Page 46 - GrapevineFY24 Adopted Budget

The Government Finance Officers Association (GFOA) recommends the use of outstanding debt
indicators to accurately capture the unfunded obligation to be repaid from general revenues. The
City’s net direct debt per capita is the amount of governmental debt outstanding for each citizen
of Grapevine. This allows for a valid comparison among cities of different sizes. Direct debt
includes all long-term obligations directly supported by general revenues and taxes. It does not
include interest expenses. Grapevine’s net debt per capita is calculated at $1,467.77 (based on an
estimated population of 52,283) and represents a decrease of $163.44 (-2.6%) from the previous
year’s calculation of $1631.21. The decrease is attributed to two factors: (1) there is no remaining
GO bond authority; and (2) the City Council’s wish to return to cash financing of vehicles and
equipment in the wake of increased sales tax collections that negate the need for certificates of
obligations.

A table of previous years’ net direct debt per capita is shown below.

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