. As an incentive to use these
bonds, the Federal government offered an interest reimbursement grant, which offsets the County’s debt service for
interest expense. As a result, the County received interest reimbursements of $387,557 during fiscal year 2015, which
are reported separately as a specific intergovernmental grant. The net effect of this reimbursement is shown below.
Net Effect of Federal Build America Bonds Interest Reimbursement on Interest Expense
Interest Expense Interest Net Interest
on 2009 Bonds Reimbursement Expense
Governmental Activities $ 1,147,641 $ ( 372,316) $ 7 75,325
Business-Type Activities
Airport 7,429 ( 2,410) 5 ,019
Public Landings and Marinas 39,549 (12,831) 26,718
Total Business-Type Activities 46,978 (15,241) 31,737
Total $ 1,194,619 $ ( 387,557) $ 8 07,062
-79-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
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, 2015 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 2015 One Year One Year
Golf Course
2005 Refunding Bonds 3.00%-5.00% 2019 $ 1,076,075 $ 441,075 $ 85,000 $ 356,075
Bond Premiums 15,205 3,041 12,164
Subtotal Golf Course 456,280 88,041 368,239
Bay Bridge Airport
2005 Refunding Bonds 3.00%-5.00% 2019 337,588 117,588 25,000 92,588
2006 Public Facilities Bonds 4.000%-5.375% 2027 288,928 27,165 13,302 13,863
2009 Public Facilities Bonds 1.400%-5.625% 2030 180,501 147,202 7,457 139,745
2011 Public Facilities Bonds 2.00%-4.25% 2031 21,968 20,321 463 19,858
2014 Public Facilities Bonds 2.00%-4.00% 2034 964,940 964,940 34,837 930,103
2015 Public Facilities Bonds 3.00%-5.00% 2036 577,244 577,244 - 577,244
2015 Refunding Bonds 2.00%-5.00% 2027 173,556 173,556 1,865 171,691
Bond Premiums 121,444 7,505 113,939
Subtotal Airport 2,149,460 90,429 2,059,031
Public Landings and Marinas
2006 Public Facilities Bonds 4.000%-5.375% 2027 41,132 3,867 1,894 1,973
2009 Public Facilities Bonds 1.400%-5.625% 2030 947,976 783,623 39,696 743,927
2011 Public Facilities Bonds 2.00%-4.25% 2031 133,908 115,440 5,192 110,248
2015 Refunding Bonds 2.00%-5.00% 2027 24,707 24,707 265 24,442
Bond Premiums 6,918 500 6,418
Subtotal Public Landings and Marinas 934,555 47,547 887,008
Sanitary District
Maryland Water Quality-2005 Enhancement 1.00% 2027 18,252,291 11,369,255 897,616 10,471,639
Queenstown Bank-Bay City Hookup 7.90% 2015 205,000 19,663 19,490 173
Subtotal Sanitary District 11,388,918 917,106 10,471,812
Total Business-Type Activities Debt 14,929,213 1,143,123 13,786,090
Other Post-Employment Benefit Obligation 5,951,774 - 5,951,774
Net Pension Liability 1,573,426 - 1,573,426
Compensated Absences 310,118 181,368 128,750
Total Business-Type Activities $ 22,764,531 $ 1,324,491 $ 21,440,040
-80-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
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, 2015, are as follows:
Business-Type Activities
Year Ending Business-Type Bonds Payable Business-Type Notes Payable
June 30, Principal Interest Total Principal Interest Total
2016 $ 214,971 $ 1 26,920 $ 341,891 $ 917,106 $ 1 63,082 $ 1,080,188
2017 236,936 1 29,757 366,693 906,765 1 53,121 1,059,886
2018 246,347 1 19,523 365,870 915,658 1 44,051 1,059,709
2019 251,173 1 08,991 360,164 924,815 1 34,895 1,059,710
2020 250,587 9 9,230 349,817 934,063 1 25,647 1,059,710
2021-2025 800,251 3 83,653 1,183,904 4,812,308 4 86,245 5,298,553
2026-2030 894,924 1 98,773 1,093,697 1,978,203 1 26,450 2,104,653
2031-2035 460,427 4 9,796 510,223 - - -
2036 41,112 6 94 41,806 - - -
$ 3,396,728 $ 1 ,217,337 $ 4,614,065 $ 11,388,918 $ 1 ,333,491 $ 12,722,409
C. ISSUANCE OF NEW DEBT
PRIMARY GOVERNMENT
On May 19, 2015, Queen Anne's County issued Public Facilities Bonds of 2015 for $12,200,000. These General
Obligation Bonds carry interest rates of 3.0 to 5.0 percent and mature serially through 2036. The primary use of the
bond proceeds is to provide funding for the renovation of Stevensville Middle School, to fund the Department of
Emergency Services radio system upgrade, with minor amounts earmarked for construction of general government and
enterprise capital projects. Moody’s Investor Service has assigned the rating of Aa2 and Fitch Ratings has assigned a
rating of AA+ to the Queen Anne’s County 2015 Bonds.
Queen Anne's County also issued Public Facilities Refunding Bonds of 2015 for $13,960,000 on May 19, 2015. These
bonds carry interest rates of 2.0 to 5.0 percent and mature serially through 2027. The net proceeds of $15,096,234 (after
receipt of $1,136,234, a re-offering premium net of underwriting fees, insurance, and other issuance costs) were used to
purchase U.S. government securities. Those securities were deposited in an irrevocable trust with an escrow agent to
provide for all future debt service payments on the 2006 Series bonds. As a result, the 2006 Series bonds are considered
to be defeased.
The advance refunding resulted in a difference between the reacquisition price and the net carrying amount of the old
debt of $996,235. The County completed the advance refunding to reduce its total debt service payments over the next
12 years by $738,837. There was a net present value savings of $641 thousand.
D. MUNICIPAL LEASE
PRIMARY GOVERNMENT
In August 2012, the County signed a note with SunTrust Equipment Financing & Leasing Corporation for the purchase
of five replacement vehicles for the Sheriff’s Office and two ambulances for Emergency Services. The total amount of
the note was $564,068 and is payable over five years. The first payment was made in August 2012. The annual interest
rate is 2.0118%. The outstanding balance as of June 30, 2015 is $227,828.
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
NOTE 9 – NONCURRENT LIABILITIES (CONTINUED)
E. 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, 2015 amounted to $5,752. Minimum future lease revenues are as follows:
Fiscal Year Ending lease
June 30, payments
2016 $ 5,488
2017 5,525
2018 5,525
2019 5,598
2020 5,635
2021-2025 28,665
2026-2030 29,627
2031-2035 26,513
Minimum Future Rental Revenue $ 112,576
F. 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, Finance, and Information Technology: (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; (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; and (5) review and revise this Debt Policy as
necessary no later than September 1, 2015. 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.
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.
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
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, 2015 are as follows:
Sanitary District
Business -Type Activities Restricted Debt Service Total
Current Restricted Assets
Equity in Pooled Cash $ 5,848,392 $ 2,695,383 $ 8,543,775
Accounts Receivable (Net) 6,816 14,803 21,619
Subtotal 5,855,208 2,710,186 8,565,394
LESS Current Liabilities Associated with Restricted Assets
Current Portion of Bonds Payable from Restricted Assets - ( 19,490) (19,490)
Net Current Restricted Assets 5,855,208 2,690,696 8,545,904
Noncurrent Restricted Assets
Special Assessments Receivable (Net) 952,578 7,848 960,426
LESS Deferred Inflows - Unavailable Water and Sewer Assessments ( 952,578) ( 2,291) (954,869)
Net Noncurrent Restricted Assets - 5,557 5,557
Net Restricted Assets $ 5,855,208 $ 2,696,253 $ 8,551,461
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
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 and OPEB Obligations $ (110,979,789)
(includes $1,865,049 for deferred charge on refunding)
Add back: Debt relating to Board of Education Assets $ 65,703,051
Add back: Unspent portion of Bond Proceeds for Board of Education debt 516,557
Add back: Unspent portion of Bond Proceeds for Governmental debt 5,494,442
Add back: Debt relating to Chesapeake College 7,127,942
Add back: Debt relating to PHA 1,158,825
Add back: Debt relating to non-capital assets (Dredging) 547,609
Add back debt unrelated to Capital Assets 80,548,426
Net Assets Invested in Capital Assets 155,865,901
Net Investment in Capital Assets $ 125,434,538
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 $ 53,376,559 $ 16,572,936 $ - $ - $ 69,949,495 $ 1 8,124,754 $ 7,569,627 $ 95,643,876
Less: Debt excluding Compensated Absences,
OPEB, and Net Pension Liability (11,369,255) - - - (11,369,255) (2,149,460) (1,390,835) (14,909,550)
Plus: Deferred Charge on Refunding - - - - - 2 1,622 31,204 52,826
Net Investment in Capital Assets 42,007,304 16,572,936 - - 58,580,240 1 5,996,916 6,209,996 80,787,152
Restricted Amounts
Debt Service - - - 2,308,234 2,308,234 - - 2,308,234
Capital Projects - - 753,300 - 753,300 - - 753,300
Total Restricted Amounts - - 753,300 2,308,234 3,061,534 - - 3,061,534
Total Unrestricted Amounts 1 ,568,726 2,034,688 5,101,908 - 8,705,322 (219,798) 539 8,486,063
Total Net Position $ 43,576,030 $ 18,607,624 $ 5,855,208 $ 2,308,234 $ 70,347,096 $ 1 5,777,118 $ 6,210,535 $ 92,334,749
Sanitary District debt, excluding compensated absences, OPEB, and net pension liability of $11,369,255 above, also
excludes $19,663 from the Debt Service Fund, as there are no capital assets related to that debt.
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
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 $ 675,458 $ - $ - $ - $ 6 75,458
Prepaid Items 1 2,319 - - - 1 2,319
Loans Receivable - 1,158,824 - 4,760,224 5 ,919,048
Subtotal Nonspendable 6 87,777 1,158,824 - 4,760,224 6 ,606,825
Restricted
Rainy Day Fund 8,557,813 - - - 8 ,557,813
Unspent Bond Proceeds - 6,010,999 - - 6 ,010,999
Impact Fees - 2 47,545 - 5,584,494 5 ,832,039
Economic and Community Development - - - 4,679,212 4 ,679,212
Agricultural Easements - - - 475,456 4 75,456
Inmate Welfare - - - 226,732 2 26,732
Sheriff's Drug Task Force - - - 98,415 9 8,415
Critical Areas - - - 164,031 1 64,031
Mosquito Control 119,933 - - - 1 19,933
Sheriff - Federal Confiscated Funds 3,366 - - - 3 ,366
Vehicle Acquisition - 25,176 - - 2 5,176
Dredging - - - 18,455 1 8,455
Donor-Specified Purposes - - - 107 107
Franchise Fees - - - 52,185 52,185
Hotel Taxes - - - 211,565 2 11,565
Subtotal Restricted 8,681,112 6,283,720 - 11,510,652 2 6,475,484
Committed
Developer Exactions - 86,993 703,987 - 7 90,980
Rubble Surcharge - 7 06,968 - - 7 06,968
Special Fund 2,000,000 - - - 2,000,000
Economic Development - 8 38,392 - - 8 38,392
Courthouse Project - 1,872,837 - - 1,872,837
Subtotal Committed 2,000,000 3,505,190 703,987 - 6,209,177
Assigned
Encumbrances - 1 0,246,306 1,849,843 - 1 2,096,149
Income Tax Contingency 2,034,875 - - - 2,034,875
Capital Projects - 3,319,141 1,090,733 - 4,409,874
Subsequent Years' Expenditures - 6,275,457 - 311,744 6,587,201
Subtotal Assigned 2,034,875 1 9,840,904 2,940,576 311,744 2 5,128,099
Unassigned
General Fund 7,793,085 - - - 7,793,085
Fire Company Impact Fees - - - (54,922) (54,922)
Housing and Community Services - - - (53,263) (53,263)
Subtotal Unassigned 7 ,793,085 - - (108,185) 7,684,900
Total Governmental Funds Balances $ 21,196,849 $ 3 0,788,638 $ 3,644,563 $ 16,474,435 $ 7 2,104,485
-85-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
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 2015 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.
Settlements - During fiscal year 2015, settlements did not exceed insurance coverage for any type of policy in effect.
In fiscal year 2014, the County paid out $259,305 in front and back wages as a result of a settlement involving a
former employee. For fiscal year 2013, settlements did not exceed insurance coverage for any type of policy in
effect.
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
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. The State Retirement Agency issues a publicly available financial report that
includes financial statements and required supplementary information for the System. That report may be obtained by
writing to the State Retirement and Pension System of Maryland, 120 E. Baltimore Street, Suite 1660, Baltimore,
Maryland 21202-1600 or on-line at www.sra.maryland.gov.
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 plans.
Basis of Accounting
The System’s financial statements are prepared on the accrual basis of accounting in accordance with accounting
principles generally accepted in the United States of America. For purposes of measuring net pension liability, deferred
outflows of resources and deferred inflows of resources related to pensions, and pension expense, information about the
fiduciary net position of the System and additions to/deductions from the System’s fiduciary net position have been
determined on the same basis as they are reported by the System. For this purpose, benefit payments (including refunds
of employee contributions) are recognized when due and payable in accordance with benefit terms. Investments are
reported at fair value.
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
NOTE 12 - RETIREMENT PLANS (CONTINUED)
Covered Members
Teachers’ Retirement and Pension Systems
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 man not transfer membership to the Teachers’ Pension
System.
Employees’ Retirement and Pension Systems
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.
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
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.
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
NOTE 12 - RETIREMENT PLANS (CONTINUED)
Beginning July 1, 2011, the member contribution rate was increased for members of the Teachers’ Pension System and
Employees’ Pension Systems from 5% to 7% and from 4% to 6% respectively, in fiscal year 2013 and 7% in the fiscal
year 2014 and beyond for members of the Law Enforcement Officers’ Pension System. Beginning July 1, 2013, the
member contribution rate was increased for members of the Judges’ Retirement System from 6% to 8%.
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 market value investment return for the preceding calendar year was
higher or lower than the investment return assumption used in the valuation.
A brief summary of the retirement eligibility requirements of and the benefits available under the various systems in
effect during fiscal year 2014 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, 2015
NOTE 12 - RETIREMENT PLANS (CONTINUED)
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 become 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.
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.
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
NOTE 12 - RETIREMENT PLANS (CONTINUED)
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.
Effective July 1, 1998, for Teachers’, Employees’, and LEOPS retirees, the adjustment is capped at a maximum 3%
compounded and is applied to all benefits which have been in payment for one year. The annual increase to pension
allowances for Employees’ Pension System retirees who were employed by a participating governmental unit that does
not provide enhanced pension benefits are limited to 3% of the initial allowance.
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 market 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 market 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.
Actuarial Assumptions
The total pension liability in the June 30, 2014 actuarial valuation was determined using the following actuarial
assumptions, applied to all periods included in the measurement:
Actuarial Entry Age Normal
Amortization Method Level Percentage of Payroll, Closed
Remaining Amortization Period 24 years for State system, 25 years for LEOPS Muni, and 32 years for CORS Muni as of June 30, 2014.
For ECS Muni, 6 years remaining as of June 30, 2014 for prior UAAL existing on June 30, 2000. 25 years
from each subsequent valuation date for each year's additional UAAL
Asset Valuation Method 5-year smoothed market; 20% collar
Inflation 2.90% general, 3.40% wage
Salary Increases 3.40% to 11.90% including inflation
Discount Rate 7.65%
Investment Rate of Return 7.65%
Retirement Age Experienced-based table of rates that are specific to the type of eligibility condition. Last updated for
the 2012 valuation pursuant to an experience study of the period 2006-2010
Mortality RP-2000 Combined Healthy Mortality Table projected to the year 2025
Note There were no benefit changes during the year. Adjustments to the roll-forward liabilities were made to
reflect the following assumptions changes in the 2014 valuation:
Investment return assumption changed from 7.70% to 7.65%
Inflation assumption changed from 2.95% to 2.90%; Disability mortality assumption for State Police
and LEOPS changed to:
RP-2000 Disabled Mortality: 50% table for males and 75% for females, but not less than the RP-2000
Combined Healthy Mortality table projected to year 2025
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
NOTE 12 - RETIREMENT PLANS (CONTINUED)
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, these best estimates are summarized in the following table:
Target Long-Term Expected
Asset Class Allocation Real Rate of Return
Public Equity 35% 4.70%
Fixed Income 10% 2.00%
Credit Opportunity 10% 3.00%
Real Return 14% 2.80%
Absolute Return 10% 5.00%
Private Equity 10% 6.30%
Real Estate 10% 4.50%
Cash 1% 1.40%
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, 2014.
For the year ended June 30, 2014, the annual money-weighted rate of return on pension plan investments, net of the
pension plan investment expense, was 14.38%. The money-weighted rate of return expresses investment performance,
net of investment expense, adjusted for the changing amounts actually invested.
Discount rate
A single discount rate of 7.65% 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 7.65%. 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.
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
NOTE 12 - RETIREMENT PLANS (CONTINUED)
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 7.65%, as well as what the plan’s net pension
liability would be if it were calculated using a discount rate that is 1% point lower or 1% point higher:
1% Decrease Current 1% Increase
System to 6.65% Discount to 8.65%
County $ 26,561,624 $ 18,431,162 $ 11,620,873
Board of Education 5,144,081 3,569,488 2,250,567
Teachers’ and Employees’ Retirement Systems and Teachers’ and Employees’ Pension Systems
Employer Contributions:
In accordance with Maryland Senate Bill 1301, Budget Reconciliation and Financing Act of 2012, the Board is required
to pay the State a specified percentage 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. The
specified percentage increases each fiscal year, until fiscal year 2017, when the Board will be paying 100% of the
normal cost for each teacher. The related payment for fiscal year ending 2015 was $1,792,679.
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.
At June 30, 2015, 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
(Employee's Systems) $ 3,569,488
State's proportionate share of the net pension liability
(Teacher's Systems) 46,484,733
Total $ 5 0,054,221
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
NOTE 12 - RETIREMENT PLANS (CONTINUED)
The net pension liability was measured as of June 30, 2014, 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. Calculate the net pension liability for the entire System. 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, 2015
NOTE 12 - RETIREMENT PLANS (CONTINUED)
At June 30, 2015, the County reported the following related to pensions:
BOARD OF
COUNTY EDUCATION
Employer's proportionate (percentage) of the collective net pension liability (NPL) 0.1038567% 0.0201135%
Employer's proportionate share of the collective net pension liability $ 18,431,162 $ 3,569,488
Pension expense recognized by the employer for the year ended June 30, 2015 $ 2,507,287 $ 461,154
Change in NPL factored for contributions $ 530,952 $ 102,827
Deferred inflows of resources:
Difference between expected and actual experience $ - $ -
Net difference between projected and actual investment earnings on pension plan investments ( 2,017,410) (390,704)
Change in assumptions - -
Total deferred inflows of resources $ (2,017,410) $ (390,704)
Deferred outflows of resources:
Difference between expected and actual experience $ - $ -
Change in assumptions 266,621 51,635
Year end June 30, 2015 contributions 2,507,287 461,154
Total deferred outflows of resources $ 2,773,908 $ 512,789
NPL June 30, 2014 $ 20,320,445 $ 3,935,378
Year end June 30, 2014 contributions (2,420,235) (468,717)
Change in NPL factored for contributions 530,952 102,827
NPL June 30, 2015 $ 18,431,162 $ 3,569,488
The $2,507,287 and $461,154 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, 2016. Other amounts reported as deferred outflows of resources will be amortized
over a five year period.
Total Covered On-Behalf
Payroll Payroll By State
County - MD Retirement and pension $ 25,473,795 $ 21,231,535 $ -
Board of Education 5 6,773,986 5 3,333,397 5,642,855
Library 1,112,697 1,112,697 143,764
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.
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
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 have the right to participate in this Trust now and in the future. Such
unrelated entities may deposit funds with the Trust for investment purposes related to their OPEB plans. At June 30,
2015, funds in the amount of $156,794 were reported as a liability of the Trust to Kent County, Maryland. Kent
County is holding these assets for the benefit of their plan participants.
OPEB Trustees have exclusive authority to manage the assets of the Trust. The Board of Trustees consists of five
members: two representing Queen Anne’s County Government; two representing the Queen Anne’s County Board
of Education; and one representing Kent County. In lieu of separate financial statements for the OPEB Trust, Queen
Anne’s County presents the Trust entity’s complete financial statements within this document.
In fiscal year 2015, the County Commissioners approved the County joining the MACo (Maryland Association of
Counties) OPEB Trust fund. However, no funds were deposited into this trust during fiscal year 2015. All
information presented in this note on other post-employment benefits refer to the 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).
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.
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
NOTE 14 - OTHER POST-EMPLOYMENT BENEFITS (CONTINUED)
Plan Description (Continued)
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. Addresses for other
participants are noted below in this Note.
Primary Government
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.
Table 1 – Subsidy for employees who retire prior to September 2, 2011
Years of County
Total Subsidy
Service Prior to
Percentage
Retirement
14 Years 0.0%
15 Years 54.0%
16 Years 57.6%
17 Years 61.2%
18 Years 64.8%
19 Years 68.4%
20 Years 72.0%
21 Years 75.6%
22 Years 79.2%
23 Years 82.8%
24 Years 86.4%
25 or more Years 90.0% (max)
Table 2 – Subsidy for employees who retire between September 2, 2011 and August 31, 2012
Years of County
Service Prior to Total Subsidy Percentage
Retirement
PPO Plan EPO Plan
14 Years 0.0% 0.0%
15 Years 54.0% 54.0%
16 Years 57.1% 57.6%
17 Years 60.2% 61.2%
18 Years 63.3% 64.8%
19 Years 66.4% 68.4%
20 Years 69.5% 72.0%
21 Years 72.6% 75.6%
22 Years 75.7% 79.2%
23 Years 78.8% 82.8%
24 Years 81.9% 86.4%
25 or more Years 85.0% (max) 90.0% (max)
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
NOTE 14 - OTHER POST-EMPLOYMENT BENEFITS (CONTINUED)
Plan Description (Continued)
Table 3 – Subsidy for employees who retire on or after September 1, 2012
Years of County
Service Prior to Total Subsidy Percentage
Retirement
PPO Plan EPO Plan
14 Years 0.0% 0.0%
15 Years 54.0% 54.0%
16 Years 56.6% 57.1%
17 Years 59.2% 60.2%
18 Years 61.8% 63.3%
19 Years 64.4% 66.4%
20 Years 67.0% 69.5%
21 Years 69.6% 72.6%
22 Years 72.2% 75.7%
23 Years 74.8% 78.8%
24 Years 77.4% 81.9%
25 or more Years 80.0% (max) 85.0% (max)
Participating Agencies
The other participating entities provide medical benefits to eligible employees who retire from employment with
each respective agency. Benefits and eligibility requirements vary among the different agencies. Each agency pays
a percentage of the health insurance premium based on certain criteria, including length of service. In addition to
medical benefits, the Board of Education pays the cost of providing term life insurance for its retirees in varying
amounts, depending upon length of service and date of retirement.
For detailed information on plan benefits provided by other participating agencies, as well as actuarial assumptions
used to estimate OPEB obligations, see the agencies’ separately-issued financial statements, which can be obtained
from their administrative offices as listed below:
Board of Education of Queen Anne’s County Kent County
Queen Anne’s County Free Library Government
202 Chesterfield Avenue 121 S. Commerce Street 400 High Street
Centreville, Maryland 21617 Centreville, MD 21617 Chestertown, MD 21620
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
NOTE 14 - OTHER POST-EMPLOYMENT BENEFITS (CONTINUED)
Plan Membership
Plan membership as of the date of the most recent actuarial valuation consisted of the following:
Plan Membership Active Retirees
Queen Anne's County 358 209
Board of Education 827 297
Library 15 5
Total 1,200 511
Basis of Accounting and Financial Statements
The Plan’s financial information is prepared on the full accrual basis of accounting. Expenses are recognized as
retirees’ insurance costs are incurred.
For further financial information, Summary and Combining financial statements may be found within this report, as
listed in the table of contents. Required Supplementary Information may be found after these Notes.
Contributions
Each participating agency has the authority to establish and amend benefit provisions that result in contribution
requirements of the plan members and the agency. The Plans are contributory plans in which the agencies and their
retired members and beneficiaries contribute certain amounts toward the current cost of the healthcare benefits, based on
an actuarial valuation.
To avoid reporting a liability for the current year’s contribution, each employer must contribute its annual required
contribution (ARC), which is an amount actuarially determined to be in accordance with the parameters of GASB
Statement No. 45. The ARC represents a level of funding that, if paid on an ongoing basis, is projected to cover normal
cost each year and to amortize any unfunded actuarial liabilities over a period not to exceed 30 years.
-99-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
NOTE 14 - OTHER POST-EMPLOYMENT BENEFITS (CONTINUED)
Annual OPEB Cost and Net OPEB Obligation
Total
Queen Anne's Board of for All
County Education Library Employers
Actuarial accrued liability (AAL) $ 5 1,063,866 $ 83,226,000 $ 512,774 $ 134,802,640
Actuarial value of plan assets 1,959,640 524,000 30,347 2,513,987
Unfunded actuarial accrued liability (UAAL) $ 49,104,226 $ 82,702,000 $ 482,427 $ 132,288,653
Funded Ratio (Actuarial value of plan assets / AAL) 3.84% 0.63% 5.92% 1.86%
Annual Required Contribution (ARC) $ 3,950,358 $ 7,868,000 $ 30,594 $ 11,848,952
Interest on Net OPEB Obligations 2,260,755 1 ,333,000 74,836 3,668,591
Adjustment to ARC ( 2,206,391) (1,611,000) (73,036) (3,890,427)
Total Annual OPEB Cost 4,004,722 7 ,590,000 32,394 1 1,627,116
Less: Trust Contributions (537,000) - - (537,000)
Less: Pay-As-You-Go Contributions ( 1,274,849) (1,600,921) (20,100) (2,895,870)
Total Contributions (1,811,849) (1,600,921) (20,100) (3,432,870)
Increase in Net OPEB Obligation 2,192,873 5 ,989,079 12,294 8,194,246
Net OPEB Obligation beginning of year 37,679,247 34,096,789 1,247,264 73,023,300
Net OPEB Obligation end of year $ 39,872,120 $ 40,085,868 $ 1,259,558 $ 81,217,546
Percent of Annual OPEB Cost Contributed 45.2% 21.1% 62.0% 29.5%
Covered payroll $ 19,064,280 $ 34,622,026 $ 1,112,697 $ 54,799,003
UAAL as a percentage of Covered Payroll 257.6% 238.9% 43.4% 241.4%
((UAAL) / covered payroll)
The Net OPEB Obligation (NOO) of $39,872,120 at the end of the year for the County consisted of liabilities of
$33,920,346 for Governmental Activities and $5,951,774 for Business Type Activities.
The schedule of funding progress, presented as required supplementary information (RSI) following the Notes,
presents multiyear trend information that shows whether the actuarial value of plan assets is increasing or decreasing
over time relative to the actuarial accrued liabilities for benefits. This relationship is represented by the funded ratio.
-100-

QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
NOTE 14 - OTHER POST-EMPLOYMENT BENEFITS (CONTINUED)
Schedule of Participating Agencies’ Contributions
The Schedule of Participating Agencies’ Contributions presents multiyear trend information that shows whether the
actual ARC contributed is increasing or decreasing over time relative to the annual pension cost, as shown by the
percentage of ARC contributed. Generally, the greater this percentage, the stronger the system is becoming.
Fiscal Annual Percentage Net OPEB
Year Ended Postemployment ARC of ARC Obligation
Participating Agency June 30 Benefit Cost Contributed Contributed (NOO)
Queen Anne's County 2009 $ 5,312,000 $ 1,007,954 18.98% $ 4,304,046
2010 6,410,934 604,221 9.42% 5 ,806,713
2011 7,256,495 835,792 11.52% 6 ,420,703
2012 7,806,661 1,508,144 19.32% 6 ,298,517
2013 9,024,000 1,668,781 18.49% 7 ,355,219
2014 9,187,000 1,692,951 18.43% 7 ,494,049
2015 4,004,722 1,811,849 45.24% 2 ,192,873
49,001,812 9,129,692 18.63% 39,872,120
Board of Education 2009 5,907,000 1,534,955 25.99% 4 ,372,045
2010 6,340,000 1,176,586 18.56% 5 ,163,414
2011 6,535,000 1,276,130 19.53% 5 ,258,870
2012 6,953,000 1,409,451 20.27% 5 ,543,549
2013 8,083,000 1,405,124 17.38% 6 ,677,876
2014 8,570,000 1,488,965 17.37% 7 ,081,035
2015 7,590,000 1,600,921 21.09% 5 ,989,079
49,978,000 9,892,132 19.79% 40,085,868
Library 2009 178,000 38,234 21.48% 139,766
2010 212,000 12,200 5.75% 199,800
2011 234,000 12,302 5.26% 221,698
2012 250,000 19,600 7.84% 230,400
2013 250,000 28,400 11.36% 221,600
2014 258,000 24,000 9.30% 234,000
2015 32,394 20,100 62.05% 12,294
1,414,394 154,836 10.95% 1 ,259,558
Totals 2009 11,397,000 2,581,143 22.65% 8,815,857
2010 12,962,934 1,793,007 13.83% 11,169,927
2011 14,025,495 2,124,224 15.15% 11,901,271
2012 15,009,661 2,937,195 19.57% 12,072,466
2013 17,357,000 3,102,305 17.87% 14,254,695
2014 18,015,000 3,205,916 17.80% 14,809,084
2015 11,627,116 3,432,870 29.52% 8 ,194,246
$ 100,394,206 $ 19,176,660 19.10% $ 81,217,546
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
NOTE 14 - OTHER POST-EMPLOYMENT BENEFITS (CONTINUED)
Actuarial Methods and Assumptions
The actuarial valuations of the individual plans involve estimates of the value of reported amounts and assumptions
about the probability of events far into the future, such as future employment, mortality, and healthcare costs. The
actuarially determined amounts regarding the funded status of the plans and the annual required contributions (ARC)
of the County and other participating agencies are subject to continual revision, as actual results are compared to past
expectations and new estimates are made about the future.
Projections of benefits for financial reporting purposes are based on the substantive plan (as understood by the employer
and plan members) and include the types of benefits provided at the time of valuation and the historical pattern of
sharing benefit costs between employers and plan members to that point. The actuarial methods and assumptions used
include techniques that are designed to reduce short-term volatility in actuarial accrued liabilities and the actuarial value
of the assets, consistent with the long-term perspective of the calculations.
Actuarial assumptions used in the actuarial valuation for the County’s plan were:
Actuarial Assumptions for Primary Government
Actuarial valuation date June 30, 2015
Actuarial cost method Entry Age
Amortization method Closed
Amortization period 23 years (as of June 30, 2015)
Interest Assumptions 6.0% investment rate of return
Asset valuation method Market value of assets
Inflation Rate 2.75% per year
Salary increases 3% per year
Mortality RP 2000, Combined Healthy tables (male &
female), fully generational with scale AA. The
RP2000 Combined Disabled Tables are used
for disabled members.
Actuarial trend assumptions:
2015 6.5%
2016-2017 6.0%
2018-2021 5.9%
2022-2026 5.8%
2027-2039 5.7%
2040-2049 5.2%
2050-2059 5.0%
2060-2069 4.8%
2070 & Later 4.3%
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
NOTE 15 – DEFICIT EQUITY BALANCES
The following Non-Major Governmental Funds ended the year with deficit balances in unassigned fund balance:
Housing and Community Services Fund
The Housing and Community Services Fund has a negative unassigned fund balance of $53,263 as
of June 30, 2015. This negative balance will clear itself as the balance of outstanding loans receivable in the
Housing and Community Services Fund decreases.
Capital Projects – Fire Company Impact Fees Fund
The Capital Projects – Fire Company Impact Fees Fund has a negative unassigned fund balance of $54,922 as of
June 30, 2015. 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:
Bay Bridge Airport Enterprise Fund
The Bay Bridge Airport Enterprise Fund has a deficit balance in unrestricted net position of $219,798 as of June 30,
2015.
Golf Course Enterprise Fund
The Golf Course Enterprise Fund has a deficit balance in unrestricted net position of $457,419 as of June 30, 2015.
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.
NOTE 16 - COMMITMENTS AND CONTINGENCIES
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, 2015 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 2015.
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.
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
NOTE 16 - COMMITMENTS AND CONTINGENCIES (CONTINUED)
PRIMARY GOVERNMENT (CONTINUED)
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 year 2015.
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 $3,505,190 has been committed, including $1,872,837 for the construction of a new County
Courthouse, $706,968 for rubble surcharge, $838,392 for economic development, and $86,993 for site improvements
pursuant to agreements with local developers. In the Roads Capital Projects Fund, $703,987 has been contributed by
developers and is committed to fund infrastructure improvements.
Income Tax Contingency - In the case of the Maryland State Comptroller of the Treasury v. Brian Wynne, Mr. Wynne
challenged the Maryland statute, arguing that the statute violated the Commerce Clause of the Federal Constitution
because it burdened Maryland residents that conducted interstate business. The Maryland Court of Appeals decision
found that “failure to allow a credit with respect to the county taxes for out-of-state income taxes paid to other states on
pass-through income earned in those states discriminates against interstate commerce and violates the Commerce Clause
of the Federal Constitution.” The Attorney General’s Office filed an appeal with the Supreme Court. The Supreme
Court heard the case and determined that this taxing scheme was unconstitutional because it discriminated in favor of
intrastate over interstate economic activity in violation of the dormant Commerce Clause.
Based on the findings, Queen Anne’s County reduced the receivable from the State for income taxes and the offsetting
deferred inflows by the estimated fiscal impact for the County for tax years going back to 2009 which totaled $2.0
million including interest. The adjustment does not change the total fund balance for the General Fund. Since the
County already received the money in income taxes in prior years, the amount of anticipated liability for the Wynne
Case impact on the County is assigned in the General Fund. When the State begins taking the funds back, the County
will release the amount from the assigned fund balance. The amount of anticipated liability is based on assessments
provided by the Maryland Comptroller’s Office and the County believes these figures to be within reason.
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
NOTE 17 – 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 34.43% financial interest in the Midshore Regional Landfill. In the event that 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.
During fiscal year 2011, the landfill located in Talbot County, Midshore I, was closed. As of June 30, 2015, total
closure and post closure costs for Midshore I were estimated at approximately $8.2 million. Midshore II, located in
Caroline County, was 11.99% filled. Closure and post closure costs for Midshore II are estimated at approximately
$14.2 million. Therefore, the total closure and post closure costs for both landfills are $22.4 million, with approximately
$8 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 $9.4 million as of June
30, 2015, 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 $22.1 million. As of June 30, 2015,
$7.6 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 $315,920 in
tipping fees to the facility during fiscal 2015.
MES has satisfied its financial assurance requirements based upon the local government financial ratio tests of the
project participants as of June 30, 2014. MES expects to satisfy these requirements as of June 30, 2015 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.
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
NOTE 18 – 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, 2008, 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 2008, the County incurred a total of $385 thousand in expenses, including $25
thousand in fiscal year 2015, 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
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 November 2011, due to uneven results from the prior year’s monitoring tests, MDE requested the County submit a
technical plan to conduct an initial site injection, a measure which included the application of decontaminating
chemicals to the soil in an effort to determine the dosage rate and the corresponding reduction in pollutants that could be
achieved.
Based on the plan approved by MDE, the County awarded a contract for the initial injection, and performed the
remediation work in the summer of 2012. Since the results of this initial injection did not achieve the desired effects, a
follow up plan is underway which includes continued quarterly monitoring, sampling, and testing. Also,
communications are underway to seek closure of this site from MDE.
On November 6, 2013, during routine quarterly monitoring, Liquid Phase Hydrocarbon (LPH) was encountered in only
MW-2A. MDE was properly notified and with their concurrence, the LPH was extracted from the well and disposed of
legally. The County was subsequently directed by MDE to perform weekly gauging of MW-2A and others on the site to
determine if the rebound would exceed 0.50 feet of LPW and if any of the other monitoring wells (MW) had LPW
present. LPH was not detected in any other MW and rebound did not approach 0.50 of LPW in MW-2A. Pursuant to an
April 1, 2014 letter from MDE, the County was directed to perform an Enhanced Fluid Recovery (EFR) in MW-2A and
follow-up with subsequent well gauging and monitoring because of the continued presence of LPH in MW-2A. This
procedure was conducted in compliance with MDE on April 23, 2014. The site continues to be compliantly monitored
with reports submitted 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.
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QUEEN ANNE’S COUNTY, MARYLAND
NOTES TO BASIC FINANCIAL STATEMENTS
JUNE 30, 2015
NOTE 18 – POLLUTION REMEDIATION OBLIGATIONS (CONTINUED)
The final scope of work is yet to be determined by MDE and the County. The presence of LPH in MW-2A continues to
be monitored, fluctuates in depth, and currently appears to be recoverable only in minimal amounts. The County is
continuing with the approved MDE monitoring program as described above and anticipates further direction from MDE
upon its completion.
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 19 – PRIOR PERIOD RESTATEMENT
The County and the Board of Education have determined to restate its Statement of Net Position and Statement of
Activities as of June 30, 2014. The determination was made to restate these financial statements in connection with the
fiscal year 2015 implementation of the Governmental Accounting Standards Board’s Statement No. 68, Accounting and
Financial Reporting for Pension. This statement’s objective is to improve the accounting and financial reporting for
pensions as well as to improve the information provided by employers about financial support for pensions that are
provided by other entities (see Note 12).
The following table is a summary of the effects of these changes on net position and change in net position for the
County as of June 30, 2015.
PRIMARY GOVERNMENT
Governmental Activities Business-Type Activities Total
Change in Change in Change in
Net Net Net Net Net Net
Position Position Position Position Position Position
As previously reported $ 90,218,678 $ 2,968,890 $ 93,112,718 $ (1,286,282) $ 183,331,396 $ 1,682,608
Adjustment to deferred financing
outflow for contributions 2,183,838 2,183,838 236,397 236,397 2,420,235 2,420,235
Adjustment to net pension liability (18,585,735) (18,585,735) (1,734,710) (1,734,710) (20,320,445) (20,320,445)
Total Adjustment (16,401,897) (16,401,897) (1,498,313) (1,498,313) (17,900,210) (17,900,210)
As restated $ 73,816,781 $ (13,433,007) $ 91,614,405 $ (2,784,595) $ 165,431,186 $ (16,217,602)
COMPONENT UNIT – BOARD OF EDUCATION
To implement Governmental Accounting Standards Board’s Statement No. 68, the beginning net position balance for
governmental activities of $123,504,380 has been decreased by $3,466,661 to $120,037,719. See the Board’s financial
statements for further information.
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-108-

Required Supplementary Information
-109-

QUEEN ANNE’S COUNTY, MARYLAND
REQUIRED SUPPLEMENTARY INFORMATION
JUNE 30, 2015
MARYLAND STATE RETIREMENT AND PENSIONS SYSTEMS
SCHEDULE OF THE PROPORTIONATE SHARE OF THE NET PENSION LIABILITY
Plan's
Fidcuciary
Employer's Employer's Proportionate Net Position
Proportion Proportion Share Plan's as a
(Percentage) Share Employer's as a Total Plan's Percentage
of the of the Covered Percentage Fiduciary Total of Total
Fiscal Measurement Collective Collective Employee of Covered Net Pension Pension
Year Date NPL NPL Payroll Payroll Position Liability Liability
A B C (B / C) D E (D / E)
2015 June 30, 2014 0.1038567% 1 8,431,162 21,231,535 87% 45,339,988,000 63,086,719,000 72%
SCHEDULE OF CONTRIBUTIONS
Actual
Contribution
Employer's as a
Contractually Contribution Covered Percentage
Fiscal Measurement Required Actual Deficiency Employee of Covered
Year Date Contribution Contribution (Excess) Payroll Payroll
A B (A - B) C (B / C)
2015 June 30, 2014 $ 2,420,235 $ 2,420,235 $ - $ 21,231,535 11%
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.
ACTUARIAL ASSUMPTIONS – PENSION PLAN
Actuarial Entry Age Normal
Amortization Method Level Percentage of Payroll, Closed
Remaining Amortization Period 24 years for State system, 25 years for LEOPS Muni, and 32 years for CORS Muni as of June 30, 2014.
For ECS Muni, 6 years remaining as of June 30, 2014 for prior UAAL existing on June 30, 2000. 25 years
from each subsequent valuation date for each year's additional UAAL
Asset Valuation Method 5-year smoothed market; 20% collar
Inflation 2.90% general, 3.40% wage
Salary Increases 3.40% to 11.90% including inflation
Discount Rate 7.65%
Investment Rate of Return 7.65%
Retirement Age Experienced-based table of rates that are specific to the type of eligibility condition. Last updated for
the 2012 valuation pursuant to an experience study of the period 2006-2010
Mortality RP-2000 Combined Healthy Mortality Table projected to the year 2025
Note There were no benefit changes during the year. Adjustments to the roll-forward liabilities were made to
reflect the following assumptions changes in the 2014 valuation:
Investment return assumption changed from 7.70% to 7.65%
Inflation assumption changed from 2.95% to 2.90%; Disability mortality assumption for State Police
and LEOPS changed to:
RP-2000 Disabled Mortality: 50% table for males and 75% for females, but not less than the RP-2000
Combined Healthy Mortality table projected to year 2025
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QUEEN ANNE’S COUNTY, MARYLAND
REQUIRED SUPPLEMENTARY INFORMATION
JUNE 30, 2015
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 FUNDING PROGRESS
The Schedule of Funding Progress presents multiyear trend information that shows whether the actuarial value of plan
assets is increasing or decreasing over time relative to the actuarial accrued liabilities for benefits.
(A) (B - A) ((B - A) / C)
Value of (B) Unfunded UAAL as a
Assets at Accrued Accrued (A / B) (C) Percentage
Valuation Valuation Liability Liability Funded Covered of Covered
Funding Progress Date Date (AAL) (UAAL) Ratio Payroll Payroll
Queen Anne's County July 1, 2008 $ - $ 49,107,000 $ 49,107,000 0.00% $ 23,690,163 207%
July 1, 2009 500,000 63,935,000 63,435,000 0.78% 23,778,696 267%
July 1, 2010 500,000 70,570,000 70,070,000 0.71% 20,439,972 343%
July 1, 2011 7 7,000 76,949,000 76,872,000 0.10% 18,903,632 407%
July 1, 2012 8 2,000 93,915,000 93,833,000 0.09% 17,640,063 532%
July 1, 2013 976,790 95,676,000 94,699,210 1.02% 17,953,154 527%
June 30, 2015 1,959,640 51,063,866 49,104,226 3.84% 19,064,280 258%
As indicated in the chart above, the accrued liability has decreased since the prior valuation. This decrease results from
favorable claims experience, an increase in the discount rate from 4.5% to 6.0%, and a change in the cost method from
projected unit credit to entry age. The net result was a decrease in costs and liabilities.
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).
-111-

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, 2015
ORIGINAL FINAL POSITIVE
BUDGET BUDGET ACTUAL (NEGATIVE)
REVENUES
Taxes
Local Property Tax $ 64,108,847 $ 64,399,899 $ 64,643,520 $ 243,621
Local Income Tax 41,878,992 42,603,992 42,889,715 285,723
Admission and Amusement Taxes 178,515 178,515 155,396 (23,119)
Recordation Taxes 3,250,000 3,250,000 3,399,247 149,247
Hotel Taxes 480,000 - - -
County Transfer Taxes 1,200,000 1,674,014 1,797,855 123,841
State Shared Taxes 567,318 567,318 518,326 (48,992)
Licenses and Permits 950,000 585,000 615,401 30,401
Intergovernmental 1,829,792 1,831,173 1,742,520 (88,653)
Bond Interest Reimbursement - Build America Bond 382,570 382,570 375,323 (7,247)
Charges for Current Services 2,004,193 2,081,025 2,170,142 89,117
Fines and Forfeitures 25,300 45,300 82,059 36,759
Investment Income 75,000 75,000 56,231 (18,769)
Donations 1,800 1,800 4,380 2,580
Miscellaneous 723,783 723,783 948,444 224,661
Total Revenues 117,656,110 118,399,389 119,398,559 999,170
EXPENDITURES
GENERAL GOVERNMENT
Legislative 467,781 467,781 378,617 89,164
Public Information 263,937 - - -
Judicial
Circuit Court 588,217 524,436 395,695 128,741
Orphan's Court 80,526 80,526 73,165 7,361
State's Attorney 1,104,529 1,129,529 1,126,660 2,869
County Administrator 278,992 181,850 176,670 5,180
Board of Elections 537,607 537,607 475,771 61,836
Finance Office 1,040,052 1,040,052 1,009,892 30,160
Human Resources 499,303 499,651 444,107 55,544
Planning and Zoning 1,859,676 1,859,617 1,856,850 2,767
Information Technology 767,690 767,690 683,112 84,578
Legal Services 444,343 464,343 461,142 3,201
Total General Government 7,932,653 7,553,082 7,081,681 471,401
PUBLIC SAFETY
Sheriff's Office 6,918,172 6,818,613 6,580,853 237,760
Volunteer Fire and Rescue Services 3,169,059 3,473,059 3,470,179 2,880
Detention Center 4,497,831 4,497,831 4,194,040 303,791
Emergency Services 7,647,652 7,671,511 7,497,582 173,929
Animal Control - 191,255 187,289 3,966
Total Public Safety 22,232,714 22,652,269 21,929,943 722,326
PARKS AND PUBLIC WORKS
Administration 376,162 376,162 342,060 34,102
Solid Waste Disposal 1,784,619 1,784,619 1,311,724 472,895
Engineering Division 599,541 629,541 627,999 1,542
Roads Division 4,037,469 4,201,750 3,821,892 379,858
General Services 2,316,613 2,264,374 2,260,767 3,607
Parks 2,464,286 2,956,688 2,754,492 202,196
Weed Control 105,017 105,017 94,342 10,675
Total Parks and Public Works 11,683,707 12,318,151 11,213,276 1,104,875
CONTINUED
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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, 2015
(CONTINUED)
ORIGINAL FINAL POSITIVE
BUDGET BUDGET ACTUAL (NEGATIVE)
HEALTH, SOCIAL, AND COMMUNITY SERVICES
Health Department $ 2,108,336 $ 2,108,336 $ 1 ,822,856 $ 285,480
Social Services 316,457 316,457 284,474 31,983
Recreation 523,283 523,283 505,892 17,391
Total Health, Social, and Community Services 2,948,076 2,948,076 2,613,222 334,854
EDUCATION AND LIBRARY
Board of Education 49,730,398 49,730,398 49,730,398 -
Teacher Pensions 1,497,849 1,497,849 1,497,849 -
Chesapeake College 1,791,817 1,791,817 1,791,817 -
Queen Anne's County Free Library 1,432,500 1,432,500 1,432,500 -
Total Education and Library 54,452,564 5 4,452,564 5 4,452,564 -
CONSERVATION OF NATURAL RESOURCES
Cooperative Extension Service 270,549 272,471 271,237 1,234
Soil Conservation Service 195,016 195,016 184,104 10,912
4-H Park 68,530 68,530 61,978 6,552
Total Conservation of Natural Resources 534,095 536,017 517,319 18,698
ECONOMIC AND COMMUNITY DEVELOPMENT
Economic Development and Tourism 453,081 - - -
Community Affairs - 280,803 279,687 1,116
Total Economic and Community Development 453,081 280,803 279,687 1,116
DEBT SERVICE
School Debt Service - Principal 5,490,787 5,560,787 5,556,365 4,422
School Debt Service - Interest 2,513,821 2,538,821 2,536,283 2,538
County Debt Service - Principal 2,372,770 1,902,770 1,843,821 58,949
County Debt Service - Interest 1,480,243 1,330,243 1,310,540 19,703
Total Debt Service 11,857,621 11,332,621 11,247,009 85,612
INTERGOVERNMENTAL
Aid to Municipalities 96,589 96,589 96,589 -
SDAT Costs from State 227,094 227,094 205,788 21,306
Total Intergovernmental 323,683 323,683 302,377 21,306
CONTINUED
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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, 2015
(CONTINUED)
ORIGINAL FINAL POSITIVE
BUDGET BUDGET ACTUAL (NEGATIVE)
MISCELLANEOUS
Aid to Other Agencies $ 54,025 $ 99,025 $ 9 5,860 $ 3,165
Insurance & Benefits 1,943,500 1,943,500 1,759,002 184,498
Transfer to OPEB Fund 537,000 537,000 537,000 -
Contingencies 1,219,642 240,219 225,166 15,053
Salary Lapse (800,000) (800,000) - (800,000)
Miscellaneous Non-Departmental 1,089,029 869,033 616,180 252,853
Total Miscellaneous 4,043,196 2,888,777 3,233,208 (344,431)
Total Expenditures 116,461,390 115,286,043 112,870,286 2,415,757
Excess of Revenues Over Expenditures 1,194,720 3,113,346 6,528,273 3,414,927
OTHER FINANCING SOURCES (USES)
Proceeds of Capital Asset Disposals - - 75,098 75,098
Insurance Proceeds - - 57,916 57,916
Transfers In From:
Impact Fees - School 1,235,000 1,235,000 250,000 (985,000)
Drug Task Force - 18,376 18,376 -
Total Transfers In 1,235,000 1,253,376 268,376 (985,000)
Transfers Out To:
General Capital Projects Fund 168,450 2,168,450 2,168,450 -
Department of Aging 1,254,149 1,254,149 1,033,543 220,606
Department of Housing and Community Services 528,510 528,510 419,891 108,619
Community Partnerships 167,103 167,102 167,102 -
Impact Fees - Fire Companies/Contingencies - 67,489 67,488 1
Airport Enterprise Fund 62,977 142,977 142,871 106
Golf Course Enterprise Fund 248,531 248,531 154,976 93,555
Total Transfers Out 2,429,720 4,577,208 4,154,321 422,887
Total Other Financing (Uses) (1,194,720) (3,323,832) (3,752,931) (429,099)
Net Increase (Decrease) in Fund Balance $ - $ (210,486) 2,775,342 $ 2,985,828
Fund Balance, July 1 18,421,507
Fund Balance, June 30 $ 21,196,849
-114-

-115-

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.
-116-

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.
-117-

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.
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.
Franchise Fee - This fund accounts for activities funded by cable TV franchise fees to support the local
County government TV channel and is included in the general government function.
Hotel Tax – This fund accounts for activities funded by the Hotel Tax that support economic development
and tourism and is included in the economic and community development 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.
-118-

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.
Purchase of Development Rights – This fund accounts for activities funded by Queen Anne’s County to
acquire easements to restrict the use of agricultural land and woodland and is included in the conservation
of natural resources function.
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 repay parking improvement
bonds 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.
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QUEEN ANNE'S COUNTY, MARYLAND
COMBINING BALANCE SHEET
NON-MAJOR GOVERNMENTAL FUNDS
JUNE 30, 2015
COMMUNITY
HOUSING AND ECONOMIC PARTNERSHIPS
DEPARTMENT COMMUNITY REVOLVING DEVELOPMENT BRIDGE FOR
OF AGING SERVICES LOAN FUND INCENTIVE FUND CHILDREN
ASSETS
Cash and Cash Equivalents $ 122,022 $ 1,105,038 $ 487,299 $ 1,503,761 $ 1,206,061 $ 550,859
Receivables
Taxes Receivable (Net) - - - - - -
Accounts Receivable (Net) - 7,195 14,430 - - 16,656
Loans Receivable - 4,695,890 49,904 - - -
Special Assessments (Net) - - - - - -
Due from Other Governments 200,693 51,073 - 65,880 65,880 164,381
Total Assets $ 322,715 $ 5,859,196 $ 551,633 $ 1,569,641 $ 1,271,941 $ 731,896
LIABILITIES
Accrued Liabilities $ 91,727 $ 16,072 $ - $ - $ - $ 180,608
Due to Other Funds 122,169 83,387 - - - -
Due to Other Governmental Agencies - 3,136 - - - 305,779
Unearned Revenue - 29,694 - - - 145,656
Total Liabilities 213,896 132,289 - - - 632,043
DEFERRED INFLOWS OF RESOURCES
Unavailable Benefit Assessments - - - - - -
Unavailable Fees - - - - - -
Total Deferred Inflows - - - - - -
FUND BALANCES
Nonspendable - 4,695,890 64,334 - - -
Restricted 107 1,084,280 487,299 1,569,641 1,271,941 -
Assigned 108,712 - - - - 99,853
Unassigned - (53,263) - - - -
Total Fund Balances 108,819 5,726,907 551,633 1,569,641 1,271,941 99,853
Total Liabilities, Deferred Inflows and Fund
Balances $ 322,715 $ 5,859,196 $ 551,633 $ 1,569,641 $ 1,271,941 $ 731,896
-120-

QUEEN ANNE'S COUNTY, MARYLAND
COMBINING BALANCE SHEET
NON-MAJOR GOVERNMENTAL FUNDS
JUNE 30, 2015
(CONTINUED)
SHERIFF'S
DRUG PURCHASE OF
CRITICAL FRANCHISE HOTEL LAW TASK INMATE AGRICULTURAL RURAL DEVELOPMENT
AREAS FEE TAX LIBRARY FORCE WELFARE TRANSFER LEGACY RIGHTS
$ 164,031 $ 22,539 $ 164,797 $ 103,203 $ 138,976 $ 256,367 $ 55,827 $ 420,379 $ 550
- - 59,752 - - - - - -
- 50,000 - - - 9,493 - - -
- - - - - - - - -
- - - - - - - - -
- - 6,563 - - - - - -
$ 164,031 $ 72,539 $ 231,112 $ 103,203 $ 138,976 $ 265,860 $ 55,827 $ 420,379 $ 550
$ - $ 20,354 $ 19,547 $ 24 $ 40,561 $ 13,849 $ 1,300 $ - $ -
- - - - - - - - -
- - - - - 25,279 - - -
- - - - - - - - -
- 20,354 19,547 24 40,561 39,128 1,300 - -
- - - - - - - - -
- - - - - - - - -
- - - - - - - - -
- - - - - - - - -
164,031 52,185 211,565 - 98,415 226,732 54,527 420,379 550
- - - 103,179 - - - - -
- - - - - - - - -
164,031 52,185 211,565 103,179 98,415 226,732 54,527 420,379 550
$ 164,031 $ 72,539 $ 231,112 $ 103,203 $ 138,976 $ 265,860 $ 55,827 $ 420,379 $ 550
CONTINUED
-121-

QUEEN ANNE'S COUNTY, MARYLAND
COMBINING BALANCE SHEET
NON-MAJOR GOVERNMENTAL FUNDS
JUNE 30, 2015
(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 $ 18,235 $ 266,051 $ 4,555,956 $ 294,770 $ 733,768 $ 12,170,489
Receivables
Taxes Receivable (Net) - - - - - 59,752
Accounts Receivable (Net) 220 - - - - 97,994
Loans Receivable - - 984,410 111,623 125,442 5,967,269
Special Assessments (Net) 505,569 - - - - 505,569
Due from Other Governments - - - - - 554,470
Total Assets $ 524,024 $ 266,051 $ 5,540,366 $ 406,393 $ 859,210 $ 19,355,543
LIABILITIES AND FUND BALANCES
Accrued Liabilities $ - $ - $ - $ - $ - $ 384,042
Due to Other Funds - - - 54,922 - 260,478
Due to Other Governmental Agencies - - - - - 334,194
Unearned Revenue - - - - - 175,350
Total Liabilities - - - 54,922 - 1,154,064
DEFERRED INFLOWS OF RESOURCES
Unavailable Benefit Assessments 505,569 - - - - 505,569
Unavailable Fees - - 984,410 111,623 125,442 1,221,475
Total Deferred Inflows 505,569 - 984,410 111,623 125,442 1,727,044
Fund Balances
Nonspendable - - - - - 4,760,224
Restricted 18,455 266,051 4,555,956 294,770 733,768 11,510,652
Assigned - - - - - 311,744
Unassigned - - - (54,922) - (108,185)
Total Fund Balances 18,455 266,051 4,555,956 239,848 733,768 16,474,435
Total Liabilities and Fund Balances $ 524,024 $ 266,051 $ 5,540,366 $ 406,393 $ 859,210 $ 19,355,543
-122-

-123-

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, 2015
COMMUNITY
HOUSING AND ECONOMIC PARTNERSHIPS
DEPARTMENT COMMUNITY REVOLVING DEVELOPMENT BRIDGE FOR
OF AGING SERVICES LOAN FUND INCENTIVE FUND CHILDREN
REVENUES
Taxes
Local Property Tax $ - $ - $ - $ - $ - $ -
Recordation Taxes - 1 51,979 - 506,596 506,596 -
Hotel Taxes - - - - - -
State Shared Taxes - - - - - -
Licenses and Permits - - - - - -
Intergovernmental 1,005,364 2 47,130 - - - 8 90,108
Charges for Current Services 68,187 77,500 - - - -
Fines and Forfeitures - - - - - -
Investment Income 53 2,078 3,466 554 554 22
Donations 37,011 - - - - -
Miscellaneous 8,422 - 1 00 - - 6,283
Total Revenues 1 ,119,037 4 78,687 3,566 507,150 507,150 8 96,413
EXPENDITURES
Current
General Government - - - - - -
Public Safety - - - - - -
Social Services 2 ,171,531 - - - - 1 ,090,413
Economic/Community Development - 6 71,146 25,000 226,300 - -
Capital Outlay - - - - - -
Debt Service
Principal - - - - - -
Total Expenditures 2,171,531 6 71,146 25,000 226,300 - 1 ,090,413
Excess of Revenues Over (Under) Expenditures (1,052,494) (192,459) (21,434) 280,850 507,150 (194,000)
OTHER FINANCING SOURCES (USES)
Proceeds of Capital Asset Disposals 793 - - - - 817
Transfers In 1 ,033,543 4 19,891 - - 764,791 1 67,102
Transfers Out - - - - - -
Other Financing Sources (Uses) 1 ,034,336 4 19,891 - - 764,791 1 67,919
Net Increase (Decrease) in Fund Balances (18,158) 2 27,432 (21,434) 280,850 1,271,941 (26,081)
Fund Balances, July 1 1 26,977 5 ,499,475 573,067 1,288,791 - 1 25,934
Fund Balances, June 30 $ 108,819 $ 5,726,907 $ 551,633 $ 1,569,641 $ 1,271,941 $ 9 9,853
-124-

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, 2015
(CONTINUED)
SHERIFF'S
DRUG PURCHASE OF
CRITICAL FRANCHISE HOTEL LAW TASK INMATE AGRICULTURAL RURAL DEVELOPMENT
AREAS FEE TAX LIBRARY FORCE WELFARE TRANSFER LEGACY RIGHTS
$ - $ - $ - $ - $ - $ - $ - $ - $ -
- - - - - - - - -
- - 480,752 - - - - - -
- - - - - - 39,508 - -
- 447,516 - - - - - - -
- - 34,806 - - 6,920 - - -
75 6,574 - 14,802 - 96,960 - - -
- - - 38,617 61,484 - - - -
- - - 74 114 139 - 260 -
- - - - - - - - -
- - 3,392 - 3,550 27,332 - - -
75 454,090 518,950 53,493 65,148 1 31,351 39,508 260 -
- 377,556 - 2,677 - - - - -
- - - - 84,452 1 40,654 - - -
- - - - - - - - -
- - 307,385 - - - - - -
- 24,349 - - - - - - -
- - - - - - - - -
- 401,905 307,385 2,677 84,452 1 40,654 - - -
75 52,185 211,565 50,816 (19,304) (9,303) 39,508 260 -
- - - - - - - - -
- - - - - - - - -
- - - - (18,376) - - - -
- - - - (18,376) - - - -
75 52,185 211,565 50,816 (37,680) (9,303) 39,508 260 -
163,956 - - 52,363 1 36,095 2 36,035 15,019 4 20,119 550
$ 164,031 $ 52,185 $ 211,565 $ 1 03,179 $ 9 8,415 $ 2 26,732 $ 54,527 $ 4 20,379 $ 550
CONTINUED
-125-

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, 2015
(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 $ - $ 28,772 $ - $ - $ - $ 2 8,772
Recordation Taxes - - - - - 1 ,165,171
Hotel Taxes - - - - - 4 80,752
State Shared Taxes - - - - - 39,508
Licenses and Permits - - - - - 4 47,516
Intergovernmental - - - - - 2 ,184,328
Charges for Current Services 44,177 - 1 ,249,332 234,123 155,179 1 ,946,909
Fines and Forfeitures - - - - - 1 00,101
Investment Income 417 - 2,665 199 415 11,010
Donations - - - - - 37,011
Miscellaneous - - - - - 49,079
Total Revenues 44,594 28,772 1,251,997 234,322 155,594 6 ,490,157
EXPENDITURES
Current
General Government - - - - - 3 80,233
Public Safety - - - 383,711 - 6 08,817
Social Services - - - - - 3 ,261,944
Economic/Community Development - 45,304 - - - 1 ,275,135
Capital Outlay - - - - - 24,349
Debt Service
Principal 44,425 - - - - 44,425
Total Expenditures 44,425 45,304 - 383,711 - 5 ,594,903
Excess of Revenues Over (Under) Expenditures 1 69 (16,532) 1,251,997 (149,389) 155,594 8 95,254
OTHER FINANCING SOURCES (USES)
Proceeds of Capital Asset Disposals - - - - - 1,610
Transfers In - - - 67,488 - 2 ,452,815
Transfers Out - - (250,000) - - (268,376)
Other Financing Sources (Uses) - - (250,000) 67,488 - 2 ,186,049
Net Increase (Decrease) in Fund Balances 169 (16,532) 1 ,001,997 (81,901) 1 55,594 3 ,081,303
Fund Balances, July 1 18,286 282,583 3 ,553,959 321,749 5 78,174 13,393,132
Fund Balances, June 30 $ 18,455 $ 266,051 $ 4,555,956 $ 2 39,848 $ 733,768 $ 16,474,435
-126-

-127-

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, 2015
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 - - - - 146,350 146,350 151,979 5,629
Hotel Taxes - - - - - - - -
State Shared Taxes - - - - - - - -
Licenses and Permits - - - - - - - -
Intergovernmental 802,614 907,814 1,005,364 97,550 160,244 160,244 247,130 86,886
Charges for Current Services 58,600 58,600 68,187 9,587 125,000 125,000 77,500 (47,500)
Fines and Forfeitures - - - - - - - -
Investment Income - - 53 53 - - 2,078 2,078
Donations 35,000 35,000 37,011 2,011 - - - -
Miscellaneous 1,000 1,000 8,422 7,422 - - - -
Total Revenues 897,214 1,002,414 1,119,037 116,623 431,594 431,594 478,687 47,093
EXPENDITURES
Current Operating Expenditures 2,151,363 2,256,563 2,171,531 85,032 1,110,104 1,492,859 671,146 821,713
Capital Outlay - - - - - - - -
Debt Service
Principal - - - - - - - -
Total Expenditures 2,151,363 2,256,563 2,171,531 85,032 1,110,104 1,492,859 671,146 821,713
Excess of Revenues Over (Under) Expenditures (1,254,149) ( 1,254,149) ( 1,052,494) 201,655 (678,510) (1,061,265) (192,459) 868,806
OTHER FINANCING SOURCES (USES)
Proceeds of Capital Asset Disposals - - 793 793 - - - -
Transfers In 1,254,149 1,254,149 1,033,543 (220,606) 528,510 528,510 419,891 (108,619)
Transfers Out - - - - - - - -
Total Other Financing Sources (Uses) 1,254,149 1,254,149 1,034,336 (219,813) 528,510 528,510 419,891 (108,619)
Net Increase (Decrease) in Fund Balances $ - $ - ( 18,158) $ (18,158) $ (150,000) $ (532,755) 227,432 $ 760,187
Fund Balances, July 1 126,977 5,499,475
Fund Balances, June 30 $ 108,819 $ 5,726,907
-128-

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, 2015
(CONTINUED)
ECONOMIC DEVELOPMENT INCENTIVE BRIDGE FUND COMMUNITY PARTNERSHIPS FOR CHILDREN
VARIANCE VARIANCE VARIANCE
ORIGINAL FINAL POSITIVE ORIGINAL FINAL POSITIVE ORIGINAL FINAL POSITIVE
BUDGET BUDGET ACTUAL (NEGATIVE) BUDGET BUDGET ACTUAL (NEGATIVE) BUDGET BUDGET ACTUAL (NEGATIVE)
$ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ -
400,000 400,000 506,596 106,596 - 532,000 506,596 (25,404) - - - -
- - - - - - - - - - - -
- - - - - - - - - - - -
- - - - - - - - - - - -
- - - - - - - - 883,258 918,576 890,108 ( 28,468)
- - - - - - - - - - - -
- - - - - - - - - - - -
- - 554 554 - - 554 554 - - 22 22
- - - - - - - - - - - -
- - - - - - - - - - 6,283 6,283
400,000 400,000 507,150 107,150 - 532,000 507,150 (24,850) 883,258 918,576 896,413 ( 22,163)
400,000 400,000 226,300 173,700 - 1,296,792 - 1,296,792 1,050,361 1,090,413 1,090,413 -
- - - - - - - - - - - -
- - - - - - - - - - - -
400,000 400,000 226,300 173,700 - 1,296,792 - 1,296,792 1,050,361 1,090,413 1,090,413 -
- - 280,850 280,850 - ( 764,792) 507,150 1,271,942 (167,103) (171,837) ( 194,000) ( 22,163)
- - - - - - - - - - 817 817
- - - - - 764,792 764,791 (1) 167,103 171,837 167,102 ( 4,735)
- - - - - - - - - (4,734) - 4,734
- - - - - 764,792 764,791 (1) 167,103 167,103 167,919 816
$ - $ - 280,850 $ 280,850 $ - $ - 1,271,941 $ 1,271,941 $ - $ (4,734) ( 26,081) $ ( 21,347)
1,288,791 - 125,934
$ 1,569,641 $ 1,271,941 $ 99,853
CONTINUED
-129-

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, 2015
(CONTINUED)
FRANCHISE FEE HOTEL TAX
VARIANCE VARIANCE
ORIGINAL FINAL POSITIVE ORIGINAL FINAL POSITIVE
BUDGET BUDGET ACTUAL (NEGATIVE) BUDGET BUDGET ACTUAL (NEGATIVE)
REVENUES
Taxes
Local Property Tax $ - $ - $ - $ - $ - $ - $ - $ -
Recordation Taxes - - - - - - - -
Hotel Taxes - - - - - 480,000 480,752 752
State Shared Taxes - - - - - - - -
Licenses and Permits - 365,000 447,516 82,516 - - - -
Intergovernmental - - - - - 38,738 34,806 (3,932)
Charges for Current Services - 50,000 6,574 (43,426) - - - -
Fines and Forfeitures - - - - - - - -
Investment Income - - - - - - - -
Donations - - - - - - - -
Miscellaneous - - - - - - 3,392 3,392
Total Revenues - 415,000 454,090 39,090 - 518,738 518,950 212
EXPENDITURES
Current Operating Expenditures - 415,000 377,556 37,444 - 518,738 307,385 211,353
Capital Outlay - - 24,349 (24,349) - - - -
Debt Service
Principal - - - - - - - -
Total Expenditures - 415,000 401,905 13,095 - 518,738 307,385 211,353
Excess of Revenues Over (Under) Expenditures - - 52,185 52,185 - - 211,565 211,565
OTHER FINANCING SOURCES (USES)
Proceeds of Capital Asset Disposals - - - - - - - -
Transfers In - - - - - - - -
Transfers Out - - - - - - - -
Total Other Financing Sources (Uses) - - - - - - - -
Net Increase (Decrease) in Fund Balances $ - $ - 52,185 $ 52,185 $ - $ - 211,565 $ 211,565
Fund Balances, July 1 - -
Fund Balances, June 30 $ 52,185 $ 211,565
-130-

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, 2015
(CONTINUED)
LAW LIBRARY INMATE WELFARE AGRICULTURAL TRANSFER
VARIANCE VARIANCE VARIANCE
ORIGINAL FINAL POSITIVE ORIGINAL FINAL POSITIVE ORIGINAL FINAL POSITIVE
BUDGET BUDGET ACTUAL (NEGATIVE) BUDGET BUDGET ACTUAL (NEGATIVE) BUDGET BUDGET ACTUAL (NEGATIVE)
$ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ -
- - - - - - - - - - - -
- - - - - - - - - - - -
- - - - - - - - 40,000 40,000 39,508 (492)
- - - - - - - - - - - -
- - - - - - 6,920 6,920 - - - -
1 0,000 10,000 14,802 4,802 1 20,000 120,000 96,960 (23,040) - - - -
1 5,500 15,500 38,617 23,117 - - - - - - - -
- - 74 74 - - 139 139 - - - -
- - - - - - - - - - - -
- - - - 3 0,000 30,000 27,332 (2,668) - - - -
2 5,500 25,500 53,493 27,993 1 50,000 150,000 131,351 (18,649) 40,000 40,000 39,508 (492)
2 5,500 25,500 2,677 22,823 1 35,400 135,400 140,654 (5,254) 40,000 40,000 - 40,000
- - - - 1 4,600 14,600 - 14,600 - - - -
- - - - - - - - - - - -
2 5,500 25,500 2,677 22,823 1 50,000 150,000 140,654 9,346 40,000 40,000 - 40,000
- - 50,816 50,816 - - (9,303) (9,303) - - 39,508 39,508
- - - - - - - - - - - -
- - - - - - - - - - - -
- - - - - - - - - - - -
- - - - - - - - - - - -
$ - $ - 50,816 $ 50,816 $ - $ - (9,303) $ (9,303) $ - $ - 39,508 $ 39,508
52,363 236,035 15,019
$ 103,179 $ 226,732 $ 54,527
CONTINUED
-131-

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, 2015
(CONTINUED)
DREDGING SPECIAL ASSESSMENTS KENT NARROWS
VARIANCE VARIANCE
ORIGINAL FINAL POSITIVE ORIGINAL FINAL POSITIVE
BUDGET BUDGET ACTUAL (NEGATIVE) BUDGET BUDGET ACTUAL (NEGATIVE)
REVENUES
Taxes
Local Property Tax $ - $ - $ - $ - $ 38,000 $ 38,000 $ 28,772 $ ( 9,228)
Recordation Taxes - - - - - - - -
Hotel Taxes - - - - - - - -
State Shared Taxes - - - - - - - -
Licenses and Permits - - - - - - - -
Intergovernmental - - - - - - - -
Charges for Current Services 44,425 4 4,425 4 4,177 (248) - - - -
Fines and Forfeitures - - - - - - - -
Investment Income - - 4 17 417 - - - -
Donations - - - - - - - -
Miscellaneous - - - - - - - -
Total Revenues 44,425 4 4,425 4 4,594 169 38,000 38,000 28,772 ( 9,228)
EXPENDITURES
Current Operating Expenditures - - - - 38,000 45,305 45,304 1
Capital Outlay - - - - - - - -
Debt Service
Principal 44,425 4 4,425 44,425 - - - - -
Total Expenditures 44,425 4 4,425 4 4,425 - 38,000 45,305 45,304 1
Excess of Revenues Over (Under) Expenditures - - 1 69 169 - (7,305) ( 16,532) ( 9,227)
OTHER FINANCING SOURCES (USES)
Proceeds of Capital Asset Disposals - - - - - - - -
Transfers In - - - - - - - -
Transfers Out - - - - - - - -
Total Other Financing Sources (Uses) - - - - - - - -
Net Increase (Decrease) in Fund Balances $ - $ - 1 69 $ 169 $ - $ (7,305) ( 16,532) $ ( 9,227)
Fund Balances, July 1 1 8,286 282,583
Fund Balances, June 30 $ 1 8,455 $ 266,051
-132-

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, 2015
(CONTINUED)
CAPITAL PROJECTS - SCHOOL IMPACT FEES CAPITAL PROJECTS - FIRE COMPANY IMPACT FEES CAPITAL PROJECTS - PARKS & RECREATION IMPACT FEES
VARIANCE VARIANCE VARIANCE
ORIGINAL FINAL POSITIVE ORIGINAL FINAL POSITIVE ORIGINAL FINAL POSITIVE
BUDGET BUDGET ACTUAL (NEGATIVE) BUDGET BUDGET ACTUAL (NEGATIVE) BUDGET BUDGET ACTUAL (NEGATIVE)
$ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ -
- - - - - - - - - - - -
- - - - - - - - - - - -
- - - - - - - - - - - -
- - - - - - - - - - - -
- - - - - - - - - - - -
1,235,000 1,235,000 1,249,332 14,332 200,000 200,000 234,123 34,123 120,000 120,000 155,179 35,179
- - - - - - - - - - - -
- - 2,665 2,665 250 250 199 ( 51) 400 400 415 15
- - - - - - - - - - - -
- - - - - - - - - - - -
1,235,000 1,235,000 1,251,997 16,997 200,250 200,250 234,322 34,072 120,400 120,400 155,594 35,194
- - - - 200,250 383,711 383,711 - - - - -
- - - - - - - - - - - -
- - - - - - - - - - - -
- - - - 200,250 383,711 383,711 - - - - -
1,235,000 1,235,000 1,251,997 16,997 - ( 183,461) (149,389) 34,072 120,400 120,400 155,594 35,194
- - - - - - - - - - - -
- - - - - 67,489 67,488 ( 1) - - - -
(1,235,000) (1,235,000) (250,000) 985,000 - - - - (120,400) (120,400) - 120,400
(1,235,000) (1,235,000) (250,000) 985,000 - 67,489 67,488 ( 1) (120,400) (120,400) - 120,400
$ - $ - 1,001,997 $ 1,001,997 $ - $ ( 115,972) (81,901) $ 34,071 $ - $ - 155,594 $ 155,594
3,553,959 321,749 578,174
$ 4,555,956 $ 239,848 $ 733,768
-133-

-134-

CAPITAL PROJECTS FUNDS
Capital Projects Funds are 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.
We do not amend closed projects in the General Capital Projects Fund or Roads Capital Projects Fund. The
names of these projects begin with a CLS. Once the project is closed, it is considered null and void and
there is no remaining authority, and therefore we do not amend those after the fact.
Force in kind capital projects do not contain any budget authority. These projects are only intended as a
tracking tool. Most costs associated with force in kind projects are related to staff costs and the project is
attached to the employee’s normal activity, which contains the budget authority.
General Capital Projects – This fund accounts for capital project activities funded by all governmental
resources, except those reserved for use in the Roads Capital Projects Fund, noted below.
Roads Capital Projects - This fund accounts for capital project activities funded by governmental
resources specifically reserved for use in the Roads Capital Projects Fund. These resources consist of
State-Shared Highway User Tax, which is mandated for this use, plus federal, state, and local roads-related
grants and transfers, and also governmental resources.
-135-

QUEEN ANNE'S COUNTY MARYLAND
CAPITAL PROJECTS FUNDS
SCHEDULE OF APPROPRIATIONS AND EXPENDITURES
FOR THE YEAR ENDED JUNE 30, 2015
EXPENDITURES INCLUDED IN CAPITALIZED
TOTAL PRIOR CURRENT UNEXPENDED CONSTRUCTION CURRENT
PROJ # GENERAL CAPITAL PROJECTS: APPROPRIATION YEARS YEAR TOTAL APPROPRIATIONS IN PROGRESS YEAR
GENERAL GOVERNMENT
400003 County Facilities Program $ 1 ,725,446 $ 1 ,423,127 $ 2 77,308 $ 1,700,435 $ 25,011 $ - $ -
400007 GASB/Tax System Update 4 09,000 2 72,440 1 1,850 284,290 124,710 - -
400015 County Wide Mapping 1 ,060,000 8 54,444 6 4,833 919,277 140,723 - -
400027 Strategic Planning 6 01,602 386,834 - 386,834 214,768 - -
400031 Mgt Info Systems Network 1 ,577,375 1 ,011,382 2 57,610 1,268,992 308,383 - 91,738
400269 Tax Ditches - Beaverdam 1 24,500 8 3,496 3 3,466 116,962 7,538 - -
400271 Tax Ditches - Longmarsh 1 39,000 6 2,635 9 ,950 72,585 66,415 - -
400359 Public Drainage 9 25,000 4 77,804 6 2,689 540,493 384,507 - -
400443 Kennard Alumni Association 4 45,000 3 45,000 1 00,000 445,000 - - -
400457 GIS & Strategic Plan Land Use 1 65,000 2 2,661 5 3,168 75,829 89,171 - 18,500
400491 Emergency Generators 8 0,000 - - - 80,000 - -
400559 Courthouse Property 4 ,975,751 1 ,489,874 442,529 1,932,403 3,043,348 589,289 442,529
400615 Grasonville Community Center 5 6,000 5 0,000 5 ,600 55,600 400 - -
400647 Watershed Improvement Program 4 50,000 - - - 450,000 - -
400653 Coastal Community Initiative 7 0,705 6 4,498 - 64,498 6,207 - -
400675 IT Fiber Infrastructure 9 80,000 1 83,980 2 54,847 438,827 541,173 438,828 254,847
400691 PHA Debt Charge - 1 30,171 7 1,648 201,819 (201,819) - -
400713 Lighting Upgrade - Facilities 1 97,531 2 2,986 9 8,517 121,503 76,028 121,503 98,517
400715 Capital Equipment - General Services 1 92,469 8 5,922 1 04,351 190,273 2,196 - 99,714
400733 Circuit Court - Security Equipment 9 2,953 8 1,356 1 8,803 100,159 (7,206) - -
400747 Temperature Monitor Alert System 1 00,000 - 1 ,205 1,205 98,795 - -
400749 QACTV Equipment 9 6,700 - 1 0,564 10,564 86,136 - 7,644
400757 Community & Comprehensive Plan 5 0,000 - - - 50,000 - -
Total General Government 1 4,514,032 7 ,048,610 1 ,878,938 8,927,548 5,586,484 1,149,620 1,013,489
PUBLIC SAFETY
400217 Transfer to VFDs 2 ,459,800 1 ,829,677 374,522 2,204,199 255,601 - -
400281 Detention Center Furniture & Carpet 3 0,000 - 8 ,715 8,715 21,285 - -
400313 County Wide Mapping - 911 8 15,530 7 94,469 - 794,469 21,061 - -
400661 Fiber Optic - Detention Center 5 0,000 4 7,341 - 47,341 2,659 - -
400663 Sheriff Cars - Replacement 8 80,255 586,378 2 30,198 816,576 63,679 - 230,198
400667 CLS-EMS - Rt 8 Garage 6 8,845 6 8,683 - 68,683 162 - -
400669 EMS - Hardware Replacement 1 55,580 122,078 2 9,814 151,892 3,688 147,694 29,070
400671 EMS - Wireless Network 1 84,420 1 04,216 7 9,938 184,154 266 184,154 79,938
400673 DES - Radio System Upgrade 6 ,470,000 3 ,275,231 3 ,199,937 6,475,168 (5,168) 6,475,168 3,199,937
400683 EMS - Lifepak 12 Upgrade 9 6,788 1 5,061 2 8,698 43,759 53,029 - 28,698
400711 EMS - Replacement Vehicles 1 ,066,135 6 52,620 1 60,861 813,481 252,654 - 125,934
400717 EMS - North County Station 3 75,000 - - - 375,000 - -
400719 Detention Center - Transport Vehicles 8 2,000 3 0,148 2 7,374 57,522 24,478 - 25,262
400721 Animal Services Capital Equipment 7 5,000 4 2,596 2 0,468 63,064 11,936 - 20,468
400751 Sheriff - Records Management 3 4,000 - - - 34,000 - -
400753 EMS - Emergency Equipment 1 16,468 - 1 11,372 111,372 5,096 - 111,372
400755 Detention Center - Capital Equipment 1 20,000 - - - 120,000 - -
400789 VFD Communication Equipment 1 73,828 - 1 73,828 173,828 - - -
400819 Detention Center - Gpod Replacement 1 00,000 - - - 100,000 - -
Total Public Safety 1 3,353,649 7 ,568,498 4 ,445,725 12,014,223 1,339,426 6,807,016 3,850,877
CONTINUED
-136-

QUEEN ANNE'S COUNTY MARYLAND
CAPITAL PROJECTS FUNDS
SCHEDULE OF APPROPRIATIONS AND EXPENDITURES
FOR THE YEAR ENDED JUNE 30, 2015
(CONTINUED)
EXPENDITURES INCLUDED IN CAPITALIZED
TOTAL PRIOR CURRENT UNEXPENDED CONSTRUCTION CURRENT
PROJ # GENERAL CAPITAL PROJECTS: APPROPRIATION YEARS YEAR TOTAL APPROPRIATIONS IN PROGRESS YEAR
PARKS
400215 Preventive Park Maintenance $ 1 ,370,480 $ 917,846 $ 3 0,670 $ 948,516 $ 421,964 $ - $ -
400221 Parks Capital Equipment 5 90,479 433,868 1 44,085 577,953 12,526 - 123,245
400305 White Marsh Park 2 ,397,291 2 ,380,673 - 2,380,673 16,618 - -
400391 Cross County Connec Trail PS1 1 ,932,688 125,584 7 0,467 196,051 1,736,637 196,051 70,467
400393 Davidson Property Improvements 8 58,444 7 7,975 2 55 78,230 780,214 77,112 -
400513 Bay City/Matapeake Trail 3 0,000 - - - 30,000 - -
400519 Talisman/Kudner Improvements 6 ,855 - - - 6,855 - -
400657 BOE Tournament Field Maintenance 2 0,670 8 ,113 - 8,113 12,557 - -
400659 QAC Tournament Field Maintenance 4 2,158 7 95 - 795 41,363 - -
400703 Old Love Point Park 3 0,000 2 5,848 - 25,848 4,152 - -
400705 Conquest Greenhouse 2 6,885 1 5,547 6 ,025 21,572 5,313 - -
400723 Church Hill Park Irrigation 6 0,000 - 1 ,206 1,206 58,794 - -
400725 Rt 18 Ballfield Lighting 2 40,000 2 00,747 - 200,747 39,253 - -
400727 Golf Course Allocation 2 70,000 - - - 270,000 - -
400729 CEC Emergency Bulkhead 4 5,000 3 5,634 1 37 35,771 9,229 - -
400731 Coastal Bays Grant - Kennard 7 ,000 4 ,800 - 4,800 2,200 - -
400761 Rt 18 Equipment Shed 4 0,000 - - - 40,000 - -
400763 ADA Compliance 2 00,000 - - - 200,000 - -
400765 Christ Church - Stain Glass 6 5,000 - - - 65,000 - -
400767 Artificial Turf Fields - Study 3 0,000 - 2 4,314 24,314 5,686 - -
Total Parks 8 ,262,950 4 ,227,430 2 77,159 4,504,589 3,758,361 273,163 193,712
PUBLIC WORKS
400077 Wetlands Mitigation 2 16,560 1 61,078 4 ,222 165,300 51,260 - -
400091 DPW - Fee In Lieu 2 0,000 2 0,000 - 20,000 - - -
400235 Solid Waste Capital Equipment 9 26,001 4 74,177 2 84,003 758,180 167,821 - 284,003
400241 Cash Deposit Agreements 3 5,748 3 5,748 - 35,748 - - -
400501 DPW Yard MTBE Remediation 2 00,000 161,781 2 5,532 187,313 12,687 - -
400521 County Complex 8 ,284,120 1 ,812,924 2 ,035,201 3,848,125 4,435,995 2,234,051 2,035,201
400677 Transfer Station Improvements 1 50,000 1 6,128 1 23,564 139,692 10,308 139,692 123,564
400707 Rubble Surcharge 6 95,944 1 15,235 - 115,235 580,709 - -
Total Public Works 1 0,528,373 2 ,797,071 2 ,472,522 5,269,593 5,258,780 2,373,743 2,442,768
SOCIAL SERVICES
400679 Aging - Transportation Development Plan 1 00,000 - - - 100,000 - -
400699 Aging - Vehicle Replacement 2 5,176 - - - 25,176 - -
400743 Chesterwye Vehicle 5 5,728 - 5 5,728 55,728 - - -
400759 Capital Equipment - Aging 5 0,000 - 5 0,000 50,000 - - 50,000
Total Social Services 2 30,904 - 1 05,728 105,728 125,176 - 50,000
EDUCATION
700239 Cheapeake College - Health & Athletic Building 7 ,163,865 7 ,041,365 122,500 7,163,865 - - -
700251 Cheapeake College - Noncap Equipment 2 8,000 - 2 8,000 28,000 - - -
Subtotal Chesapeake College 7 ,191,865 7 ,041,365 150,500 7,191,865 - - -
Allocations to Component Unit - Board of Education
700195 Equipment & Vehicles 2 ,300,000 2 ,291,143 - 2,291,143 8,857 - -
700203 Textbooks 6 15,648 3 00,000 1 51,969 451,969 163,679 - -
700223 BOE Parking Lot Expansion 2 5,000 - 2 4,000 24,000 1,000 - -
700231 Stevensville Middle 1 5,195,068 2 ,716,786 9 ,855,578 12,572,364 2,622,704 - -
700235 CLS-BOE Security Upgrades 2 20,000 4 8,558 1 71,743 220,301 (301) - -
700237 CLS-Technology Upgrades 2 00,000 1 80,700 1 9,020 199,720 280 - -
700241 Relocatable Classrooms 1 02,000 - 8 1,152 81,152 20,848 - -
700243 Technology Plan 1 ,328,562 - 1 ,176,371 1,176,371 152,191 - -
700245 CLS-Centreville Middle Roof 9 09,512 - 9 09,511 909,511 1 - -
700247 CLS-Bus Cameras 1 21,500 - 121,500 121,500 - - -
700249 QACHS Sound System 6 1,000 - 2 ,500 2,500 58,500 - -
Subtotal Board of Education 2 1,078,290 5 ,537,187 12,513,344 18,050,531 3,027,759 - -
Total Education 2 8,270,155 12,578,552 12,663,844 25,242,396 3,027,759 - -
CONSERVATION
400293 4-H Park Improvements 8 17,555 721,647 4 4,333 765,980 51,575 - -
400631 CREP Easements 1 ,532,705 1 ,511,297 3 ,637 1,514,934 17,771 - -
400687 Ag Preservation - Milliken Farm 3 36,832 336,832 - 336,832 - - -
Total Conservation 2 ,687,092 2,569,776 4 7,970 2,617,746 69,346 - -
CONTINUED
-137-

QUEEN ANNE'S COUNTY MARYLAND
CAPITAL PROJECTS FUNDS
SCHEDULE OF APPROPRIATIONS AND EXPENDITURES
FOR THE YEAR ENDED JUNE 30, 2015
(CONTINUED)
EXPENDITURES INCLUDED IN CAPITALIZED
TOTAL PRIOR CURRENT UNEXPENDED CONSTRUCTION CURRENT
PROJ # GENERAL CAPITAL PROJECTS: APPROPRIATION YEARS YEAR TOTAL APPROPRIATIONS IN PROGRESS YEAR
ECONOMIC/COMMUNITY DEVELOPMENT
400583 Matapeake Business Park $ 1 ,640,000 $ 1,557,654 $ 5 8,555 $ 1,616,209 $ 23,791 $ - $ -
400709 Homeless Shelter Addition 7 57,284 9 5,571 3 ,407 98,978 658,306 - -
Total Economic/Community Development 2 ,397,284 1,653,225 6 1,962 1,715,187 682,097 - -
DEBT SERVICE
400739 2014 Bond Issuance 2 19 - 2 19 219 - - -
400773 2015 Bond Refunding and Issuance Costs 1 5,285,187 - 15,285,187 15,285,187 - - -
Total Debt Service 1 5,285,406 - 15,285,406 15,285,406 - - -
TRANSFERS TO OTHER FUNDS
400045 Land Preservation Transfers 4 05,000 4 05,000 - 405,000 - - -
400201 Land Sale Proceeds 9 05,345 8 75,000 - 875,000 30,345 - -
400207 Housing & Comm Svc Transfer - to Housing Services 5 50,000 4 50,000 - 450,000 100,000 - -
400217 Transfer to VFD's 1 62,410 1 62,410 - 162,410 - - -
400469 Sanitary District Transfer/Allocation 2 33,000 2 33,000 - 233,000 - - -
400613 2011 Bond Transfer 2 83,405 2 73,378 1 0,027 283,405 - - -
400695 Transfer to Economic Development 7 64,792 - 7 64,792 764,792 - - -
400739 2014 Bond Transfer 1 ,196,576 196,576 1 ,000,000 1,196,576 - - -
400741 Transfer to Enterprise Funds 1 ,260,000 3 01,612 7 2,330 373,942 886,058 - -
400769 Transfer to Roads Capital 1 80,000 - 1 80,000 180,000 - - -
Total Transfers 5 ,940,528 2 ,896,976 2 ,027,149 4,924,125 1,016,403 - -
Total General Capital Projects $ 1 01,470,373 $ 41,340,138 $ 39,266,403 $ 80,606,541 $ 20,863,832 $ 10,603,542 $ 7,550,846
PROJ # ROADS BOARD CAPITAL PROJECTS:
PUBLIC WORKS
820005 Asphalt Overlays - Upgrade $ 4 ,626,523 $ 2 ,016,652 $ 710,567 $ 2,727,219 $ 1,899,304 $ - $ -
820221 Taylor Mill Road Bridge 1 97,500 4 50 - 450 197,050 450 -
820295 Fogwell Road Improvements 5 3,215 - - - 53,215 - -
820297 Rt 18-552 Improvements 1 ,074,248 2 36,244 7 5,264 311,508 762,740 311,508 75,264
820303 Roads - Capital Equipment 1 ,995,000 7 82,070 1 ,087,975 1,870,045 124,955 - 1,083,050
Total Public Works - Roads 7 ,946,486 3 ,035,416 1 ,873,806 4,909,222 3,037,264 311,958 1,158,314
TRANSFERS TO OTHER FUNDS
820209 County Wide Mapping II 8 0,000 8 0,000 - 80,000 - - -
Total Transfers to Other Funds 8 0,000 8 0,000 - 80,000 - - -
Total Roads Board Capital Projects $ 8 ,026,486 $ 3 ,115,416 $ 1 ,873,806 $ 4,989,222 $ 3,037,264 $ 311,958 $ 1,158,314
Total General and Roads Capital Projects $ 1 09,496,859 $ 44,455,554 $ 41,140,209 $ 85,595,763 $ 23,901,096 $ 10,915,500 $ 8,709,160
Force in Kind Capital Projects reported in
non-capital projects Funds
400306 White March Park FIC $ 4 12,895 $ 412,895 $ - $ 412,895 $ - $ - $ -
400392 Cross County Conn II FIC 2 9,557 29,557 - 29,557 - 27,634 -
400394 Davidson Property FIC 4 3,809 43,809 - 43,809 - 43,470 -
400694 Coastsmart Initiative 1 6,813 16,813 - 16,813 - - -
400704 Old Love Point Park 3 ,091 3 ,091 - 3,091 - - -
400710 Homeless Shelter Addition 5 71 571 - 571 - - -
$ 5 06,736 $ 5 06,736 $ - $ 506,736 $ - $ 71,104 $ -
Total Construction in Progress and Capitalized Current Year $ 10,986,604 $ 8,709,160
-138-

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.
-139-

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.
-140-

QUEEN ANNE'S COUNTY, MARYLAND
COMBINING STATEMENT OF NET POSITION
NON-MAJOR ENTERPRISE FUNDS
JUNE 30, 2015
PUBLIC TOTAL
GOLF LANDINGS NON-MAJOR
ASSETS COURSE AND MARINAS ENTERPRISE
Current Assets
Equity in Pooled Cash $ - $ 807,020 $ 8 07,020
Accounts Receivable (Net) - 8 72 8 72
Due from Other Governments - 19,901 1 9,901
Bond Interest Reimbursement Receivable - Build America Bond - 3,221 3 ,221
Inventories 6,807 - 6 ,807
Total Current Assets 6,807 831,014 8 37,821
Capital Assets
Land, Improved and Unimproved 1,904,522 769,110 2 ,673,632
Buildings and Improvements to Buildings 313,443 - 3 13,443
Improvements Other Than Buildings 122,268 5,343,459 5 ,465,727
Automotive Equipment - 46,431 4 6,431
Equipment 368,222 56,814 4 25,036
Furniture and Fixtures - 4,979 4 ,979
Construction in Progress 5,540 - 5 ,540
Capital Assets before Depreciation 2,713,995 6,220,793 8 ,934,788
Less Accumulated Depreciation ( 560,936) ( 804,225) (1,365,161)
Total Capital Assets, Net of Accumulated
Depreciation 2,153,059 5,416,568 7 ,569,627
Total Noncurrent Assets 2,153,059 5,416,568 7 ,569,627
Total Assets 2,159,866 6,247,582 8 ,407,448
DEFERRED OUTFLOWS OF RESOURCES
Deferred Outflow for Pension contributions 6,785 13,562 2 0,347
Deferred Charge on Refunding 29,441 1,763 3 1,204
Total Deferred Outflows of Resources 36,226 15,325 5 1,551
LIABILITIES
Current Liabilities
Accounts Payable 13,332 26,582 3 9,914
Accrued Interest Payable 3,046 10,815 1 3,861
Due to Other Funds 396,254 - 3 96,254
Unearned Revenue 2,474 - 2 ,474
Current Portion of Compensated Absences 5,273 15,072 2 0,345
Current Portion of Bonds/Notes Payable 88,041 47,547 1 35,588
Total Current Liabilities 508,420 100,016 6 08,436
Noncurrent Liabilities
Compensated Absences 3,744 10,699 1 4,443
Other Post-Employment Benefit Obligation - 229,729 2 29,729
Net Pension Liability 42,262 84,475 1 26,737
Bonds/Notes Payable 368,239 887,008 1 ,255,247
Total Noncurrent Liabilities 414,245 1,211,911 1 ,626,156
Total Liabilities 922,665 1,311,927 2 ,234,592
DEFERRED INFLOWS OF RESOURCES
Deferred Inflow for Pension contributions 4,626 9,246 1 3,872
Total Deferred Inflows of Resources 4,626 9,246 1 3,872
NET POSITION
Net Investment in Capital Assets 1,726,220 4,483,776 6 ,209,996
Unrestricted Amounts ( 457,419) 457,958 5 39
Total Net Position $ 1,268,801 $ 4,941,734 $ 6 ,210,535
-141-

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, 2015
PUBLIC TOTAL
GOLF LANDINGS NON-MAJOR
COURSE AND MARINAS ENTERPRISE
OPERATING REVENUES
Charges for Services $ 295,955 $ 423,723 $ 7 19,678
Intergovernmental - 30,473 30,473
Bond Interest Reimbursement - Build America Bond - 12,831 12,831
Material Sales 42,090 - 42,090
Miscellaneous Revenues 3,044 23,865 26,909
Total Operating Revenues 3 41,089 490,892 8 31,981
OPERATING EXPENSES
Cost of Sales and Services
Recreation 4 37,842 355,485 793,327
Other Post-Employment Benefit Contributions - 22,902 22,902
Depreciation 3 1,803 115,766 147,569
Total Operating Expenses 4 69,645 494,153 963,798
Operating (Loss) (128,556) (3,261) (131,817)
NON-OPERATING (EXPENSES)
Interest Expense (26,420) (43,670) (70,090)
(Loss) Before Contributions and Transfers (154,976) (46,931) (201,907)
Transfers In 1 54,976 - 1 54,976
Change in Net Position - (46,931) (46,931)
Total Net Position - Beginning of Year, as Previously Reported 1,309,627 5,068,739 6 ,378,366
Adjustments to Restate Beginning Net Position (40,826) (80,074) (120,900)
Total Net Position - Beginning of Year, as Restated 1,268,801 4,988,665 6 ,257,466
Total Net Position - End of Year $ 1,268,801 $ 4,941,734 $ 6,210,535
-142-

QUEEN ANNE'S COUNTY, MARYLAND
COMBINING STATEMENT OF CASH FLOWS
NON-MAJOR ENTERPRISE FUNDS
FOR THE YEAR ENDED JUNE 30, 2015
PUBLIC TOTAL
GOLF LANDINGS NON-MAJOR
COURSE AND MARINAS ENTERPRISE
CASH FLOWS FROM OPERATING ACTIVITIES
Receipts from customers and users $ 296,843 $ 433,824 $ 730,667
Receipts from other operating revenues 45,134 56,119 101,253
Receipts from Build America Bond interest reimbursement - 12,935 12,935
Payments to suppliers (325,491) ( 126,320) (451,811)
Payments to employees and on behalf of employees (113,980) (218,832) (332,812)
Net Cash Provided (Used) by Operating Activities (97,494) 157,726 60,232
CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES
Transfers from other funds 154,976 - 154,976
Loan proceeds from interfund loans 396,254 - 396,254
Principal paid on interfund loans (339,036) - (339,036)
Net Cash Provided by Noncapital Financing Activities 212,194 - 212,194
CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES
Principal paid on capital debt (85,000) ( 69,992) (154,992)
Proceeds from the sale of bonds - 24,707 24,707
Premium on sale of bonds - 2,476 2,476
Deferred Refunding costs on sale of bonds - ( 1,763) (1,763)
Interest paid on capital debt (24,160) ( 45,347) (69,507)
Acquisition and Construction of Capital Assets (5,540) ( 5,550) (11,090)
Net Cash (Used) by Capital and Related Financing Activities (114,700) ( 95,469) (210,169)
CASH FLOWS FROM INVESTING ACTIVITIES
Investment income - - -
Net Cash Provided (Used) by Investing Activities - - -
Net increase in cash and cash equivalents - 62,257 62,257
Balances - Beginning of year - 744,763 744,763
Balances - End of year $ - $ 807,020 $ 807,020
Reconciliation of operating (loss) to net cash
provided (used) by operating activities
Operating (loss) $ (128,556) $ ( 3,261) $ (131,817)
Adjustments to reconcile operating (loss)
to net cash provided (used) by operating activities:
Depreciation 31,803 115,766 147,569
Changes in assets and liabilities:
Accounts receivable, net - 10,101 10,101
Operating grants receivable - 1,781 1,781
Build America Bonds Interest receivable - 104 104
Inventories and Prepaid Expenses (509) - (509)
Vendor accounts payable (960) 7,259 6,299
Compensated absences 563 2,989 3,552
Other Post-Employment Benefit Obligation - 22,902 22,902
Pension Obligation (723) 85 (638)
Deferred revenue collected in advance 888 - 888
Net Cash Provided (Used) by Operating Activities $ (97,494) $ 157,726 $ 60,232
Noncash investing, capital and financing activities:
Donation of capital assets (infrastructure) by developers $ - $ - $ -
-143-

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.
Agency 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 Agency Funds are
included in this section.
-144-

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
AGENCY FUNDS
Agency 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.
-145-

QUEEN ANNE'S COUNTY, MARYLAND
COMBINING STATEMENT OF FIDUCIARY NET POSITION
OTHER POST-EMPLOYMENT BENEFIT TRUST FUND
JUNE 30, 2015
QUEEN ANNE'S TOTAL
COUNTY QUEEN ANNE'S OPEB
QUEEN ANNE'S BOARD OF COUNTY KENT TRUST
COUNTY EDUCATION LIBRARY COUNTY FUND
ASSETS
Cash and Cash Equivalents $ 1,959,640 $ 5 05,788 $ 30,347 $ 1 56,794 $ 2,652,569
Total Assets 1,959,640 5 05,788 30,347 1 56,794 2,652,569
LIABILITIES
Due to Other Governments - - - 1 56,794 156,794
Total Liabilities - - - 1 56,794 156,794
NET POSITION HELD IN TRUST $ 1,959,640 $ 5 05,788 $ 30,347 $ - $ 2,495,775
-146-

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, 2015
QUEEN ANNE'S TOTAL
COUNTY QUEEN ANNE'S OPEB
QUEEN ANNE'S BOARD OF COUNTY TRUST
COUNTY EDUCATION LIBRARY FUND
ADDITIONS
Contributions
Employers $ 1,811,849 $ 1,600,921 $ 2 0,100 $ 3 ,432,870
Members 3 08,988 669,890 - 9 78,878
Total Contributions 2,120,837 2,270,811 2 0,100 4 ,411,748
Investment Income 2,174 752 4 5 2,971
Total Additions 2,123,011 2,271,563 2 0,145 4 ,414,719
DEDUCTIONS
Claims Paid 1,583,837 2,270,811 2 0,100 3 ,874,748
Change in Assets 5 39,174 752 4 5 5 39,971
NET POSITION HELD IN TRUST
Net Position - Beginning of Year 1,420,466 505,036 3 0,302 1,955,804
Net Position - End of Year $ 1,959,640 $ 505,788 $ 3 0,347 $ 2,495,775
-147-

Picturesque scenes are just off the beaten path throughout the County.

QUEEN ANNE'S COUNTY, MARYLAND
STATEMENT OF ASSETS AND LIABILITIES
AGENCY FUNDS
JUNE 30, 2015
STATE MOTOR
TAX & TOWN VEHICLE ESCHEAT - TOTAL
DITCH ZONING TAX ADMIN ABANDONED AGENCY
FUND DEPOSITS COLLECTIONS DEPOSITS PROPERTY FUNDS
ASSETS
Cash and Cash Equivalents $ 1 34,778 $ 253,820 $ 2 6,057 $ 1 0,837 $ 4,359 $ 429,851
Total Assets $ 1 34,778 $ 253,820 $ 2 6,057 $ 1 0,837 $ 4,359 $ 429,851
LIABILITIES
Accrued Liabilities $ - $ 1,440 $ - $ - $ - $ 1,440
Due to Other Governments - - 2 6,057 1 0,837 4,359 41,253
Deposits and Escrows 1 34,778 252,380 - - - 387,158
Total Liabilities $ 1 34,778 $ 253,820 $ 2 6,057 $ 1 0,837 $ 4,359 $ 429,851
-149-

QUEEN ANNE'S COUNTY, MARYLAND
STATEMENT OF CHANGES IN ASSETS AND LIABILITIES
AGENCY FUNDS
FOR THE YEAR ENDED JUNE 30, 2015
Cash and Miscellaneous Total
Cash Equivalents Receivables Assets
TAX DITCH FUND
Balance 7-1-14 $ 125,905 $ - $ 125,905
Additions 22,702 - 22,702
Deductions ( 13,829) - (13,829)
Balance 6-30-15 $ 134,778 $ - $ 134,778
ZONING DEPOSITS
Balance 7-1-14 $ 324,116 $ - $ 324,116
Additions 33,846 - 33,846
Deductions ( 104,142) - (104,142)
Balance 6-30-15 $ 253,820 $ - $ 253,820
STATE AND TOWN TAX COLLECTIONS
Balance 7-1-14 $ 172,642 $ - $ 172,642
Additions 12,226,902 - 12,226,902
Deductions (12,373,487) - ( 12,373,487)
Balance 6-30-15 $ 26,057 $ - $ 26,057
MOTOR VEHICLE ADMIN DEPOSITS
Balance 7-1-14 $ 3,728 $ - $ 3,728
Additions 342,455 - 342,455
Deductions ( 335,346) - (335,346)
Balance 6-30-15 $ 10,837 $ - $ 10,837
ESCHEAT - ABANDONED PROPERTY
Balance 7-1-14 $ 6,602 $ - $ 6,602
Additions 4,359 - 4,359
Deductions ( 6,602) - (6,602)
Balance 6-30-15 $ 4,359 $ - $ 4,359
TOTAL AGENCY FUNDS
Balance 7-1-14 $ 632,993 $ - $ 632,993
Additions 12,630,264 - 12,630,264
Deductions (12,833,406) - ( 12,833,406)
Balance 6-30-15 $ 429,851 $ - $ 429,851
-150-

QUEEN ANNE'S COUNTY, MARYLAND
STATEMENT OF CHANGES IN ASSETS AND LIABILITIES
AGENCY FUNDS
FOR THE YEAR ENDED JUNE 30, 2015
(CONTINUED)
Due to Accrued Liabilities
Other and Total
Governments Deposits and Escrows Liabilities
$ - $ 125,905 $ 125,905
- 22,702 22,702
- ( 13,829) (13,829)
$ - $ 134,778 $ 134,778
$ - $ 324,116 $ 324,116
- 33,846 33,846
- (104,142) (104,142)
$ - $ 253,820 $ 253,820
$ 1 72,642 $ - $ 172,642
1 2,226,902 - 12,226,902
(12,373,487) - ( 12,373,487)
$ 26,057 $ - $ 26,057
$ 3,728 $ - $ 3,728
341,861 - 341,861
(334,752) - (334,752)
$ 10,837 $ - $ 10,837
$ 6,602 $ - $ 6,602
4,359 - 4,359
(6,602) - (6,602)
$ 4,359 $ - $ 4,359
$ 1 82,972 $ 450,021 $ 632,993
1 2,573,122 56,548 12,629,670
(12,714,841) (117,971) ( 12,832,812)
$ 41,253 $ 388,598 $ 429,851
-151-

The Liberty Building in Centreville, the county seat since 1794, houses some of the
government operations.

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.
-153-

QUEEN ANNE'S COUNTY
COMMUNITY PARTNERSHIPS FOR CHILDREN SPECIAL REVENUE FUND
COMBINING BALANCE SHEETS
BY GRANTOR
JUNE 30, 2015 (with Summarized Totals as of June 30, 2014)
Fed/State Federal
GOCCP Family State
Admin GOC Support Ctr OTHER
ASSETS
Cash and cash equivalents $ 66,271 $ 416,075 $ 4,131 $ 33,908
Accounts receivable - 16,656 - -
Due from State governmental agencies 10,833 153,548 - -
Total Assets $ 77,104 $ 586,279 $ 4,131 $ 33,908
LIABILITIES AND FUND BALANCES
LIABILITIES
Accounts payable and accrued expenditures $ 7,370 $ 173,238 $ - $ -
Due to State governmental agencies 2,175 265,565 4 ,131 33,908
Unearned revenue - 145,656 - -
Total Liabilities 9,545 584,459 4 ,131 33,908
FUND BALANCES
Assigned 67,559 1,820 - -
Total Fund Balances 67,559 1,820 - -
Total Liabilities and Fund Balances $ 77,104 $ 586,279 $ 4,131 $ 33,908
-154-

QUEEN ANNE'S COUNTY
COMMUNITY PARTNERSHIPS FOR CHILDREN SPECIAL REVENUE FUND
COMBINING BALANCE SHEETS
BY GRANTOR
JUNE 30, 2015 (with Summarized Totals as of June 30, 2014)
(CONTINUED)
Total Returned 2014
Community Reinvestment 2015 Summarized
Partnerships Fund Total Total
$ 520,385 $ 30,474 $ 550,859 $ 723,603
1 6,656 - 16,656 2,438
1 64,381 - 164,381 130,240
$ 701,422 $ 30,474 $ 731,896 $ 856,281
$ 180,608 $ - $ 180,608 $ 273,536
3 05,779 - 305,779 311,155
1 45,656 - 145,656 145,656
6 32,043 - 632,043 730,347
6 9,379 30,474 99,853 125,934
6 9,379 30,474 99,853 125,934
$ 701,422 $ 30,474 $ 731,896 $ 856,281
-155-

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, 2015 (with Summarized Totals for the Year Ended June 30, 2014)
Healthy MD
CASA Resource Chesapeake Fam/Home Family After School
Administrative Start Promotion Helps Visiting Navigators Opportunity
REVENUES
CPA
Intergovernmental
GOC $ 65,000 $ 58,978 $ 9,167 $ 143,619 $ 57,616 $ 168,752 $ 52,244
Miscellaneous - - - - - - -
Subtotal CPA 65,000 58,978 9 ,167 143,619 57,616 168,752 52,244
Non-CPA
Intergovernmental
Federal GOCCP Youth Strategies - - - - - - -
GOC - non-CPA - - - - - - -
State GOCCP - non-CPA - - - - - - -
Other State Grant Funding - - - - 296,372 - -
Investment Income - - - - - - -
Miscellaneous 60 - - - - - -
Subtotal Non-CPA 60 - - - 296,372 - -
Total Revenues 65,060 58,978 9 ,167 143,619 353,988 168,752 52,244
EXPENDITURES
CPA
Program Contracted Services - - 9 ,167 143,619 - 168,752 52,244
Other Expenditures
Salaries 59,995 - - - - - -
Fringe Benefit Costs 5,005 - - - - - -
Other Charges - 58,978 - - 57,616 - -
Subtotal CPA Expenditures 65,000 58,978 9 ,167 143,619 57,616 168,752 52,244
Non-CPA
Program Contracted Services - - - - 296,372 - -
Other Expenditures
Salaries 82,717 - - - - - -
Fringe Benefit Costs 58,540 - - - - - -
Equipment Rental 3,338 - - - - - -
Postage 290 - - - - - -
Office Supplies 1,326 - - - - - -
Equipment Operation 65 - - - - - -
Business Travel 375 - - - - - -
Training - - - - - - -
Board's Expenditures 5,117 - - - - - -
Marketing/Promotions - - - - - - -
Communications 1,812 - - - - - -
Other Charges - - - - - - -
Subtotal Non-CPA Expenditures 153,580 - - - 296,372 - -
Total Expenditures 218,580 58,978 9 ,167 143,619 353,988 168,752 52,244
Excess of Revenues (Under) Expenditures (153,520) - - - - - -
OTHER FINANCING SOURCES
Proceeds on Sale of Capital Assets 817 - - - - - -
Transfers In for:
Program Contracted Services 152,703 - - - - - -
Other Financing Sources 153,520 - - - - - -
Net Increase in Fund Balances $ - $ - $ - $ - $ - $ - $ -
Fund Balances, July 1
Fund Balances, June 30
-156-

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, 2015 (with Summarized Totals for the Year Ended June 30, 2014)
(CONTINUED)
Federal/State GOCCP/GOC State Federal
School Climate GOCCP/GOC State GOC GOCCP GOCCP
Character Initiative - Operating Fund All Programs CPA Non-CPA Non-CPA Youth
Counts Bully Prevention Total Subtotal Subtotal Subtotal Subtotal Strategies
$ 2 8,360 $ - $ 5 18,736 $ 583,736 $ 583,736 $ - $ - $ -
- - - - - - - -
2 8,360 - 5 18,736 583,736 583,736 - - -
- - - - - - - -
- 10,000 10,000 10,000 - 1 0,000 - -
- - - - - - - -
- - 2 96,372 296,372 - - - -
- - - - - - - -
6,223 - 6,223 6,283 - - - -
6,223 10,000 3 12,595 312,655 - 1 0,000 - -
3 4,583 10,000 8 31,331 896,391 583,736 1 0,000 - -
- - 3 73,782 373,782 373,782 - - -
2 8,360 - 28,360 88,355 88,355 - - -
- - - 5,005 5,005 - - -
- - 1 16,594 116,594 116,594 - - -
2 8,360 - 5 18,736 583,736 583,736 - - -
- 10,000 3 06,372 306,372 - 1 0,000 8,315 -
1 4,799 - 14,799 97,516 - - - -
6,199 - 6,199 64,739 - - - -
- - - 3,338 - - - -
- - - 290 - - - -
- - - 1,326 - - - -
- - - 65 - - - -
- - - 375 - - - -
250 - 250 250 - - - -
- - - 5,117 - - - -
159 - 159 159 - - - -
- - - 1,812 - - - -
- - - - - - - -
2 1,407 10,000 3 27,779 481,359 - 1 0,000 8,315 -
4 9,767 10,000 8 46,515 1,065,095 583,736 1 0,000 8,315 -
(15,184) - (15,184) (168,704) - - (8,315) -
- - - 817 - 817 - -
1 4,399 - 14,399 167,102 - - - -
1 4,399 - 14,399 167,919 - 817 - -
$ (785) $ - $ (785) ( 785) - 817 (8,315) -
70,164 606,662 (6,429) 11,806 (25,479)
$ 69,379 $ 606,662 $ (5,612) $ 3,491 $ (25,479)
CONTINUED
-157-

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, 2015 (with Summarized Totals for the Year Ended June 30, 2014)
(CONTINUED)
Total
Other Community Returned 2014
Non-CPA Partnerships Reinvestment 2015 Summarized
State Grants Other Operating Funds Fund Total Total
REVENUES
CPA
Intergovernmental
GOC $ - $ - $ 583,736 $ - $ 583,736 $ 578,360
Miscellaneous - - - - - -
Subtotal CPA - - 583,736 - 583,736 5 78,360
Non-CPA
Intergovernmental
Federal GOCCP Youth Strategies - - - - - 3,765
GOC - non-CPA - - 10,000 - 10,000 -
State GOCCP - non-CPA - - - - - 8,315
Other State Grant Funding 296,372 - 296,372 - 296,372 2 96,178
Investment Income - - - 22 22 42
Miscellaneous - 6,283 6,283 - 6,283 2 0,079
Subtotal Non-CPA 296,372 6,283 312,655 22 312,677 3 28,379
Total Revenues 296,372 6,283 896,391 22 896,413 9 06,739
EXPENDITURES
CPA
Program Contracted Services - - 373,782 - 373,782 3 70,568
Other Expenditures
Salaries - - 88,355 - 88,355 8 8,355
Fringe Benefit Costs - - 5,005 - 5,005 5,005
Other Charges - - 116,594 - 116,594 1 14,432
Subtotal CPA Expenditures - - 583,736 - 583,736 5 78,360
Non-CPA
Program Contracted Services 296,372 (8,315) 306,372 18,788 325,160 3 25,423
Other Expenditures
Salaries - 97,516 97,516 - 97,516 8 0,448
Fringe Benefit Costs - 64,739 64,739 - 64,739 6 3,129
Equipment Rental - 3,338 3,338 - 3,338 4,400
Postage - 290 290 - 290 293
Office Supplies - 1,326 1,326 - 1,326 870
Equipment Operation - 65 65 - 65 406
Business Travel - 375 375 - 375 534
Training - 250 250 - 250 -
Board's Expenditures - 5,117 5,117 - 5,117 3,793
Marketing/Promotions - 159 159 - 159 624
Communications - 1,812 1,812 - 1,812 1,451
Other Charges - - - 6,530 6,530 2 6,869
Subtotal Non-CPA Expenditures 296,372 166,672 481,359 25,318 506,677 5 08,240
Total Expenditures 296,372 166,672 1,065,095 25,318 1,090,413 1,086,600
Excess of Revenues (Under) Expenditures - ( 160,389) ( 168,704) ( 25,296) ( 194,000) (179,861)
OTHER FINANCING SOURCES
Proceeds on Sale of Capital Assets - - 817 - 817 -
Transfers In for:
Program Contracted Services - 167,102 167,102 - 167,102 1 53,034
Other Financing Sources - 167,102 167,919 - 167,919 1 53,034
Net Increase in Fund Balances - 6,713 (785) ( 25,296) ( 26,081) (26,827)
Fund Balances, July 1 - ( 516,396) 70,164 55,770 125,934 1 52,761
Fund Balances, June 30 $ - $ (509,683) $ 69,379 $ 30,474 $ 99,853 $ 125,934
-158-

Agriculture in Queen Anne’s County takes many forms, growing crops,
animal husbandry, hunting and vineyards.

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, 2015
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 $ 5 86,886 $ 596,886 $ 593,736 $ (3,150) $ - $ - $ - $ -
State GOCCP Non-CPA - - - - - - - -
Federal GOCCP Youth Strategies - - - - - - - -
Other 296,372 296,372 296,372 - - 25,318 - (25,318)
Investment Income - - - - - - 22 22
Miscellaneous - - 6,283 6,283 - - - -
Total Revenues 883,258 893,258 896,391 3,133 - 25,318 22 (25,296)
EXPENDITURES
Program Contracted Services 732,282 732,283 680,154 5 2,129 - 25,318 18,788 6,530
Other Expenditures
Salaries 165,269 170,002 185,871 (15,869) - - - -
Fringe Benefit Costs 73,043 73,043 69,744 3,299 - - - -
Auditing 2,988 2,988 - 2,988 - - - -
Equipment Rental 5,920 5,920 3,338 2,582 - - - -
Postage 3,614 3,614 290 3,324 - - - -
Office Supplies 2,046 2,046 1,326 720 - - - -
Equipment Operation 500 500 65 435 - - - -
Business Travel 500 500 375 125 - - - -
Training - - 250 (250) - - - -
Board's Expenditures 5,060 5,060 5,117 ( 57) - - - -
Marketing/Promotions - - 159 (159) - - - -
Communications 1,523 1,523 1,812 (289) - - - -
Other Charges 57,616 67,616 116,594 (48,978) - - 6,530 (6,530)
Total Expenditures 1,050,361 1,065,095 1,065,095 - - 25,318 25,318 -
Excess of Revenues Over (Under)
Expenditures (167,103) (171,837) (168,704) 3,133 - - (25,296) (25,296)
OTHER FINANCING SOURCES
Proceeds on Sale of Capital Assets - - 817 817 - - - -
Transfers In for:
Program Contracted Services 167,103 171,837 167,102 (4,735) - - - -
Program Contracted Services - Out - (4,734) - 4,734 - - - -
Net Decrease in Fund Balances $ - $ (4,734) (785) $ 3 ,949 $ - $ - (25,296) $ (25,296)
Fund Balances, July 1 70,164 55,770
Fund Balances, June 30 $ 69,379 $ 30,474
-
-160-

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, 2015
(CONTINUED)
TOTAL
Variance with
Final Budget
Original Final Positive
Budget Budget Actual (Negative)
$ 586,886 $ 596,886 $ 593,736 $ (3,150)
- - - -
- - - -
2 96,372 321,690 296,372 (25,318)
- - 22 22
- - 6,283 6,283
8 83,258 918,576 896,413 (22,163)
7 32,282 757,601 698,942 58,659
1 65,269 170,002 185,871 (15,869)
7 3,043 73,043 69,744 3,299
2,988 2 ,988 - 2,988
5,920 5 ,920 3,338 2,582
3,614 3 ,614 290 3,324
2,046 2 ,046 1,326 720
500 5 00 65 435
500 5 00 375 125
- - 250 (250)
5,060 5 ,060 5,117 ( 57)
- - 159 (159)
1,523 1 ,523 1,812 (289)
5 7,616 67,616 123,124 (55,508)
1,050,361 1,090,413 1,090,413 -
(167,103) (171,837) (194,000) (22,163)
- - 817 817
1 67,103 171,837 167,102 (4,735)
- (4,734) - 4,734
$ - $ (4,734) (26,081) $ (21,347)
125,934
$ 99,853
-161-

Queen Anne’s County is a boater’s paradise.

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.
-163-

QUEEN ANNE'S COUNTY, MARYLAND
FINANCIAL TRENDS
NET POSITION BY COMPONENT - GOVERNMENT-WIDE
(GOVERNMENTAL AND BUSINESS-TYPE ACTIVITIES)
LAST TEN FISCAL YEARS
Table 1
2006 2007 2008 2009 2010
Governmental Activities:
Net Investment in Capital Assets $ 95,644,000 $ 103,657,227 $ 117,831,360 $ 123,217,989 $ 121,702,025
Restricted 9,842,795 18,012,695 15,376,330 16,582,660 22,290,307
Unrestricted (deficit) (1) 7,339,567 (3,740,905) ( 15,075,202) ( 26,672,299) ( 45,795,597)
Total Governmental Activities Net Position 112,826,362 117,929,017 118,132,488 113,128,350 98,196,735
Business-type Activities:
Net Investment in Capital Assets 69,672,273 74,463,912 77,237,512 77,146,688 79,032,373
Restricted 11,733,254 19,133,485 18,276,271 19,886,675 18,180,809
Unrestricted - - - - -
Total Business-type Activities Net Position 81,405,527 93,597,397 95,513,783 97,033,363 97,213,182
Primary Government:
Net Investment in Capital Assets 165,316,273 178,121,139 195,068,872 200,364,677 200,734,398
Restricted 21,576,049 37,146,180 33,652,601 36,469,335 40,471,116
Unrestricted (deficit) (1) 7,339,567 (3,740,905) ( 15,075,202) ( 26,672,299) ( 45,795,597)
Total Primary Government Net Position $ 194,231,889 $ 211,526,414 $ 213,646,271 $ 210,161,713 $ 195,409,917
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 positive net position for its governmental activities and for government-wide purposes. Government-
wide unrestricted net position would have been:
Unrestricted (deficit) net position reported above $ 7,339,567 $ ( 3,740,905) $ ( 15,075,202) $ ( 26,672,299) $ ( 45,795,597)
Debt issued for capital on behalf of others 44,460,306 57,496,385 53,758,049 50,291,243 57,677,186
County net position absent the effect of this relationship $ 51,799,873 $ 53,755,480 $ 38,682,847 $ 23,618,944 $ 11,881,589
(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.
-164-

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)
2011 2012 2013 2014 2015
$ 118,274,533 $ 118,564,684 $ 121,246,426 $ 127,369,959 $ 125,434,538
22,399,514 5,982,041 15,691,080 17,616,132 20,464,486
( 61,193,944) ( 44,686,543) ( 66,089,615) ( 71,169,310) ( 73,475,567)
79,480,103 79,860,182 ( 2) 70,847,891 (3) 73,816,781 (4) 72,423,457
78,069,061 76,763,695 78,693,078 79,783,160 80,787,152
16,821,905 3,513,948 3,176,328 3,110,033 3,061,534
- 12,591,302 11,031,281 8,721,212 8,486,063
94,890,966 92,868,945 ( 2) 92,900,687 91,614,405 (4) 92,334,749
196,343,594 195,328,379 199,939,504 207,153,119 206,221,690
39,221,419 9,495,989 18,867,408 20,726,165 23,526,020
( 61,193,944) ( 32,095,241) ( 55,058,334) ( 62,448,098) ( 64,989,504)
$ 174,371,069 $ 172,729,127 ( 2) $ 163,748,578 (3) $ 165,431,186 (4) $ 164,758,206
$ ( 61,193,944) $ ( 32,095,241) $ ( 55,058,334) $ ( 62,448,098) $ ( 64,989,504)
72,437,047 68,278,842 63,283,726 67,651,486 66,219,608
$ 11,243,103 $ 36,183,601 $ 8,225,392 $ 5,203,388 $ 1,230,104
-165-

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
2006 2007 2008 2009 2010
Expenses
Governmental Activities:
General Government $ 9,071,760 $ 9,854,468 $ 11,167,743 $ 13,317,683 $ 14,089,387
Public Safety 17,534,652 19,149,388 20,721,185 23,570,049 25,361,341
Public Works 8,898,010 9 ,913,917 10,420,547 10,237,718 9 ,432,489
Health 1 ,377,717 1 ,450,866 1 ,441,143 1 ,590,004 1 ,663,321
Social Services 4,420,205 4 ,474,784 4 ,978,883 5 ,617,621 5 ,554,667
Education 42,303,087 56,118,585 58,034,317 53,296,238 53,491,659
Parks & Recreation (3) 2,562,890 3 ,158,455 3 ,330,087 5 ,060,018 3 ,618,427
Library 1 ,168,232 1 ,266,183 1 ,270,718 1 ,414,008 1 ,473,689
Conservation of Natural Resources 4 78,426 4 97,926 2 ,172,443 2 ,473,308 5 ,281,372
Economic/Community Development 1,575,099 3 ,258,876 3 ,527,908 2 ,197,116 2 ,001,306
Interest and Fiscal Charges 2,508,070 2 ,864,493 3 ,033,416 2 ,831,002 3 ,510,678
Total Governmental Activities Expenses 91,898,148 112,007,941 120,098,390 121,604,765 125,478,336
Business-type Activities:
Water and Sewer 7,127,140 7 ,802,798 9 ,621,784 10,689,782 10,610,705
Golf Course (4) 2 ,509,783 3 ,273,986 2 ,179,157 2 ,178,163 2 ,789,901
Public Landings and Marinas (5) - 5 7,372 2 7,344 3 8,050 9 6,739
Airport 7 13,896 6 74,337 8 12,067 8 79,906 1 ,017,780
Total Business-type Activities Expenses 10,350,819 11,808,493 12,640,352 13,785,901 14,515,125
Total Primary Government Expenses 102,248,967 123,816,434 132,738,742 135,390,666 139,993,461
Program Revenues
Governmental Activities:
General Government
Charges for Services 1 ,139,531 1 ,127,737 1 ,047,371 1 ,055,945 1 ,261,230
Operating Grants and Contributions 4 54,948 3 77,412 2 95,898 4 03,018 5 46,176
Capital Grants and Contributions 6 0,000 5,000 7 57,975 5,567 4 4,743
Total Revenue 1,654,479 1 ,510,149 2 ,101,244 1 ,464,530 1 ,852,149
Public Safety
Charges for Services 1 ,595,738 1 ,642,258 3 ,167,090 1 ,394,463 1 ,263,212
Operating Grants and Contributions 1,743,073 1 ,255,307 1 ,254,611 1 ,266,869 1 ,891,120
Capital Grants and Contributions 4 56,993 2 72,497 1,171 2 73,176 3 03,566
Total Revenue 3,795,804 3 ,170,062 4 ,422,872 2 ,934,508 3 ,457,898
Public Works
Charges for Services 1 ,189,117 8 71,962 1 ,014,600 7 14,765 7 91,796
Operating Grants and Contributions 3,710,398 5 ,572,760 6 ,304,965 7 ,566,648 6 32,923
Capital Grants and Contributions 5 7,000 1 ,838,101 5 44,610 2 98,500 2 64,078
Total Revenue 4,956,515 8 ,282,823 7 ,864,175 8 ,579,913 1 ,688,797
Health
Operating Grants and Contributions 1 50,966 - - - -
Social Services
Charges for Services 5 8,467 7 3,497 6 4,041 6 8,386 6 7,423
Operating Grants and Contributions 2,550,840 2 ,589,967 2 ,911,796 2 ,928,291 2 ,666,917
Capital Grants and Contributions - 1 72,732 6 13,804 3 48,124 2 ,688,245
Total Revenue 2,609,307 2 ,836,196 3 ,589,641 3 ,344,801 5 ,422,585
Education
Charges for Services 1 ,696,657 9 63,216 1 ,011,013 7 40,213 8 52,201
Operating Grants and Contributions 1 8,000 - - 8,050 4 33,000
Capital Grants and Contributions - - - 1 61,673 -
Total Revenue 1,714,657 9 63,216 1 ,011,013 9 09,936 1 ,285,201
Parks & Recreation
Charges for Services 6 8,051 1 58,447 3 02,195 2 40,954 1 77,568
Operating Grants and Contributions 4 2,690 5 8,485 7 2,659 509 1 23,336
Capital Grants and Contributions 5,998,982 4 ,363,393 5 ,666,226 1 ,087,329 6 31,504
Total Revenue 6,109,723 4 ,580,325 6 ,041,080 1 ,328,792 9 32,408
Conservation of Natural Resources
Charges for Services 1 19,580 1 00,488 8 8,534 9 7,481 1 01,019
Operating Grants and Contributions 6 80,396 5 97,613 3 22,718 5 5,847 9 3,002
Capital Grants and Contributions - - - 6 91,085 4 ,191,024
Total Revenue 7 99,976 6 98,101 4 11,252 8 44,413 4 ,385,045
Economic/Community Development
Charges for Services 1 1,086 4,083 5,249 4,786 -
Operating Grants and Contributions 1 21,497 1 20,254 1 63,245 6 41,305 -
Capital Grants and Contributions - - - - -
Total Revenue 1 32,583 1 24,337 1 68,494 6 46,091 -
Total Governmental Activities Program Revenues 21,924,010 22,165,209 25,609,771 20,052,984 19,024,083
-166-

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)
2011 2012 2013 2014 2015
$ 15,968,633 $ 13,421,531 $ 13,639,728 $ 14,133,149 $ 10,849,277
25,413,678 25,469,721 26,174,144 26,666,211 25,297,450
9 ,098,949 10,373,286 11,891,013 12,365,647 14,363,603
1 ,701,677 1 ,642,723 1 ,812,920 2 ,083,201 1 ,856,158
5 ,001,240 4 ,526,166 5 ,560,196 5 ,040,139 4 ,775,440
57,506,341 53,693,309 49,459,783 54,882,430 65,633,331
3 ,090,228 - - - -
1 ,457,336 1 ,302,163 1 ,304,076 1 ,336,098 1 ,458,348
3 ,811,748 2 ,802,337 8 38,775 2 ,395,762 5 87,147
1 ,893,570 8 87,837 1 ,108,912 1 ,528,035 1 ,763,024
4 ,078,105 4 ,196,072 4 ,042,236 3 ,987,943 4 ,039,622
129,021,505 118,315,145 115,831,783 124,418,615 130,623,400
10,905,989 10,711,211 11,783,515 11,059,306 10,412,432
4 ,099,507 2 ,269,933 5 38,420 5 15,325 4 96,065
6 7,395 1 10,884 5 35,837 5 44,945 5 37,823
1 ,167,655 1 ,457,087 9 13,845 8 07,226 1 ,014,491
16,240,546 1 4,549,115 13,771,617 12,926,802 12,460,811
145,262,051 132,864,260 129,603,400 137,345,417 143,084,211
1 ,086,641 1 ,081,808 1 ,272,807 1 ,500,273 1 ,505,857
6 94,347 7 42,205 6 97,712 6 06,649 6 44,297
1 18,100 1 16,710 1 35,032 5 89,988 9 6,684
1 ,899,088 1 ,940,723 2 ,105,551 2 ,696,910 2 ,246,838
1 ,090,545 1 ,320,647 1 ,387,591 1 ,286,945 1 ,244,752
1 ,461,080 1 ,113,018 1 ,328,493 1 ,081,577 1 ,052,666
8 2,885 1 91,223 2 49,594 2 82,139 1 19,118
2 ,634,510 2 ,624,888 2 ,965,678 2 ,650,661 2 ,416,536
8 72,352 1 ,107,426 1 ,636,604 1 ,425,012 1 ,275,538
5 46,719 4 88,027 6 24,653 7 12,550 5 27,538
9 01,289 5 41,887 1 ,687,783 2 ,221,299 8 0,000
2 ,320,360 2 ,137,340 3 ,949,040 4 ,358,861 1 ,883,076
- - - - -
6 9,382 7 1,655 7 1,973 6 5,537 6 8,187
2 ,050,062 2 ,076,096 2 ,613,905 2 ,026,675 2 ,056,111
2 15,748 1 8,691 5 1,023 6 7,392 4 0,527
2 ,335,192 2 ,166,442 2 ,736,901 2 ,159,604 2 ,164,825
7 55,443 1 ,169,425 1 ,052,691 1 ,721,379 1 ,249,332
- - - - -
- - - - -
7 55,443 1 ,169,425 1 ,052,691 1 ,721,379 1 ,249,332
1 87,901 - - - -
1,868 - - - -
1 99,698 - - - -
3 89,467 - - - -
7 5,354 9 8,593 6 3,105 7 3,279 7 2,688
1 ,006,138 3 6,872 4 00,193 1 03,892 9 6,195
1 ,923,471 9 98,757 - 7 5,820 3,637
3 ,004,963 1 ,134,222 4 63,298 2 52,991 1 72,520
4,236 1 59,492 2 34,100 5 08,000 8 0,558
2 39,893 2 45,143 1 76,216 2 55,100 2 85,344
1 10,561 8 1,867 5 75,440 (69,569) -
3 54,690 4 86,502 9 85,756 6 93,531 3 65,902
13,693,713 11,659,542 14,258,915 14,533,937 10,499,029
CONTINUED
-167-

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)
2006 2007 2008 2009 2010
Business-type Activities:
Water and Sewer
Charges for Services $ 8,057,402 $ 12,169,440 $ 8,014,366 $ 7,695,100 $ 8,224,428
Operating Grants and Contributions - - - - 9 8,492
Capital Grants and Contributions 12,576,490 5 ,015,603 2 ,584,371 6 82,935 2 08,115
Total Revenue 20,633,892 17,185,043 10,598,737 8 ,378,035 8 ,531,035
Golf Course (4)
Charges for Services 1,576,001 1 ,581,030 1 ,459,725 1 ,526,244 1 ,633,203
Operating Grants and Contributions 3 87,270 1 ,279,648 5 5,953 4 5,824 4 1,838
Capital Grants and Contributions 4 69,624 1 44,844 9 5,890 6 9,068 2 89,895
Total Revenue 2,432,895 3 ,005,522 1 ,611,568 1 ,641,136 1 ,964,936
Public Landings and Marinas (5)
Charges for Services - 1 08,100 1 05,900 1 00,250 6 2,600
Operating Grants and Contributions - 9 2,348 3,710 - 2 9,017
Capital Grants and Contributions - - - - 5 45,123
Total Revenue - 2 00,448 1 09,610 1 00,250 6 36,740
Airport
Charges for Services 2 3,661 3 2,683 4 6,960 3 4,907 5 0,585
Operating Grants and Contributions 4,448 1,112 - - 3 3,922
Capital Grants and Contributions 6,368,327 6 67,166 3 82,945 2 89,112 1 ,519,810
Total Revenue 6,396,436 7 00,961 4 29,905 3 24,019 1,604,317
Total Business-type Activities Program Revenues 29,463,223 21,091,974 12,749,820 10,443,440 12,737,028
Total Primary Government Program Revenues 51,387,233 43,257,183 38,359,591 30,496,424 31,761,111
Net (Expense) Revenue (1)
Governmental activities (69,974,138) (89,842,732) (94,488,619) (101,551,781) (106,454,253)
Business-type activities 19,112,404 9 ,283,481 1 09,468 (3,342,461) (1,778,097)
Total Primary Government Net Expense $ (50,861,734) $ (80,559,251) $ (94,379,151) $ (104,894,242) $ (108,232,350)
General Revenues and Other Changes in Net Position
Governmental Activities:
Taxes (2) $ 87,157,631 $ 90,910,849 $ 91,853,216 $ 95,530,316 $ 90,469,883
Investment income 1,738,114 3 ,162,830 2 ,128,509 6 42,472 1 44,553
Gain on Sale of Capital Assets 2,983,087 1 3,605 - 1 ,540,404 2 6,731
Miscellaneous 9 97,032 1 ,928,398 7 21,946 2 ,182,525 7 86,719
Transfers In (Out) 2 ,396,851 (1,070,297) (11,581) (3,348,074) (559,331)
Extraordinary Loss (477,707) - - - -
Total Governmental Activities 94,795,008 94,945,385 94,692,090 96,547,643 90,868,555
Business-type Activities:
Investment income 7 71,883 9 56,687 8 75,509 5 95,279 4 36,045
Gain on Sale of Capital Assets - 4,691 - - -
Miscellaneous 5 62,482 8 76,714 9 19,828 9 18,688 9 62,540
Transfers In (Out) (2,396,851) 1 ,070,297 1 1,581 3 ,348,074 5 59,331
Total Business-type Activities (1,062,486) 2 ,908,389 1 ,806,918 4 ,862,041 1 ,957,916
Total Primary Government 93,732,522 97,853,774 96,499,008 101,409,684 92,826,471
Change in Net Position
Governmental activities 24,820,870 5 ,102,653 2 03,471 (5,004,138) (15,585,698)
Business-type activities 18,049,918 12,191,870 1 ,916,386 1 ,519,580 1 79,819
Total Primary Government $ 42,870,788 $ 17,294,523 $ 2,119,857 $ (3,484,558) $ (15,405,879)
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) Beginning in FY12, Parks & Recreation governmental activities are included in public works.
(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.
-168-

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)
2011 2012 2013 2014 2015
$ 8,192,471 $ 7,977,667 $ 8,181,434 $ 8,341,848 $ 8,840,213
- 5 5,728 1 61,600 9 0,000 9 0,000
8 37,426 3 47,573 2 ,048,768 6 65,268 1 ,862,257
9 ,029,897 8 ,380,968 10,391,802 9 ,097,116 10,792,470
1 ,568,227 1 ,501,550 3 13,364 2 97,293 2 95,955
3 9,572 5 2,915 - - -
1 96,487 2 8,680 - - -
1 ,804,286 1 ,583,145 3 13,364 2 97,293 2 95,955
8 4,987 1 02,290 4 40,270 4 23,478 4 23,723
1 6,241 1 4,183 4 2,914 3 6,439 4 3,304
5 88,326 7 8,314 1 8,692 - -
6 89,554 1 94,787 5 01,876 4 59,917 4 67,027
3 7,955 5 8,589 4 8,072 4 9,061 5 3,200
3,715 4 7,412 2,621 2,420 7 3,311
4 48,600 6 93,162 2 ,472,782 7,457 -
4 90,270 7 99,163 2 ,523,475 5 8,938 1 26,511
12,014,007 10,958,063 13,730,517 9 ,913,264 11,681,963
25,707,720 22,617,605 27,989,432 24,447,201 22,180,992
(115,327,792) (106,655,603) (101,572,868) (109,884,678) (120,124,371)
(4,226,539) (3,591,052) (41,100) (3,013,538) (778,848)
$ (119,554,331) $ (110,246,655) $ (101,613,968) $ (112,898,216) $ (120,903,219)
$ 96,093,533 $ 105,693,926 $ 107,978,036 $ 112,123,625 $ 116,821,607
1 36,523 1 26,650 1 07,095 9 5,286 9 4,092
2 81,158 2 7,627 1 63,426 3 46,765 1 ,098,632
7 11,868 1 ,254,255 1 ,051,760 8 77,629 1 ,076,893
(611,922) (605,996) (337,843) (589,737) (360,177)
- - - - -
96,611,160 106,496,462 108,962,474 112,853,568 118,731,047
4 07,629 3 74,665 3 56,374 3 43,568 3 23,585
- - - - -
8 84,772 1 ,127,590 8 55,504 7 93,951 8 15,430
6 11,922 6 05,996 3 59,277 5 89,737 3 60,177
1 ,904,323 2 ,108,251 1 ,571,155 1 ,727,256 1 ,499,192
98,515,483 108,604,713 110,533,629 114,580,824 120,230,239
(18,716,632) (159,141) 7 ,389,606 2 ,968,890 (1,393,324)
(2,322,216) (1,482,801) 1 ,530,055 (1,286,282) 7 20,344
$ (21,038,848) $ (1,641,942) $ 8,919,661 $ 1,682,608 $ (672,980)
-169-

QUEEN ANNE'S COUNTY, MARYLAND
FINANCIAL TRENDS
GENERAL TAX REVENUES - GOVERNMENTAL ACTIVITIES
LAST TEN FISCAL YEARS
Table 2-b
2006 2007 2008 2009 2010
Local Property Taxes $ 44,688,709 $ 46,185,050 $ 50,021,587 $ 55,362,114 $ 59,267,240
Local Income Tax 3 1,959,096 35,346,494 35,700,111 3 4,834,937 25,715,247
Other Local Taxes 1 0,509,826 9 ,379,305 6 ,131,518 5 ,333,265 5 ,487,396
Total Taxes - Governmental Activities $ 87,157,631 $ 90,910,849 $ 91,853,216 $ 95,530,316 $ 90,469,883
2011 2012 2013 2014 2015
Local Property Taxes $ 60,070,368 $ 65,937,415 $ 65,591,225 $ 64,712,683 $ 64,672,721
Local Income Tax 3 0,624,679 34,028,234 35,769,303 4 0,899,804 44,643,870
Other Local Taxes 5 ,398,486 5 ,728,277 6 ,617,508 6 ,511,138 7 ,505,016
Total Taxes - Governmental Activities $ 96,093,533 $ 105,693,926 $ 107,978,036 $ 112,123,625 $ 116,821,607
NOTES:
* Government-wide general tax revenue information is reported on the accrual basis of accounting.
* Source: Statement of Activities.
-170-

QUEEN ANNE'S COUNTY, MARYLAND
FINANCIAL TRENDS
FUND BALANCES - GOVERNMENTAL FUNDS
LAST TEN FISCAL YEARS
Table 3
2006 2007 2008 2009 2010
General Fund:
Reserved $ 6,169,255 $ 7,140,303 $ 8 ,948,231 $ 8,643,600 $ 7,734,692
Unreserved 14,944,399 15,302,827 3,972,847 6,381,843 6,296,418
Total General Fund 21,113,654 22,443,130 12,921,078 15,025,443 $ 14,031,110
All Other Governmental Funds:
Reserved 13,751,478 20,060,988 16,706,954 17,007,368 15,153,381
Unreserved, reported in:
Capital Projects Fund 13,579,649 17,618,012 14,409,216 1,723,066 12,538,916
Special Revenue Funds 2,810,027 3,019,522 2,185,304 2,751,120 7,842,939
Total All Other Governmental Funds 30,141,154 40,698,522 33,301,474 21,481,554 35,535,236
Total All Governmental Funds $ 51,254,808 $ 63,141,652 $ 46,222,552 $ 36,506,997 $ 49,566,346
2011 2012 2013 2014 2015
General Fund:
Nonspendable $ 4,000 $ 555,215 $ 626,122 $ 480,385 $ 687,777
Restricted 333,798 340,670 8,111,614 8,375,368 8,681,112
Committed 657,068 695,944 - 1,157,360 2,000,000
Assigned 70,000 - 1,284,657 1,284,875 2,034,875
Unassigned 4,753,656 11,207,265 5,965,003 7,123,519 7,793,085
Total General Fund (1) 5,818,522 12,799,094 15,987,396 18,421,507 21,196,849
All Other Governmental Funds:
Nonspendable 4,401,483 5,136,024 5,406,512 5,470,608 5,919,048
Restricted 22,065,716 12,255,292 12,724,859 21,824,970 17,794,372
Committed 1,820,818 2,054,749 3,480,382 4,097,033 4,209,177
Assigned 14,745,215 18,654,017 24,665,235 25,939,319 23,093,224
Unassigned ( 172,381) ( 157,828) (135,515) (115,800) (108,185)
Total All Other Governmental Funds (1) 42,860,851 37,942,254 46,141,473 57,216,130 50,907,636
Total All Governmental Funds $ 48,679,373 $ 50,741,348 $ 62,128,869 $ 75,637,637 $ 72,104,485
NOTES:
* Fund balance information for governmental funds is reported on the modified accrual basis of accounting.
* Source: Balance Sheet, Governmental Funds.
(1) As of June 30, 2011, fund balance classifications changed due to the implementation of GASB 54.
-171-

QUEEN ANNE'S COUNTY, MARYLAND
FINANCIAL TRENDS
CHANGES IN FUND BALANCES - GOVERNMENTAL FUNDS
LAST TEN FISCAL YEARS
Table 4
2006 2007 2008 2009 2010
Revenues
Taxes
Local Property Taxes $ 4 4,657,603 $ 4 6,208,342 $ 5 0,007,054 $ 5 5,374,053 $ 59,242,742
Local Income Taxes 3 1,633,987 34,980,663 3 4,767,725 3 5,988,334 29,647,125
Other Local Taxes 1 0,509,826 9,379,305 6,131,518 5,333,265 5,487,396
State Shared Taxes 4,233,139 5,125,419 5,306,763 7,591,829 508,138
Licenses and Permits 824,917 895,931 890,821 874,639 863,782
Intergovernmental 1 1,476,325 1 0,661,130 1 2,199,511 8,049,695 12,061,066
Bond Interest Reimbursement - Build America Bond - - - - 193,567
Charges for Current Services 4,864,374 3,806,563 4,049,902 3,326,696 3,396,080
Fines and Forfeitures 77,008 239,194 1,759,370 115,658 258,937
Capital Contributions - Developer - - - - -
Investment Income 1,738,139 3,162,830 2,128,509 642,472 144,553
Donations 98,610 74,694 247,002 76,867 140,731
Miscellaneous 1,346,669 1,853,706 719,067 2,182,525 786,719
Total Revenues 1 11,460,597 1 16,387,777 1 18,207,242 1 19,556,033 112,730,836
Expenditures
Current
General Government (1) 9,516,299 8,772,229 1 0,128,699 1 0,841,479 10,608,976
Public Safety 1 6,356,949 1 7,918,740 1 9,292,661 2 0,483,238 21,344,575
Public Works 9,168,186 9,167,362 9,182,618 8,678,715 7,671,352
Health 1,355,057 1,428,395 1,430,670 1,572,848 1,637,101
Social Services 4,294,781 4,260,927 4,747,491 5,029,493 4,767,647
Education 4 2,346,958 5 6,163,966 5 8,086,283 5 3,348,513 53,545,597
Parks and Recreation 9,096,593 2,809,748 3,083,038 3,145,367 3,055,335
Library 1,144,622 1,242,573 1,247,108 1,390,398 1,424,078
Conservation of Natural Resources 508,606 483,810 2,177,820 2,445,352 5,263,577
Economic/Community Development 1,558,978 3,188,316 3,513,153 1,968,587 1,847,195
Miscellaneous - 915,542 731,771 706,792 1,373,090
Capital Outlay 1,049,361 1 4,291,416 1 3,676,569 8,594,972 7,868,741
Debt Service
Principal 3,677,307 3,795,769 4,888,405 5,089,347 4,948,144
Debt Issuance Costs - 236,899 3,972 (423) 145,884
Interest and Fiscal Charges 2,569,650 2,257,928 3,147,529 2,778,490 3,114,505
Total Expenditures 1 02,643,347 1 26,933,620 1 35,337,787 1 26,073,168 128,615,797
Excess (Deficiency) of Revenues over (under) Expenditures 8,817,250 (10,545,843) (17,130,545) (6,517,135) ( 15,884,961)
Other Financing Sources (Uses)
Issuance of Debt - 2 3,219,790 510,617 122,780 29,299,154
Re-allocation of 2006 Bonds - - ( 345,955) - -
Bond Premiums - 236,899 3,972 (423) 157,800
Payments to Bond Refunding Agent - - - - -
Proceeds of Capital Asset Disposals 1,176,860 88,535 45,494 64,089 30,861
Insurance Proceeds - - 8,898 44,907 15,826
Transfers In 8,578,135 1 3,131,736 1 7,014,307 5,449,499 18,184,911
Transfers Out (6,181,284) (14,202,033) (17,025,888) (8,879,272) ( 18,744,242)
Total Other Financing Sources (Uses) 3,573,711 2 2,474,927 211,445 (3,198,420) 28,944,310
Special and Extraordinary Items
Special Item - - - - -
Extraordinary Gains (Losses) ( 477,707) ( 42,242) - - -
Total Special Items and Extraordinary Gains (Losses) ( 477,707) ( 42,242) - - -
Net Increase (Decrease) in Fund Balances $ 1 1,913,254 $ 1 1,886,842 $ (16,919,100) $ (9,715,555) $ 13,059,349
Debt service as a percentage of non-capital expenditures (2, 3) 6.73% 5.38% 6.61% 6.79% 6.69%
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.
-172-

QUEEN ANNE'S COUNTY, MARYLAND
FINANCIAL TRENDS
CHANGES IN FUND BALANCES - GOVERNMENTAL FUNDS
LAST TEN FISCAL YEARS
Table 4
(CONTINUED)
2011 2012 2013 2014 2015
$ 6 0,097,959 $ 6 5,918,832 $ 6 5,554,079 $ 6 4,701,622 $ 6 4,672,292
2 9,527,496 3 5,969,879 3 9,438,906 4 0,326,921 42,889,715
5,398,486 5,728,277 6,617,508 6,511,137 7,505,016
230,401 306,235 510,726 749,366 557,834
919,663 877,365 1,004,774 1,080,891 1,062,917
8,777,729 5,867,211 7,588,691 5,588,984 4,030,576
438,022 432,212 406,337 383,777 375,323
3,143,846 3,908,998 4,594,240 5,357,919 4,251,835
78,345 222,683 119,857 141,615 182,160
- - - 102,316 -
136,523 126,650 107,095 95,286 94,092
109,342 46,332 36,332 39,055 41,391
708,455 1,254,255 1,051,760 877,629 1,076,893
1 09,566,267 1 20,658,929 1 27,030,305 1 25,956,518 1 26,740,044
1 0,397,457 9,171,830 9,282,310 1 0,649,489 8,833,255
2 1,127,321 2 0,985,077 2 1,275,229 2 2,266,458 2 3,133,608
7,277,767 7,733,226 9,615,805 9,967,363 1 2,041,969
1,670,222 1,604,462 1,811,402 2,030,740 1,822,856
4,098,650 3,533,022 4,051,741 3,474,886 3,602,146
5 7,566,865 5 3,755,497 4 8,418,107 5 9,752,944 6 5,683,908
2,521,175 - - - -
1,433,725 1,277,993 1,278,228 1,310,250 1,432,500
3,872,916 2,794,262 890,480 2,363,254 565,289
1,715,524 758,089 898,129 1,306,516 1,616,784
4,699,452 3,704,702 4,862,189 3,202,417 3,535,585
4,838,581 2,755,949 3,370,909 8,669,375 8,733,509
6,964,558 7,095,307 7,069,406 7,210,561 7,444,611
129,671 162,021 (94) 196,870 403,572
3,629,426 4,116,939 3,675,628 3,501,230 3,846,823
1 31,943,310 1 19,448,376 1 16,499,469 1 35,902,353 1 42,696,415
(22,377,043) 1,210,553 1 0,530,836 (9,945,835) (15,956,371)
2 1,897,570 8,010,000 564,068 2 2,405,542 25,384,493
- - - - -
139,136 713,235 (101) 1,118,097 1,901,240
- (8,557,455) - - (14,881,834)
582,601 47,396 308,856 458,759 1,331,608
99,028 11,631 20,070 61,942 57,916
5,386,256 9,635,881 1 0,851,904 5,861,261 5,079,641
(6,614,521) (10,369,909) (11,228,409) (6,450,998) (6,449,845)
2 1,490,070 ( 509,221) 516,388 2 3,454,603 12,423,219
- 1,360,643 - - -
- - - - -
- 1,360,643 - - -
$ (886,973) $ 2,061,975 $ 1 1,047,224 $ 1 3,508,768 $ (3,533,152)
8.34% 9.66% 9.54% 8.44% 8.43%
-173-

Steamed crabs fresh from the local rivers and the Chesapeake Bay!

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
2006 $ 9 50,694,704 $ 4 ,051,000,772 $ 5 ,001,695,476 $ 0 .8700 $ 59,360,390 $ 5,061,055,866 $ 3 69,542,935 $ 5 ,430,598,801
2007 1 ,104,093,458 4 ,526,502,291 5 ,630,595,749 0 .8000 63,168,480 5,693,764,229 4 19,303,486 6 ,113,067,715
2008 1 ,291,356,759 5 ,045,464,776 6 ,336,821,535 0 .7700 61,729,010 6,398,550,545 4 74,798,401 6 ,873,348,946
2009 1 ,503,024,419 5 ,518,534,961 7 ,021,559,380 0 .7700 61,513,370 7,083,072,750 5 47,163,868 7 ,630,236,618
2010 1 ,606,785,131 5 ,911,287,556 7 ,518,072,687 0 .7700 62,858,590 7,580,931,277 5 96,219,654 8 ,177,150,931
2011 1 ,625,886,760 6 ,054,844,995 7 ,680,731,755 0 .7671 59,364,960 7,740,096,715 6 44,654,739 8 ,384,751,454
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
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.
-175-

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)
2006 $ 0.8700
2007 0 .8000
2008 0 .7700
2009 0 .7700
2010 0 .7700
2011 0 .7671
2012 0 .8471
2013 0 .8471
2014 0 .8471
2015 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.
-176-

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
2006 $ 0 .0600
2007 0 .0600
2008 0 .0600
2009 0 .0600
2010 0 .0600
2011 0 .0600
2012 0 .0600
2013 0 .0600
2014 0 .0600
2015 0 .0600
NOTES:
* Tax rates are per $100 of assessed value.
* The personal property tax rate for Queen Anne's County is zero.
-177-

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
2006 $ 0 .4800 $ 0 .1000 $ 0 .3400 $ 0 .2800 $ 0 .1800
2007 0.4700 0 .1000 0 .3400 0.2800 0 .1800
2008 0 .4300 0 .1000 0 .3400 0.2800 0 .1800
2009 0 .3950 0 .1000 0 .3400 0.2800 0 .1800
2010 0 .3800 0 .1000 0 .3400 0.2800 0 .1800
2011 0 .3800 0 .1000 0 .3400 0.2800 0 .1800
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
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.
-178-

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
$ 0.2000 $ 0 .1670 $ 0.1220
0.2000 0 .1670 0 .2520
0.2000 0 .1670 0 .2520
0.2000 0 .1670 0 .3600
0.1810 0 .1670 0 .3600
0.1904 0 .1670 0 .3600
0.1890 0 .1670 0 .3600
0.1890 0 .1670 0 .3600
0.1890 0 .1670 0 .3600
0.1895 0 .1670 0 .3600
-179-

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, 2015
Ratio:
Taxpayer
Base to Total
Assessable Base Assessable Base
Second Horizon Group Limited Partnership $ 61,326,866 0.81 %
KRM Development Corporation 35,787,167 0.47
Maryland General Land Co LLC 20,569,800 0.27
Great American Life Insurance Company 15,721,000 0.21
Aspen Institute for Humanistic Studies 15,253,267 0.20
Beach Harbor Campers Cooperative Inc 12,582,700 0.17
K Hovnanian at Kent Island LLC 11,500,000 0.15
Anne Arundel Real Estate Holding Co 10,166,300 0.13
Mears Point Association 9,992,833 0.13
Shore Health System Inc 9,975,900 0.13
Total $ 202,875,833 2.67 %
Total Assessable Base $ 7,568,705,234 100.00 %
For the Fiscal Year Ended June 30, 2006
Ratio:
Taxpayer
Base to Total
Assessable Base Assessable Base
Second Horizon Group Limited Partnership $ 30,472,476 0.60 %
KRM Development Corporation 17,865,366 0.35
Kent Narrows Properties, LLC 10,376,800 0.21
213 Centreville Associates, LLC 8,705,832 0.17
Washington Brick and Terra Cotta Company 8,331,390 0.16
Pasquale Didonato 8,311,082 0.16
Great American Life Insurance Company 8,144,800 0.16
Mears Point Associates, A Limited Partnership 8,028,866 0.16
Beach Harbor Campers Cooperative, Inc. 7,233,240 0.14
TC Shopping Center Limited Partnership 6,951,000 0.14
Total $ 114,420,852 2.25 %
Total Assessable Base $ 5,061,055,866 1 00.00 %
Source: State of Maryland Department of Assessments and Taxation
-180-

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
2006 $ 43,208,732 $ 43,107,941 99.77% $ 99,838 $ 43,207,779 100.00%
2007 44,500,414 44,401,745 99.78% 97,926 44,499,671 100.00%
2008 48,575,431 48,505,180 99.86% 69,445 48,574,625 100.00%
2009 53,839,023 53,756,369 99.85% 79,541 53,835,910 99.99%
2010 57,788,231 57,720,564 99.88% 61,874 57,782,438 99.99%
2011 58,758,234 58,696,129 99.89% 55,435 58,751,564 99.99%
2012 64,549,671 64,459,862 99.86% 78,143 64,538,005 99.98%
2013 63,904,147 63,596,067 99.52% 51,198 63,647,265 99.60%
2014 63,184,321 62,834,349 99.45% 49,676 62,884,025 99.52%
2015 63,338,629 63,231,601 99.83% - 63,231,601 99.83%
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.
-181-

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
2006 $ 55,564,104 $ 622,500 $ - $ 56,186,604
2007 74,717,649 561,000 248,460 75,527,109
2008 69,637,468 822,617 202,978 70,663,063
2009 64,411,805 913,183 155,482 65,480,470
2010 87,967,432 1,652,082 105,884 89,725,398
2011 102,791,729 1,070,632 54,089 103,916,450
2012 97,127,263 889,256 - 98,016,519
2013 90,092,100 1,146,755 - 91,238,855
2014 107,883,563 958,156 - 108,841,719
2015 112,060,053 784,785 - 112,844,838
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)
2006 $ 4,734,164 $ 14,580,581 $ - $ 19,314,745 $ 75,501,349 6.77% $ 1,661
2007 4,430,817 22,516,916 - 26,947,733 102,474,842 5.50% 2,216
2008 3,947,915 21,058,076 - 25,005,991 95,669,054 4.76% 1,998
2009 3,458,660 19,624,863 - 23,083,523 88,563,993 4.19% 1,881
2010 3,445,366 18,166,367 - 21,611,733 111,337,131 6.47% 2,289
2011 3,458,828 16,692,171 - 20,150,999 124,067,449 7.20% 2,590
2012 2,936,543 15,238,959 - 18,175,502 116,192,021 6.95% 2,431
2013 2,490,475 13,767,769 - 16,258,244 107,497,099 6.12% 2,210
2014 2,053,736 12,584,475 - 14,638,211 123,479,930 6.97% 2,538
2015 3,540,295 11,388,918 - 14,929,213 127,774,051 6.89% 2,618
NOTES:
(1) See Table 14 for personal income and population data, which are used in calculating these ratios.
-182-

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)
2006 $ 60,298,268 1.19% $ 1 ,327
2007 79,148,466 1.39% 1 ,712
2008 73,585,383 1.15% 1 ,537
2009 67,870,465 0.96% 1 ,441
2010 91,412,798 1.21% 1 ,879
2011 106,250,557 1.37% 2 ,218
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
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.
-183-

Sailing on the Bay is a favorite pastime.

QUEEN ANNE'S COUNTY, MARYLAND
DEBT CAPACITY
COMPUTATION OF NET DIRECT AND OVERLAPPING DEBT
AS OF JUNE 30, 2015
Table 11
Name of Jurisdiction Gross Debt
Queen Anne's County:
County Government
Total Net Direct Debt (1) $ 1 12,844,838
Towns: (2)
Centreville (100%) 1 1,791,185
Millington (100%) 1 ,230,126
Queenstown (100%) 5 ,854,133
Sudlersville (100%) 4 ,440,195
Total Net Overlapping Debt 2 3,315,639
Total Net Direct and Overlapping Debt $ 1 36,160,477
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.
-185-

QUEEN ANNE'S COUNTY, MARYLAND
DEBT CAPACITY
COMPUTATION OF LEGAL DEBT MARGIN
LAST TEN FISCAL YEARS
Table 12-a
2006 2007 2008 2009 2010
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) 1,354,131 1,483,571 1,458,458 1,446,993 1,862,866
General Obligation Debt (4) 55,564,104 74,717,649 69,637,468 64,411,805 87,967,432
Subtotal 56,918,235 76,201,220 71,095,926 65,858,798 89,830,298
Total authorized debt under Title 5 and specific public laws 64,918,235 84,201,220 79,095,926 73,858,798 97,830,298
LESS Outstanding bonds, notes payable, and capital leases (5) 75,501,349 102,474,842 95,669,054 88,563,993 111,337,131
Less: Sanitary District debt (4) 17,919,731 25,430,093 23,520,278 21,616,088 19,735,239
Subtotal 57,581,618 78,072,206 72,148,776 66,947,905 91,601,892
Legal Debt Margin - Other than the Sanitary District $ 7,336,617 $ 7,404,931 $ 6,947,150 $ 6,910,893 $ 6,228,406
Debt related to the Sanitary District Proprietary Fund:
Total taxable assessed value (3) $ 5,061,055,866 $ 5,693,764,229 $ 6,398,550,545 $ 7,083,072,750 $ 7,580,931,277
Plus exempt property (3) 369,542,935 419,303,486 474,798,401 547,163,868 596,219,654
Total assessed value $ 5,430,598,801 $ 6,113,067,715 $ 6,873,348,946 $ 7,630,236,618 $ 8,177,150,931
Debt Limit - 6% of total assessed value (2) $ 325,835,928 $ 366,784,063 $ 412,400,937 $ 457,814,197 $ 490,629,056
LESS Sanitary District 18,069,698 25,552,847 23,520,278 21,616,088 19,735,239
Less: Restricted Cash and Investments in the
Debt Service Fund available for payment of principal 3,940,626 4,746,865 4,551,821 4,180,188 3,925,026
14,129,072 20,805,982 18,968,457 17,435,900 15,810,213
Legal Debt Margin - Sanitary District $ 311,706,856 $ 345,978,081 $ 393,432,480 $ 440,378,297 $ 474,818,843
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.
-186-

QUEEN ANNE'S COUNTY, MARYLAND
DEBT CAPACITY
COMPUTATION OF LEGAL DEBT MARGIN
LAST TEN FISCAL YEARS
Table 12-a
(CONTINUED)
2011 2012 2013 2014 2015
$ 8,000,000 $ 8,000,000 $ 8,000,000 $ 8,000,000 $ 8,000,000
2,340,495 2,304,876 2,160,475 2,053,736 3,540,295
102,791,729 97,127,263 90,092,100 107,883,563 112,060,053
105,132,224 99,432,139 92,252,575 109,937,299 115,600,348
113,132,224 107,432,139 100,252,575 117,937,299 123,600,348
124,067,449 116,192,021 107,497,099 123,479,930 127,774,051
17,803,690 15,870,626 14,097,769 12,584,475 11,388,918
106,263,759 100,321,395 93,399,330 110,895,455 116,385,133
$ 6,868,465 $ 7,110,744 $ 6,853,245 $ 7,041,844 $ 7,215,215
$ 7,740,096,715 $ 7,685,372,199 $ 7,620,480,255 $ 7,540,259,768 $ 7,568,705,234
644,654,739 694,372,116 732,300,804 696,880,673 708,231,797
$ 8,384,751,454 $ 8,379,744,315 $ 8,352,781,059 $ 8,237,140,441 $ 8,276,937,031
$ 503,085,087 $ 502,784,659 $ 501,166,864 $ 494,228,426 $ 496,616,222
17,803,690 15,870,626 14,097,769 12,584,475 11,388,918
3,658,194 3,244,564 2,840,468 2,763,304 2,695,383
14,145,496 12,626,062 11,257,301 9,821,171 8,693,535
$ 488,939,591 $ 490,158,597 $ 489,909,563 $ 484,407,255 $ 487,922,687
-187-

QUEEN ANNE'S COUNTY, MARYLAND
DEBT CAPACITY
COMPUTATION OF LOCAL DEBT LIMIT
LAST SEVEN FISCAL YEARS
Table 12-b
2009 2010 2011 2012 2013 2014 2015
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) $ 7,083,072,750 $ 7,580,931,277 $ 7,740,096,715 $ 7,685,372,199 $ 7,620,480,255 $ 7 ,540,259,768 $ 7,568,705,234
2.5% 2.5% 2.5% 2.5% 2.5% 2.5% 2.5%
2.5% of Total Taxable Assessed Base $ 177,076,819 $ 189,523,282 $ 193,502,418 $ 192,134,305 $ 190,512,006 $ 188,506,494 $ 189,217,631
LESS Outstanding and New General Obligation Debt (2) (3)
Enterprise Funds' Debt - Bonds and Notes $ 23,083,523 $ 21,611,733 $ 20,150,999 $ 18,175,502 $ 16,258,244 $ 14,638,211 $ 14,929,213
General Obligation Debt - Bonds and Notes 65,324,988 89,619,514 103,862,361 98,016,519 91,238,855 108,841,719 112,844,838
Total Outstanding and New General Obligation Debt $ 88,408,511 $ 111,231,247 $ 124,013,360 $ 116,192,021 $ 107,497,099 $ 123,479,930 $ 127,774,051
2.5% of Total Taxable Assessed Base in Excess of
Total Outstanding and New General Obligation Debt $ 88,668,308 $ 78,292,035 $ 69,489,058 $ 75,942,284 $ 83,014,907 $ 65,026,564 $ 61,443,580
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) 47,091 4 8,650 4 7,899 4 7,798 48,650 48,650 4 8,804
$3,000 Per Capita $ 3,000 $ 3 ,000 $ 3 ,000 $ 3 ,000 $ 3,000 $ 3,000 $ 3 ,000
$ 141,273,000 $ 145,950,000 $ 143,697,000 $ 143,394,000 $ 145,950,000 $ 145,950,000 $ 146,412,000
LESS Outstanding and New General Obligation Debt (1) $ 88,408,511 $ 111,231,247 $ 124,013,360 $ 116,192,021 $ 107,497,099 $ 123,479,930 $ 127,774,051
$3,000 Per Capita in Excess of
Total Outstanding and New General Obligation Debt $ 52,864,489 $ 34,718,753 $ 19,683,640 $ 27,201,979 $ 38,452,901 $ 22,470,070 $ 18,637,949
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, Finance and Information Technology 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
(e) review and revise this Debt Policy as necessary, but no later than September 1, 2015.
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
DEMOGRAPHIC AND ECONOMIC INFORMATION
PRINCIPAL EMPLOYERS
CURRENT FISCAL YEAR AND NINE YEARS AGO
Table 13
For the Fiscal Year Ended June 30, 2015
Percentage of
Total County
Employer Employees Rank Employment
Queen Anne's County Board of Education 944 1 8.81%
Chesapeake College 510 2 4.76%
Queen Anne's County Government 449 3 4.19%
S.E.W. Friel 275 4 2.57%
Paul Reed Smith Guitars 249 5 2.32%
Reeb Millwork 180 6 1.68%
Cracker Barrel Old Country Store 170 7 1.59%
Power Electronics 162 8 1.51%
Fisherman's Inn 135 9 1.26%
Genesis HealthCare/Corsica Hills Center 134 10 1.25%
Total 3,208 29.94%
For the Fiscal Year Ended June 30, 2006
Percentage of
Total County
Employer Employees Rank Employment
Queen Anne's County Board of Education 912 1 7.85%
Queen Anne's County Government 490 2 4.22%
S.E.W. Friel 275 3 2.37%
Chesapeake College 215 4 1.85%
Paul Reed Smith Guitars 209 5 1.80%
Reeb Millwork 178 6 1.53%
Harris Crab House 160 7 1.38%
Acme Markets 147 8 1.27%
Kmart 140 9 1.20%
Tidewater Direct 130 10 1.12%
Total 2,856 24.59%
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)
2006 45,450 $ 1,114,661,250 $ 24,525 3.50% 7,162
2007 46,241 1,861,755,142 40,262 3.50% 7,774
2008 47,886 2,009,392,332 41,962 4.00% 7,790
2009 47,091 2,113,538,262 44,882 7.00% 7,774
2010 48,650 1,721,674,850 35,389 7.00% 7,723
2011 47,899 1,722,448,040 35,960 7.20% 7,722
2012 47,798 1,672,547,616 34,992 6.50% 7,757
2013 48,650 1,757,238,000 36,120 6.40% 7,717
2014 48,650 1,771,687,050 36,417 5.10% 7,720
2015 48,804 1,854,356,784 37,996 4.90% 7,752
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: Maryland Department of Labor, Licensing, and Regulation - as of June.
(4) Source: Queen Anne's County Board of Education.
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Jack-be-Littles in abundance for Fall decorating!

QUEEN ANNE'S COUNTY, MARYLAND
OPERATING INFORMATION
COUNTY GOVERNMENT EMPLOYEES - FULL-TIME EQUIVALENTS
LAST TEN FISCAL YEARS
Table 15
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
Number of Exempt Employees 35 36 31 29 29 26 26 28 29 30
Number of Full Time Employees 422 460 470 464 450 400 386 391 393 416
Number of Part Time Employees (FTE) 23 25 20 18 17 10 9 8 7 3
Total County Government Employees 480 521 521 511 496 436 421 427 429 449
NOTES:
Source: Queen Anne's County Office of Budget, Finance and Information Technology.
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QUEEN ANNE'S COUNTY, MARYLAND
OPERATING INFORMATION
COUNTY GOVERNMENT EMPLOYEES - FULL-TIME ONLY BY FUNCTION
LAST NINE FISCAL YEARS
Table 16
2007 2008 2009 2010 2011 2012 2013 2014 2015
Governmental Activities:
General Government 90 90 89 87 77 74 82 77 81
Public Safety:
Police 49 53 52 50 49 53 56 58 58
Fire - Emergency Management Services 69 68 69 67 64 61 64 67 71
Detention Center 37 38 42 42 41 42 41 41 41
Animal Services 11 11 8 8 10 10 6 3 3
Public Works 87 91 85 79 61 51 51 54 58
Health 1 1 1 1 1 1 1 1 1
Social Services 40 38 38 37 32 36 32 36 38
Parks (1) 44 44 45 45 31 27 27 29 39
Conservation of Natural Resources 3 3 3 3 3 3 4 4 3
Economic/Community Development 12 12 10 9 7 3 6 2 3
Total Governmental Activities 443 449 442 428 376 361 370 372 396
Business-Type Activities:
Sanitary District 47 46 45 45 44 45 45 46 46
Bay Bridge Airport 3 3 3 3 3 3 1 1 1
Golf - - - - - - 1 1 1
Public Landings 3 3 3 3 3 3 2 2 2
Total Business-Type Activities 53 52 51 51 50 51 49 50 50
Total Full-Time County Employees 496 501 493 479 426 412 419 422 446
NOTES:
(1) Due to the consolidation of the Property Management and Recreation enterprise funds with the General Fund in
fiscal year 2013, the respective employees of those funds are now reported with the Parks function of the Governmental Activities.
- Only full-time County employees are represented in this Table; data relating to full-time equivalents
for part-time employees is not available at this time.
- Employees of the County's component units have been excluded from this table.
- As data becomes available next fiscal year, this Table will be updated to include data for ten fiscal years.
Source: Queen Anne's County Office of Budget, Finance and Information Technology.
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QUEEN ANNE'S COUNTY, MARYLAND
OPERATING INFORMATION
OPERATING INDICATORS BY FUNCTION
LAST TEN FISCAL YEARS
Table 17
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
Governmental Activities:
General Government:
Planning & Zoning:
Number of commercial permits issued 256 235 23 40 35 27 99 75 51 52
Number of residential permits issued:
Single Family Permits 224 160 138 90 153 106 119 161 133 123
Multi Family Permits - - - 13 28 4 20 21 12 -
Renovations and Additions Permits 608 541 539 324 304 295 207 312 327 270
Total residential permits issued 832 701 677 427 485 405 346 494 472 393
Public Safety:
Fire and Rescue:
Number of volunteer members 630 600 663 663 689 689 689 689 689 683
Police:
Uniformed Police Officers 49 49 53 54 54 55 59 61 61 64
Number of law violations:
Physical arrests 1,115 1,413 1,373 1,429 917 1,216 848 1,144 1,239 1,055
Traffic violations 4,962 5,310 5,745 8,276 6,183 5,760 5,818 5,915 6,514 6,030
Detention Center:
Detention Center Officers 31 33 35 37 39 40 38 40 41 41
Average yearly prison population 99 1 13 1 12 97 102 103 86 128 138 123
Public Works:
Wastewater Treated - Daily (mgd) 1.5 1.5 1.6 1.7 2.1 1.7 1.9 2.0 2.0 2.1
Education:
Number of Personnel
Teachers 496 501 522 528 533 530 537 546 550 575
Administrators 39 40 40 38 37 37 39 39 41 40
Support 318 327 338 338 336 310 300 294 344 295
Other 59 55 77 76 76 64 47 47 37 34
Number of Students 7,162 7,774 7,790 7,774 7,723 7,722 7,757 7,717 7,720 7,752
Number of High School Graduates 514 563 560 590 562 566 598 537 605 589
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
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
Governmental Activities:
Public Safety:
Fire and Rescue:
Number of volunteer stations 10 1 0 1 0 10 10 10 10 9 9 9
Equipment:
Engines 1 7 1 6 1 6 16 17 17 17 18 17 16
Tankers 7 9 9 9 9 9 9 9 8 8
Aerial Units 4 4 4 4 5 5 5 5 4 4
Rescue Units 5 5 6 6 7 7 7 8 6 7
Brush Units 7 8 8 8 8 8 8 8 7 7
Air Units (MD State Police) 1 1 3 3 - - - - - -
Boats 5 3 1 1 5 5 5 5 6 6
Ambulance/Medic Units 18 2 0 1 6 16 17 17 17 17 13 14
Cars/Other 2 0 1 6 1 7 17 22 22 22 22 25 25
Police:
Number of Stations 1 1 1 1 1 1 1 1 1 1
Number of Vehicles
Patrol 3 4 5 4 5 7 64 60 53 62 62 68 68
Other 2 6 1 5 7 13 17 21 3 3 12 15
Detention Center
Capacity 104 104 104 104 148 148 148 148 148 148
Public Works:
County Maintained Roads and Streets
Paved (miles) 534 536 530 539 540 540 540 541 543 543
Unpaved (miles) 1 3 1 2 1 5 12 12 12 12 12 12 12
County Owned Water and
Wastewater Facilities
Water
Miles of Mains 4 9 5 1 5 6 57 58 59 59 61 62 62
Water Treatment Plants 1 0 1 0 1 1 11 11 11 11 11 11 11
Booster Stations 2 2 2 2 2 2 2 2 2 2
Wastewater
Miles of Mains 107 109 114 116 117 118 118 120 121 122
Wastewater Treatment Plants 1 1 1 1 1 1 1 1 1 1
Wastewater Collection, Lift,
and Pumping Stations 2 9 2 9 3 1 31 31 31 31 31 31 31
Education:
Number of Schools
High Schools 2 2 2 2 2 2 2 2 2 2
Middle Schools 3 3 3 4 4 4 4 4 4 4
Elementary Schools 8 8 8 8 8 8 8 8 8 8
Parks and Recreation:
Parks 2 8 2 9 3 2 33 33 33 33 33 33 33
Park Acreage 2,579 2,572 2,633 2,633 2,915 2,915 2,915 2,915 2,915 2,915
Public Landings 2 1 2 1 2 1 20 20 21 21 19 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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