Note 16 – Segment and Blended Component Unit Information

The University has two segments, CU Medicine and CVA.

CU Medicine is a blended component unit of the University and has identifiable activities for which CU Medicine Fixed-Rate bonds approximating $7,481,000 and $8,657,000 are outstanding as of June 30, 2018 and 2017, respectively. The activities of this segment include all the SOM’s faculty practice plan.  Table 16.1 presents summary financial information as of and for the years ended June 30, 2018 and 2017.

The University paid CU Medicine rental amounts of $2,668,000 and $2,510,000 during the years ended June 30, 2018 and 2017, respectively.  As CU Medicine is a blended component unit, these amounts are eliminated.

As of June 30, 2017, CVA is also a segment of the University.  CVA is a wholly owned entity of CUPCO, a blended component unit of the University, for which $53,040,000 and $53,440,000 revenue bonds are outstanding as of June 30, 2018 and 2017, respectively.  CVA provides housing and other services for students of CU Denver. Table 16.2 presents summary financial information as of and for the years ended June 30, 2018 and from January 1, 2017 through June 30, 2017, the period of time after which CVA assets were transferred to CUPCO.

Table 16.1. Segment Financial Information – CU Medicine (in thousands)

As of and for the year ended June 3020182017
Condensed Statement of Net Position
Assets
Cash and cash equivalents$130,48881,057
Short-term investments51,62959,657
Other current assets161,226104,952
Total current assets343,343245,666
Investments$255,634235,760
Capital assets, net37,67040,649
Other noncurrent assets4,3257,776
Total noncurrent assets297,629284,185
Total Assets$640,972529,851
Liabilities
Accounts payable and accrued expenses$60,07346,670
Accounts payable to University of Colorado4,820739
Bonds and capital leases payable1,2821,297
Total current liabilities66,17548,706
Bonds and capital leases payable6,4887,653
Total noncurrent liabilities6,4887,653
Total Liabilities$72,66356,359
Net Position
Net investment in capital assets29,89931,699
Unrestricted538,410441,793
Total Net Position$568,309473,492
Condensed Statement of Revenues, Expenses, and Changes in Net Position
Operating revenues (expenses)
Patient revenues$1,007,542848,898
Depreciation expense(4,627)(4,722)
Other operating expenses(890,128)(789,969)
Operating income112,78754,207
Nonoperating revenues (expenses)
Investment income$4,2263,310
Interest expense on capital asset-related debt(296)(220)
Other nonoperating expenses(21,900)(11,498)
Total nonoperating revenues (expenses)(17,970)(8,408)
Increase in Net Position94,81745,799
Net Position, beginning of year473,492427,693
Net Position, end of year$568,309473,492
Condensed Statement of Cash Flows
Net cash flows provided by (used for)
Operating activities$80,71439,038
Non-capital financing activities(20,460)(11,533)
Capital and related financing activities(3,176)(3,757)
Investing activities(7,647)(27,268)
Net Increase (Decrease) in Cash and Cash Equivalents49,431(3,520)
Cash and cash equivalents, beginning of year81,05784,577
Cash and Cash Equivalents, End of Year$130,48881,057

Table 16.2. Segment Financial Information – CVA Medicine (in thousands)

As of and for the year ended June 3020182017
Condensed Statement of Net Position
Assets
Current assets$8,4625,003
Capital assets29,21729,379
Other noncurrent assets-5,165
Total Assets$37,67939,547
Liabilities
Current liabilities1,2931,698
Noncurrent liabilities51,93752,407
Total Liabilities$53,23054,105
Net Position
Net investment in capital assets$(22,281)(22,473)
Restricted for bond requirements5,6767,977
Unrestricted1,054(62)
Total Net Position(15,551)(14,558)
Condensed Statement of Revenues, Expenses, and Changes in Net Position
Operating revenues$7,0153,227
Operating expenses(3,514)(1,623)
Depreciation expense(1,420)(673)
Net operating income2,081931
Interest expense(2,946)(1,480)
Gifts-895
Other nonoperating revenue (expense)(400)-
Interest income272124
Net nonoperating expenses(3,074)(461)
Increase (Decrease) in Net Position prior to Special Item(993)470
Special Item-(15,028)
Net Position, beginning of year(14,558)-
Net Position, end of year$(15,551)(14,558)
Condensed Statement of Cash Flows
Net cash flows provided by (used for)
Operating activities$2,0171,176
Non-capital financing activities(400)(1,759)
Capital and related financing activities(4,559)(484)
Investing activities2,574895
Net Decrease in Cash and Cash Equivalents(368)(172)
Cash and cash equivalents, beginning of year765937
Cash and Cash Equivalents, End of Year$397765

 

© Office of University Controller 2018

This report must be considered in its entirety.