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HomeMy WebLinkAbout1983 Audit Report CITY OF ST. JOSEPH, MINNESOTA AUDITED FINANCIAL STATEMENT FOR THE YEAR ENDED DECEMBER 31, 1983 MARLIN J. BOECKMANN Certified Public Accountant Minneapolis, Minnesota I CITY OF ST. JOSEPH, MINNESOTA TABLE OF CONTENTS December 31, 1983 Reference Page 1. INTRODUCTORY SECTION Ci ty Officials 1 II. FINANCIAL SECTION A. General Purpose Financial Statements Auditor's Report 2 Combined Balance Sheet - All Fund Types and Account Groups Exhibit 1 3 Combined Statement of Revenues, Expenditures, and Changes in Fund Balance-All Government Fund Types Exhibit 2 4 Combined Statement of Revenue, Expenditures, and Changes in Fund Balance - Budgeted and Actual - General and Special Revenue Fund Types Exhibit 3 5 Statement of Revenues, Expenses, and Changes in Retained Earnings - Proprietary Fund Type Exhibit 4 6 Statement of Changes in Financial Position - Pro- prietary Fund Type Exhibit 5 7 Notes to the Financial Statements 8 B. Combining and Individual Fund and Account Group Statements and Schedules General Fund - Balance Sheet Exhibit A-I 16 Statement of Revenues, Expenditures and Changes in Fund Balances - Budgeted and Actual Exhibit A-2 17 Schedule of Revenues - Budgeted and Actual Exhibit A-3 18 Schedule of Expenditures - Budgeted and Actual Exhibit A-4 20 Special Revenue Funds - Balance Sheet Exhibit B-1 23 Statement of Revenues, Expenditures, and Changes in Fund Balance Exhibit B-2 24 Statement of Revenues, Expenditures, and Changes in Fund Balances - Budgeted and Actual Exhibit B-3 25 Combining Projects Funds - Combining Balance Sheet Exhibit C-l 26 Combining Statement of Revenues, Expenditures, and Changes in Fund Balance Exhibit C-2 27 Special Assessment Funds - Combining Balance Sheet Exhibit D-l 28 Combining Statement of Revenues, Expenditures, and Changes in Fund Balances Exhibit D-2 29 Enterprise Funds - Combining Balance Sheet Exhibit E-l 30 Combining Statement of Revenues, Expenses, and Changes in Retained Earnings Exhibit E-2 31 Combining Statement of Changes in Financial Position Exhibit E-3 32 Schedule of Changes in Fixed Assets Exhibit E-4 33 General Fixed Asset Group of Accounts - Statement of General Fixed Assets Exhibit F-l 34 Statement of General Fixed Assets by Fund Exhibit F-2 35 General Long-Term Debt Group of Accounts - Statement of General Long-Term Debt Exhibit G-l 36 Combined Schedule of Indebtedness Exhibit G-2 37 CITY OF ST_ JOSEPH. MINNESOTA CITY OFFICIALS For the Year Ended December 31. 1983 ELECTED OFFICIALS TERM OF OFFICE TERM EXPIRES Mayor Michael Loso Two Years 12-31-84 Councilman Michael Husen Four Years 12-31-84 Councilman Herman Schneider Four Years 12-31-84 Councilman Steven Dehler Four Years 12-31-86 Councilman Donald Reber Four Years 12-31-86 OFFICIALS NOT ELECTED City Clerk Robert G- Johnson Ci ty Treasurer Leo Sad10 -1- MARLIN ]. BOECKMANN Certified Public Accountant 4065 82nd Avenue North MEMBER: Minneapolis, Minnesota 55443 American Institute of C. P. A. 's Minnesota Society ofC.P.A. 's To the Honorable City Mayor and Members of the City Council City of St. Joseph St. Joseph, Minnesota 56374 We have examined the balance sheets of the various funds and the state- ment of general long-term debt group of accounts of the City of St. Joseph, St. Joseph, Minnesota for the year ended December 31, 1983, and the re- lated statement of revenue, expenditures, and changes in fund balances for the year then ended. Our examination was made in accordance with generally accepted auditing standards and accordingly included such tests of the accounting records and such other auditing procedures as we con- sidered necessary in the circumstances, except that we did not examine the General Fixed Assets and the Enterprise Fund's fixed assets for the reason stated in the following paragraph. Because the city does not maintain fixed asset records which provide complete accounting control over quantities and costs of all equipment, it was impracticable to audit the General Fixed Assets and the Enterprise Fund's fixed assets, accordingly, we express no opinion thereon. Also, under generally accepted accounting principles, depreciation is recorded on tangible long-lived assets of proprietary funds. Depreciation has not been taken on the Water Fund's and Plant Operation and Maintenance Fund's tang- ible long-lived assets. The effects of this departure from generally accepted accounting principles on the accompanying financial statements have not been determined. In our opinion, except for the General Fixed Assets, Enterprise Fund's fixed assets, and non-depreciation of proprietary fixed assets referred to above, the aforementioned financial statements present fairly the financial position of the various funds and general long-term debt group of accounts of the City of St. Joseph, St. Joseph, Minnesota, at December 31, 1983 in conformity with generally accepted accounting principles applied on a basis consistent with that of the preceding year. Minneapolis, Minnesota ~L~ June 15, 1984 MARLIN J. BOECKMANN, C.P.A. -2- EXHIBIT 2 CITY OF ST. JOSEPH, MINNESOTA COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE ALL GOVERNMENT FUND TYPES For the Year Ended December 31, 1983 To ta 1 Governmental Fund Types (Memorandum Only) Special Capital Special Year Ended December General Revenue Projects Assess. 31, 1983 31, 1982 REVENUES: Taxes $ 93,580 $ $ $ $ 93,580 $ 89,154 Licenses and Permits 16,253 16,253 18,096 Intergovernmental Revenue: Federal 36,430 36,430 27,884 State 293,060 293,060 229,239 Charges for Services 26 ,803 26,803 24,987 Fines and Forfeits 15 ,976 15,976 18,531 Assessments 497,918 497,918 0 Other and Interest 42,990 5,869 876 73,108 122,843 166,666 TOTAL RE VENUES $488,662 $ 42,299 $ 876 $571,026 $1,102,863 $574,557 OTHER SOURCES: Transfers from other Funds 2,979 2,313 5,292 2,412 TOTAL REVENUES & OTHER SOURCES $488,662 $ 42,299 $ 3,855 $573,339 $1,108,155 $576,969 EXPENDITURES: General Government $ 95,558 $ $ $ $ 95,558 $121,115 Public Safety 167,353 167,353 164,549 Streets and Highways 91 , 129 91 , 129 79,663 Sanitation 27,448 27 ,448 32,554 Recreation 13 ,869 13 ,869 17,455 Capital Outlay - Equipmen t 18,179 1,867 20,046 10,633 Other 330,982 330,982 0 Other and Interest 10,769 10,386 3,204 30,853 55,212 32,515 TOTAL EXPENDITURES $406,126 $ 28,565 $ 5,071 $361,835 $ 801,597 $458,484 OTHER USES: Transfers to Other Funds 2,313 2,313 2,412 TOTAL EXPENDITURES AND OTHER USES $408,439 $ 28,565 $ 5,071 $361,835 $ 803,910 $460,896 NET INCREASE (DECREASE) IN FUND BALANCE DURING THE YEAR $ 80,223 $ 13,734 $ (1,216)$211,504 $ 304,245 $116,073 PRIOR PERIOD ADJUSTMENT (Note 9) 25 ,623 (25,623) FUND BALANCE, January 1 346,667 62,301 8,921 436,513 854,402 738,329 FUND BALANCE, December 31 ~~~~~~1~ ~=Z~~Q~~ ~=Z~ZQ~ ~~~~~~2~ gl~l~~~~~Z g~~~~~Q~ The notes to the financial statements are an integral part of this statement. -4- EXHIBI T 4 CITY OF ST. JOSEPH, MINNESOTA STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN RETAINED EARNINGS PROPRIETARY FUND TYPE For the Year Ended December 31, 1983 1983 1982 OPERATING REVENUE: Water Revenue $ 41,797 $ 35,879 Plant Operation and Maintenance 61,815 40,248 TOTAL $103,612 $ 76,127 OPERATING EXPENSES: Water Revenue $ 35,590 $ 33,953 Plant Operation and Maintenance 42,602 36,409 TOTAL $ 78,192 $ 70,362 OTHER USES: Transfers to Other Funds $ 2,979 TOTAL $ 81,171 $ 70,362 OPERATING INCOME $ 22,441 $ 5,765 OTHER INCOME (EXPENSE): Interes t Income $ 3,700 $ 5,294 TOTAL OTHER INCOME $ 3,700 $ 5,294 NET INCOME $ 26,141 $ 11 ,059 RETAINED EARNINGS, January 1 287,856 276,797 RETAINED EARNINGS, December 31 ~~1~422Z £~~Z4~~~ - The notes to the financial statements are an integral part of this statement. -6- EXHIBIT 5 CITY OF ST. JOSEPH, MINNESOTA STATEMENT OF CHANGES IN FINANCIAL POSITION- PROPRIETARY FUND TYPE For the Year Ended December 31, 1983 1983 1982 FUNDS PROVIDED: Operations: Net Income $ 26,141 $ 11 ,059 Add (deduct) Items not Affecting Working Capital: Loss on Disposal of Equipment 950 Total Funds Provided by Operations $ 27 ,091 $ 11 ,059 FUNDS APPLIED: Additions to Plant and Equipment 6,404 $ 7,510 INCREASE IN WORKING CAPITAL £=~Q4~~Z £==~4~~2 REPRESENTED BY CHANGES IN: Current Assets - increase (decrease): Cash $ 13,729 $ 22,152 Investments (6,520 ) (18,119) Accounts Receivable 10,403 3,748 , Interest Receivable (231 ) 112 Total Current Assets $ 17,381 $ 7,893 Current Liabilities - increase (decrease) Accounts Payable $ 3,306 $ (4,344) Total Current Liabilities $ 3,306 $ (4,344) INCREASE IN ~ORKING CAPITAL ~=~£4~~Z $ 3 549 ====4=== The notes to the financial statements are an integral part of this statement. -7- CITY OF ST. JOSEPH, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 1983 Note 1 - Summary of Significant Accounting Policies The accounting policies of the City of St. Joseph conform to generally accepted accounting principles applicable to governmental units, except as indicated in Note IE and IF below. The following is a summary of the significant accounting policies. A. Bases of Accounting: The modified accrual basis of accounting is followed for the general, capital projects, special assessments, and special revenue funds. Under this method of accounting, revenues are recognized when received in cash, except for material or available revenues which are accrued to reflect revenues earned and available to fund operations for that period. Expenditures, other than accrued interest on general long- term debt are recorded at the time liabilities are incurred. The accrual basis of accounting is followed in the proprietary funds. Under this method of accounting revenues are recognized when earned, and expenses are recorded as liabilities when incurred. B. Recognition of Property Taxes: The amount of uncollected property taxes for the City are immaterial. The delinquent amounts, except for an immaterial amount, are collect- ible, so all delinquents are accrued at the end of each year. C. Cash and Temporary Investment: Cash balances from all funds are pooled and invested to the extent available in certificates of deposit or Treasury Bills. Earnings from such investments are allocated to the funds on the basis of applic- able cash balance participation by each of the funds. D. General Fixed Assets: General fixed asset purchases are recorded as expenditures in the various funds at the time of purchase. Such assets over $100 are capitalized at cost, or at appraisal if cost is not available, in the General Fixed Asset Group of Accounts. E. Depreciation: Enterprise Funds - Generally accepted accounting principles require that depreciation be -8- recognized on fixed assets, though the State Auditors report does not require depreciation on contributed fixed assets. No deprecia- tion has been recognized in these funds. Long-lived tangible assets costing over $100 are capitalized; a loss is charged to "Other Miscellaneous Expense" when the asset is retired or sold. General Fixed Assets - No depreciation has been provided on general fixed assets. F. Budgetary Data: Except for the three activities described in Note 5 to the Statements, the city utilizes an annual budget for the General Fund and Revenue Sharing Fund. The three activities - Joint Operating Fire, Special Police, and Special Street Maintenance - are part of the General Fund, and their actual results were merged into both the budgeted and actual columns of the Statements of Revenues and Expenditures - Budgeted and Ac tual. Note 2 - Long Term Debt The city has $836,500 of bonds payable outstanding, as described in the Special Assessment Fund Balance Sheet. These bonds are the primary obligation of the benefited assessees, but in the event of their default are backed by the full faith and credit of the ci ty . The city does not have any general obligation bonds outstanding, but does have two Contracts for Deed, as described in the Statement of General Long-Term Debt, that are backed by the full faith and credit of the city. See Supplementary Financial Information - Combined Schedule of Indebted- ness and Note 12 to the Statements for more detailed information on the long-term debt. Note 3 - Retirement Plans The Volunteer Firemen's Relief Fund is a pension plan financed by contri- butions from the state, city and St. Joseph Township. The city is obli- gated to contribute to the Fund according to a formula that compares the growth in the estimated pension liability to the annual estimated state aid and interest earnings of the pension fund. In 1983, the city con- tributed $1,200 to the fund and at December 31, 1983, had no additional payment obligation. Early in 1984 the city council passed an ordinance that approved the increase of the volunteer firemen's lump sum pension benefit payment from $8,000 to $12,000 for retirement after 20 years of service. Though the action does not affect the 1983 financial statements, it is anticipated to result in a deficit from full funding of about $40,000 at the end of 1984. Assuming stable membership and state aid in 1984, the city's obligation for funding this deficit will be roughly $3,500 for 1984, to be paid in 1985. The city will continue to have an obligation to pay in later years until the deficit is eliminated. -9- All other City employees, with some minor exceptions such as students, must belong to the Public Employees Retirement Association (PERA) . The total contribution to PERA for 1983 was $14,365. The Public Employees Retirement Association is state-wide and an individual city's portion of unfunded reserves is not available because no city is directly liable for any unfunded liability under Minnesota Law. Note 4 - Reclassification Various items in the financial statements have been reclassified to conform with the State of Minnesota's revised Uniform Chart of Accounts. Though the categories and detail within certain funds changed, the conversion had no effect on the totals of any of the fund's statements. Note 5 - Deferred Revenues The General Fund records as Deferred Revenues money which has been received for three specific purposes, but which at year end has not yet been expended for those purposes. These activities are: Joint Operating Fire - The fund receives its revenue from the City of St. Joseph and St. Joseph Township, and funds are used for operating expenses for those areas. Special Police - This fund's revenues come only from state aid and must be spent on policeman's retirement contributions (PERA) . Street Maintenance - Street Maintenance records receipts and spending for activities closely related to the Highways Division of the Genera 1 Fund. Street Maintenance receives revenues from a special tax levy and from contributions for snow removal. The expenditures are limited to street maintenance, improvements, and machinery and equipment serving that purpose. In past years these unspent year-end balances were recorded on the General Fund Balance Sheet as "Appropriated Fund Balance." Note 6 - Description of the Kinds of Financial Activity Described in the Various Funds The General Fund describes the ongoing current financial activities of the general activities of government. Special activities are described in separate funds as follows: A. Special Revenue Funds, like the General Fund, describe ongoing financial activities, but the money is earmarked by statute or agencies for certain kinds of spending. Federal Revenue Sharing is currently the only Special Revenue Fund. B. Capital Projects Funds record the proceeds and expendi- tures dedicated to spending on construction projects that benefit the city and its ci ti zens as a whole. The ci ty had two capital projects in 1983, one for upgrading Millstream Park -10- and the other for upgrading the wastewater treatment plant. C. Special Assessments Funds record the proceeds and exp- enditures for construction that benefits certain segments of the city and its citizens, and only incidentally benefits the city as a whole. The benefited parties have the primary obligation to pay for the construction, so the Special Assess- ment Funds must account for the long-term financing of the work done as well as for the construction. In 1983, there were 11 Special Assessments for which financing of past con- struction is described, and one, Clinton Village Addition, for which both financing and current construction are described. D. Proprietary Funds describe the financial activities of entities owned by the city that are similar to private business. As quasi businesses, they utilize full accrual accounting, unlike the modified accrual accounting used by the governmental funds described above. The city has two Proprietary enterprise funds, the Water and the Wastewater treatment plants. Note 7 - Project Cancellation In past years the city has been involved in a Wastewater Treatment Plant upgrading project providing for 75% financing by the Federal Govern- ment, 15% by the State of Minnesota and 10% by the city. In the early stages of the project, certain expenditures were made and at the end of 1983, the General Fund had paid $5,567 more than its 10% share, so had a receivable of that amount from the Wastewater Plant Upgrading Capital Project. The Capital Project, in turn, had a $2,589 anticipated receiv- able from other governments. During 1983 the project was cancelled by higher levels of government, and the above described receivables were cancelled. Note 8 - Special Assessment Revenues There is a current controversy concerning whether Special Assessment Funds should record special assessments revenue when levied or wait until the assessments installments receivables become due from the assessees. Both methods are consistent with generally accepted accounting principles. The city has elected to continue its practice of recording the revenue when the assessment is levied. Note 9 - Prior Period Adjustment In past years the Special Assessments Funds accumulated each year's excess of property taxes dedicated to Special Assessments over actual collection of those levies in a "Due from General Fund" account. Corres- pondingly, the General Fund recorded a liability to Special Assessments. The General Fund is not responsible for this excess of levies due over collection, and the amount of the liability at the beginning of 1983, $25,623 was cancelled, and the General Fund Balance was increased by that amoun t. -11- The writeoff of the receivable from General Fund, totaling $25,623, was charged against the Fund Balances of the affected Special Assessment Funds. Note 10 - Related Agencies Statement 3 of the National Committee on Governmental Accounting requires municipalities to apply certain criteria to determine whether related agencies should be included in the municipalities financial s ta tements. The City of St. Joseph has considered its oversight responsibilities to other agencies, financial interdependence with them, and the other criteria stipulated in Statement 3, and has concluded that no outside agencies' activity should be included in the city's financial statements. The city's conclusions are consis- tent with the interpretations of the Minnesota Society of Certified Public Accountants' Technical Development's Review Committee, as described on Pages 6 and 7 of its letter dated November 11, 1983. Note 11 - Clinton Village Addition Bond Discount The Clinton Village Addition Special Assessment Bonds, in the face amount of $485,000, were sold for $476,755. The difference between these, a discount of $8,245, was written off as an expenditure in 1983. Note 12 - Detailed Indebtedness Schedules Schedule A CITY OF ST. JOSEPH SCHEDULE OF INDEBTEDNESS - BONDS PAYABLE December 31, 1983 Beginning New Retirement Ending Bond Balance Bond of Bond Balance 1-01-83 Issues Bonds 12-31-83 Special Assessment Bonds: 1961 Sanitary Sewer $ 60,000 $ $ 15,000 $ 45,000 1965 Street Improvement 30,000 5,000 25,000 1972 Water & Sewer Improvement 80,000 10,000 70,000 1974-A Street Improvement 5,000 2,500 2,500 1978 Improvement-East Side 190,000 15,000 175,000 1978-A Street Improvement 37 , 000 3,000 34,000 1983 Improvement 0 485,000 485,000 Total Special Assessment Bonds £~£~4£££ £~~~4£££ ~=~£4~££ ~~~~4~££ -12- Note 13 - Subsequent Event The City Council has agreed to defer collection of a portion of the May 15, 1984 balance due on special assessments from the developer of the Clinton Village Addition development sites. Of the $44,696.82 due on that date, $14,365.00 was deferred, without interest charges, to the next regular assessment installment date, October 15, 1984. Accordingly, the amount due on that latter date will be the regular $44,696.82 installment plus the $14,365.00 amount described above. -15- EXHIBIT A-I CITY OF ST. JOSEPH, MINNESOTA GENERAL FUND BALANCE SHEET December 31, 1983 1983 1982 ASSETS Cash $297,750 $ 82,782 Investments 168 , 1 73 297,385 Taxes Receivable - Delinquent 10,253 7,171 Interest Receivable 731 3,394 Accounts Receivable 6,368 6,408 Due from 1979 Alley Improvements 1,506 3,135 Due from Wastewater Treatment Plant Upgrading 5,567 Due from 1975 Sidewalk Improvement 414 621 Due from Other Governmental Ùnits 1,271 1,477 TOTAL AS SETS £~~~4~~~ ~~£Z42~£ LIABILITIES AND FUND BALANCE Liabilities: Accounts Payable $ 33,953 $ 33,524 Due to Special Assessments 25 ,623 Firemen's Relief Pension Fund Payable 2,126 TOTAL LIABILITIES $ 33,953 $ 61,273 Fund Balance: Appropriated $ 55,428 $ 41,937 Unappropriated 397,085 304,730 TOTAL FUND BALANCE $452,513 $346,667 TOTAL LIABILITIES AND FUND BALANCE ~~~~4~~~ ~~£Z42~£ The notes to the financial statements are an integral part of this statement. -16- EXHIBIT A-2 CITY OF ST. JOSEPH, MINNESOTA GENERAL FUND STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGETED AND ACTUAL For the Year Ended December 31, 1983 1983 Ac tua1 Over (Under) 1982 Budgeted Actual Budget Actual REVENUES: General Property Tax $ 94,000 $ 93,580 $ (420 ) $ 89,154 Licenses and Permits 14,000 16,253 2,253 18,096 Intergovernmental Revenue 243,675 293,060 49,385 229,239 Charges For Services 20,000 26,803 6,803 24,987 Fines and Forfeits 17 ,000 15,976 0,024) 18,531 Other 25,200 42,990 17, 790 67,334 TOTAL REVENUE $413 ,875 $488,662 $ 74,787 $447,341 EXPENDITURES: General Government $128,820 $ 95,558 $(33,262) $121,115 Public Saf ety 144,091 167,353 23,262 164,549 Streets and Highways 80,036 91,129 11 ,093 79,663 Sanitation and Waste Removal 27,705 27 ,448 ( 25 7 ) 32,554 Recreation 16,375 13,869 (2,506) 17 ,455 Other 10,769 10,769 4,889 TOTAL EXPENDITURES $407,796 $406,126 $ 0,670) $420,225 OTHER USES: Transfers to Other Funds $ $ 2,313 $ 2,313 $ 2,412 TOTAL EXPENDITURES AND OTHER USES $407,796 $408,439 $ 643 $422,637 NET INCREASE IN FUND BALANCE ~==~42Z2 $ 80,223 ~=Z~41~~ $ 24, 704 PRIOR PERIOD ADJUSTMENT (Note 9) 25,623 FUND BALANCE, January 1 346,667 321,963 FUND BALANCE, December 31 £~~~4~1~ £~~~4~~Z The notes to the financial statements are an integral part of this statement. -17- EXHIBIT A-3 CITY OF ST. JOSEPH, MINNESOTA GENERAL FUND SCHEDULE OF REVENUES - BUDGETED AND ACTUAL For the Year Ended December 31, 1983 1983 1982 Ac tual Over (Under) Budgeted Actual Budget Actual TAXES: General Property Taxes $ 94,000 $ 93,580 $ (420 ) $ 89,154 LICENSES AND PERMITS: Business Licenses and Permits $ 9,000 $ 9,158 $ 158 $ 9,016 Non-Business Licenses and Permits 5,000 7,095 2,095 9,080 TOTAL LICENSES AND PERMITS $ 14,000 $ 16,253 $ 2,253 $ 18,096 INTERGOVERNMENTAL REVENUE: State Grants: Local Government Aid $192,524 $192,524 $ $168,401 Homestead Credit 50,451 51,156 705 36,149 Operating Fire-State Aid 7,439 7,439 7,496 Operating Fire-Township Share 22,435 22,435 22,168 Police 10,360 10,360 8,981 Reduced Assessment 7,472 7,472 6,720 Mobile Home Homestead Credit 988 988 837 Machinery Aid 700 686 (14) 655 TOTAL INTERGOVERNMENTAL REVENUE $243,675 $293,060 $ 49,385 $251,407 CHARGES FOR SERVICES: Sanitation $ 20,000 $ 22,205 $ 2,205 $ 21,761 Recreation 3,898 3,898 3,026 Assessment Search 150 150 150 Snow Removal 550 550 50 TOTAL CHARGES FOR SERVICES $ 20,000 $ 26,803 $ 6,803 $ 24,987 FINES AND FORFEITS: County Court $ 14,000 $ 13 ,833 $ (167) $ 16,736 Police Department 3,000 2,143 ( 85 7 ) 1,795 TOTAL FINES AND FORFEITS $ 17 ,000 $ 15,976 $ (1,024) $ 18,531 The notes to the financial statements are an integral part of this statement. -18- EXHIBIT A-3 CITY OF ST. JOSEPH, MINNESOTA GENERAL FUND SCHEDULE OF REVENUES - BUDGETED AND ACTUAL For the Year Ended December 31, 1983 (Continued) 1983 1982 Ac tual Over (Under) Budgeted Actual Budget Actual OTHER REVENUES: Interest $ 16,000 $ 24,902 $ 8,902 $ 25,684 City Hall Improvement Grant 3,000 Ren ts 7,200 7,232 32 8,560 Assessments 2,027 Shade Tree Program 1,008 Refunds 5,820 5,820 4,530 Other 2,000 5,036 3,036 357 TOTAL OTHER REVENUES $ 25,200 $ 42,990 $ 17, 790 $ 45,166 TOTAL REVENUES £~1~4~Z~ £~~~4~~~ ~=Z~4Z~Z ~~~Z4~~1 The notes to the financial statements are an integral part of this statement. -19- EXHIBIT A-4 CITY OF ST. JOSEPH, MINNESOTA GENERAL FUND SCHEDULE OF EXPENDITURES - BUDGETED AND ACTUAL For the Year Ended December 31, 1983 1983 1982 Actual Over (Under) Budge ted Actual Budget Actual GENERAL GOVERNMENT: Ma yor and Counc i 1 : Salaries $ 7,520 $ 7,370 $ 050 ) $ 7,220 Seminars, Travel & Supplies 1,625 2,411 786 1,934 Capi tal Outlay 124 124 Elections-Voter Registration Salaries 961 Miscellaneous 201 Finance-Municipal Clerk Salaries 41,230 37,640 (3,590) 34,315 Retirement Contributions 5,070 4,680 (390 ) 4,184 Hospitalization Insurance 2,640 1,827 (813) 1,272 Supplies 1,500 1,077 (423 ) 1,357 Te lephone 1,400 1,178 (222) 1,089 Repairs and Maintenance 370 492 122 325 Seminars 500 89 (411 ) 233 Audit 6,500 6,696 196 2,893 Accounting 1,985 1,985 Miscellaneous 601 519 (82) 899 Treasurer Salaries 2,395 2,158 ( 23 7 ) 2,158 Miscellaneous 120 80 (40 ) 311 Assessor Salaries 2,904 2,616 (288 ) 2,606 Miscellaneous 465 277 (188 ) 270 Planning and Zoning 9,844 7,457 (2,387) 7,919 Legal Attorney Fees 17 ,000 4,228 02,772) 7,724 Publications 850 901 51 1,061 Engineering Fees 6,500 2,695 (3 , 805 ) 4,191 Forester - Shade Tree Program 1,675 (1,675) 456 Emergency Services 50 (50) 53 General Government Buildings City Hall 3,025 3,849 824 21,714 City Hall Annex 10,731 5,209 (5,522) 11 ,246 Maintenance Shop 4,305 (4,305) 4,523 TOTAL GENERAL GOVERNMENT $128,820 $ 95,558 $(33,262) $121,115 PUBLIC SAFETY: Police Protection Salaries $ 78,833 $ 70,046 $ (8,787) $ 75,111 Hospitalization Insurance 5,418 5,744 326 5,086 Insurance General 6,000 3,647 (2,353) 5,020 Gas, Oil and Service 6,400 4,494 0,906) 5,104 Attorney Fees 16,000 11 ,485 (4,515) 13 ,320 Te lephone 1,600 1,736 136 1,726 The notes to the financial statements are an integral part of this statement. -20- EXHIBIT A-4 CITY OF ST. JOSEPH, MINNESOTA GENERAL FUND SCHEDULE OF EXPENDITURES - BUDGETED AND ACTUAL For the Year Ended December 31, 1983 1983 1982 Actual Over (Under) Budgeted Actual Budget Actual Reservists $ 300 $ 56 $ (244 ) $ 113 Clothing Allowance 1,440 1,290 (150) 1,350 Repairs and Maintenance 2,600 2,525 (75 ) 1,623 Supplies 3,200 1,542 0,658) 1,322 Retirement Contributions 10,258 10,258 11 ,034 Capital Outlay 1,669 1,669 Unemployment Compensation 2,784 2,784 Continuing Education 550 550 443 Police Investigation 7,000 12,483 5,483 8,064 Other 100 228 128 76 Fire Protection Salaries 1,566 1,566 1,520 Fires 6,271 6,271 5,148 State Aid 7,163 7,439 276 7,496 Insurance 3,641 3,641 3,552 Meetings and Drills 4,095 4,095 4,748 Pension Contributions (926 ) (926 ) 3,326 Convention and Conferences 1,084 1,084 722 Heat 988 988 750 Electricity and Telephone 2,083 2,083 1,244 Supplies 1,280 1,280 1,711 Capital Outlay 5,899 5,899 2,609 Repairs and Maintenance 2,682 2,682 1,336 Other 662 662 942 Allimal Control 200 52 ( 148 ) 53 TOTAL PUBLIC SAFETY $144,091 $167,353 $ 23,262 $164,549 STREETS AND HIGHWAYS: Streets and Alleys Salaries $ 43,618 $ 48,472 $ 4,854 $ 45,255 Hospitalization Insurance 3,018 3,653 635 2,543 Retirement Contributions 5,700 5,478 (222) 5,038 Insurance General 3,500 3,405 (95 ) 3,934 Suppl ies 4,700 5,860 1,160 4,923 Repairs and Maintenance 4,500 6,188 1,688 4,080 Capital Outlay 3,519 3,519 264 Street. Sweeping 1,000 902 (98 ) 774 Other 91 91 40 Street Lighting Power and Light 14,000 13,561 ( 43 9 ) 12,812 TOTAL STREETS AND HIGHWAYS $ 80,036 $ 91,129 $ 11 ,093 $ 79,663 SANITATION AND WASTE REMOVAL: Refuse Collection & Disposal The notes to the financial statements are an integral part of this statement. -21- EXHIBIT A-4 CITY OF ST. JOSEPH, MINNESOTA GENERAL FUND SCHEDULE OF EXPENDITURES - BUDGETED AND ACTUAL For the Year Ended December 31, 1983 1983 1982 Ac tual Over (Under) Budgeted Actual Budget Actual Collection Service $ 27,000 $ 27,020 $ 20 $ 32,160 Other 280 262 (8) 353 Weed Eradication 425 166 ( 259 ) 41 TOTAL SANITATION AND WASTE REMOVAL $ 27,705 $ 27,448 $ ( 25 7 ) $ 32,554 RECREATION: Recreation Activities and Facilities Salaries $ 8,000 $ 7,135 $ (865) $ 7,115 Swim Programs 425 98 (327) 360 Supplies 800 1,234 434 739 Ball Park & Skating Rink 575 366 (209 ) 1,070 Hockey Rink 825 230 (595 ) 781 Insurance 500 35 (465 ) 181 Bus Service 200 68 (132) 188 Other 50 30 (20) Parks and Playgrounds Salaries 300 240 (60 ) 257 Supplies 1,300 1,671 371 1,608 Maintenance 1,500 1,129 (371) 868 Power and Light 325 294 (31) 261 Insurance 1,000 283 (717) 392 Seminars 450 280 (170) 305 Other 125 580 455 222 Capital Outlay 196 196 3,108 TOTAL RECREATION $ 16,375 $ 13 ,869 $ (2,506) $ 17,455 OTHER: Other $ 10,769 $ 10,769 $ $ 4,889 TOTAL OTHER $ 10,769 $ 10,769 $ $ 4,889 TOTAL EXPENDITURES $407,796 $406,126 $ (1,670) $420,225 OTHER USES: Transfers to Other Funds 1970 Water Systems 2,313 2,313 2,412 TOTAL EXPENDITURES AND OTHER USES £~£Z4Z2~ £~£~:!:~~2 £====~~~ ~~~~4~~Z The notes to the financial statements are an integral part of this statement. -22- EXHIBIT B-1 CITY OF ST. JOSEPH, MINNESOTA SPECIAL REVENUE FUNDS BALANCE SHEET December 31, 1983 Federal Revenue Sharing 1983 1982 ASSETS Cash $ 11 ,549 $ 1,349 Inves tmen ts 55,000 51,399 Interest Receivable 249 426 Entitlements Receivable 9,237 9,127 TOTAL ASSETS £=Z~42~~ £=~~4~21 LIABILITIES AND FUND BALANCE Fund Balance - Unappropriated $ 76,035 $ 62,301 TOTAL LIABILITIES AND FUND BALANCE ~=Z~42~~ $ 62 30 1 ====4=== The notes to the financial statements are an integral part of this statement. -23- EXHIBIT B-2 CITY OF ST. JOSEPH, MINNESOTA SPECIAL REVENUE FUNDS STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE For the Year Ended December 31, 1983 Federal Revenue Sharing 1983 1982 REVENUES U . S. Treasury $ 36,430 $ 27,884 Interest 5,869 4,355 TOTAL REVENUES $ 42,299 $ 32,239 EXPENDITURES Publications $ 9,390 $ 1,030 Capital Outlay: Police Car 8,007 Equipment 18 , 1 79 2,398 Library Study 843 Advisory Service 108 97 Other 45 TOTAL EXPENDITURES $ 28,565 $ 11 ,532 NET INCREASE IN FUND BALANCE DURING THIS YEAR $ 13,734 $ 20,707 FUND BALANCE, January 1 62,301 41,594 FUND BALANCE, December 31 ~=Z~42~~ ~=~~4~21 The notes to the financial statements are an integral part of this statement. -24- EXHIBIT B-3 CITY OF ST. JOSEPH, MINNESOTA SPECIAL REVENUE FUNDS STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE BUDGET AND ACTUAL For the Year Ended December 31, 1983 1983 1982 Actual Over (Under) Budgeted Actual Budget Actual REVENUES U.S. Treasury $ 32,000 $ 36,430 $ 4,430 $ 27,884 Interest 5,600 5,869 269 4,355 TOTAL REVENUES $ 37,600 $ 42,299 $ 4,699 $ 32,239 EXPENDITURES Publications $ 2,000 $ 9,390 $ 7,390 $ 1,030 Capital Outlay: Equipment 35,600 18,179 (17,421) 8,007 Library Study 842 842 2,398 Advisory Service 108 108 97 Other 46 46 TOTAL EXPENDITURES $ 37,600 $ 28,565 $ (9,035) $ 11,532 NET INCREASE (DECREASE) IN FUND BALANCE DURING THE YEAR £======2 $ 13,734 ~=1~4Z~~ $ 20,707 FUND BALANCE, January 1 62,301 41,594 FUND BALANCE, December 31 ~=Z~42~~ ~=~~4~21 The notes to the financial statements are an integral part of this statement. -25- EXHIBIT C-l CITY OF ST. JOSEPH, MINNESOTA CAPITAL PROJECTS FUNDS COMBINING BALANCE SHEET December 31, 1983 Water Treat- Total Mi 11 stream ment Plant December December Park Upgrading 31, 1983 31, 1982 ASSETS Cash $ 1,354 $ $ 1,354 $ 3,010 Inves tmen ts 6,322 6,322 8,812 Interest Receivable 29 29 77 Due from Other Governmental Units 2,589 TOTAL ASSETS £==Z4Z2~ £======= ~==Z4Z2~ £=1~4~~~ LIABILITIES AND FUND BALANCE Liabili ties: Due to Other Funds $ $ $ $ 5,567 TOTAL LIABILITIES $ $ $ $ 5,567 FUND BALANCE 7,705 7,705 8,921 TOTAL LIABILITIES AND FUND BALANCE £==Z4Z2~ £======= ~==Z4Z2~ ~=1~4~~~ The notes to the financial statements are an integral part of this statement. -26- EXHIBIT C-2 CITY OF ST. JOSEPH, MINNESOTA CAPITAL PROJECTS FUNDS COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE For the Year Ended December 31, 1983 Water Treat- Total Millstream ment Plant December December Park Upgrading 31, 1983 31, 1982 REVENUES Employee Aid - Township $ 175 $ $ 175 $ 175 Refund 20 Interest 701 701 919 TOTAL REVENUES $ 876 $ $ 876 $ 1,114 OTHER REVENUE Transfer from Other Funds 2,979 2,979 TOTAL REVENUES AND TRANSFERS $ 876 $ 2,979 $ 3,855 $ 1,114 EXPENDITURES Write-off Wastewater Upgrade Engineering $ $ 2,979 $ 2,979 $ Student Work Program 175 175 175 Capital Outlay 1,867 1,867 228 Other 50 50 TOTAL EXPENDITURES $ 2,092 $ 2,979 $ 5,071 $ 403 NET INCREASE (DECREASE) IN FUND BALANCE $ (1,216) $ $ 0,216) $ 711 FUND BALANCE, January 1 8,921 8,921 8,210 FUND BALANCE, December 31 ~==Z4Z2~ £======= £==Z4Z2~ ~==~42~1 The notes to the financial statements are an integral part of this statement. -27- EXHIBIT E-l CITY OF ST. JOSEPH, MINNESOTA ENTERPRISE FUNDS COMBINING BALANCE SHEET December 31, 1983 Plant Operation Water and Maintenance Total Fund Fund 1983 1982 ASSETS Current Assets: Cash $ 16,980 $ 23,890 $ 40,870 $ 27,141 Investments 22,824 9,680 32,504 39,024 Accounts Receivable 10,456 26,826 37,282 26,879 Interest Receivable 103 44 147 378 Total Current Assets $ 50,363 $ 60,440 $110,803 $ 93,422 Fixed Assets: Land $ 2,336 $ 4,941 $ 7,277 $ 7,277 Treatment Plant & Line 280,040 445,922 725 ,962 725,962 Machinery & Equipment 57,936 26,467 84,403 78,949 Construction in Progress 2,417 2,417 2,417 Total Fixed Assets $340,312 $479,747 $820,059 $814,605 TOTAL ASSETS ~~2£4~Z~ ~~~241~Z ~2~24~~~ £22~42~Z LIABILITIES, CONTRIBUTIONS AND RETAINED EARNINGS Current Liabilities: Accounts Payable $ 2,440 $ 2,863 $ 5,303 $ 8,609 Contribution from Special Assessments 219,952 391,610 611 ,562 611 ,562 Retained Earnings, Unreserved 168,283 145, 714 313,997 287,856 TOTAL LIABILITIES, CON- TRIBUTIONS & RETAINED EARNINGS ~~224~Z~ ~~~241~Z £2~24~~~ ~22~42~Z The notes to the financial statements are an integral part of this statement. -30- EXHIBIT E-2 CITY OF ST. JOSEPH, MINNESOTA ENTERPRISE FUNDS COMBINING STATEMENT OF REVENUES, EXPENSES AND CHANGES IN RETAINED EARNINGS For the Year Ended December 31, 1983 Plant Operation Water and Maintenance Total Fund Fund 1983 1982 REVENUES Sales & Rental Charges $ 41,030 $ 25,198 $ 66,228 $ 53,710 Service & Permits 557 100 657 2,369 Operation Cost Share 36,378 36 ,378 19,790 Miscellaneous 210 139 349 258 TOTAL REVENUES $ 41, 797 $ 61,815 $103,612 $ 76,127 EXPENSES Salaries $ 17,504 $ 15,538 $ 33,042 $ 28, 743 Retirement Contributions 2,125 1,455 3,580 3,112 Hospitalization Insurance 840 1,180 2,020 1,833 Pumping and Utilities 5,307 10,177 15,484 15,142 Repairs and Maintenance 2,467 3,477 5,944 7,560 Supp lies 2,325 4,402 6,727 6,262 Insurance - General 1,117 1,446 2,563 2,896 PCA Tests 1,395 1,395 1,162 Engineering Fee 2,110 2,110 Filtration 2,797 2,797 2,158 Inspec tion Fees 850 850 Sales Tax 230 Miscellaneous 258 1,422 1,680 1,264 TOTAL EXPENSES $ 35,590 $ 42,602 $ 78,192 $ 70,362 OTHER USES Transfers to Other Funds 2,979 2 ,9 79 TOTAL EXPENSES AND OTHER USES $ 35,590 $ 45,581 $ 81,171 $ 70,362 OPERATING INCOME $ 6,207 $ 16,234 $ 22,441 $ 5,765 OTHER INCOME (EXPENSE) Interest Income $ 2,500 $ 1,200 $ 3,700 $ 5,294 OTHER INCOME - NET $ 2,500 $ 1,200 $ 3,700 $ 5,294 NET INCOME $ 8,707 $ 17,434 $ 26,141 $ 11 ,059 RETAINED EARNINGS, Jan. 1 159,576 128,280 287,856 276,797 RETAINED EARNINGS, Dec. 31 ~1~~J:~~~ £1~~4Z1~ £~1~422Z ~~~Z4~~~ The notes to the financial statements are an integral part of this statement. -31- EXHIBIT E-3 CITY OF ST. JOSEPH, MINNESOTA ENTERPRISE FUNDS COMBINING STATEMENT OF CHANGES IN FINANCIAL POSITION For the Year Ended December 31, 1983 Plant Operation Water and Maintenance Total Fund Fund 1983 1982 SOURCES OF FINANCIAL RESOURCES Operations Net Income (Loss) for the Year $ 8,707 $ 17 ,434 $ 26,141 $ 11 ,059 Add: Items not requiring Current Outlay of Resources Loss on Disposal of Equipment 950 950 Total Resources Provided by Operations $ 8,707 $ 18,384 $ 27 ,091 $ 11 ,059 TOTAL RESOURCES PROVIDED BY ALL SOURCES $ 8,707 $ 18,384 $ 27,091 $ 11 ,059 USE OF FINANCIAL RESOURCES Acquisition of Fixed Assets $ 1,037 $ 5,367 $ 6,404 $ 7,510 TOTAL USES OF FINANCIAL RESOURCES $ 1,037 $ 5,367 $ 6,404 $ 7,510 NET INCREASE (DECREASE) IN WORKING CAPITAL ~==Z4~Z£ ~=1~4£1Z ~=~24~~Z ~==~4~~2 COMPONENT ELEMENTS OF INCREASE (DECREASE) IN WORKING CAPITAL Cash $ 6,623 $ 7,106 $ 13,729 $ 22,152 Investments (3,398) 0,122) (6,520 ) (18 ,119) Accounts Receivable 984 9,419 10,403 3,748 Interest Receivable 028 ) (103) (231) 112 Accounts Payable 3,589 (283 ) 3,306 (4,344) NET INCREASE (DECREASE) IN WORKING CAPITAL $ 7 670 $ 13 017 ~=~24~~Z £==~4~~2 ====~=== ====4=== The notes to the financial statements are an integral part of this statement. -32- EXHIBIT E-4 CITY OF ST. JOSEPH, MINNESOTA ENTERPRISE FUNDS SCHEDULE OF CHANGES IN FIXED ASSETS For the Year Ended December 31, 1983 Jan. 1 Addi- Retire- Dec. 31 Balance tions ments Balance WATER FUND Contributed Assets Land $ 2,336 $ $ $ 2,336 Buildings 280,040 280,040 Machinery & Equipment 56,899 1,037 57,936 TOTAL WATER FUND $339,275 $ 1,037 $ $340,312 PLANT OPERATION AND MAINTENANCE Contributed Assets Land $ 4,941 $ $ $ 4,941 Buildings 445,922 445,922 Machinery and Equipment 22,050 5,367 950 26,467 Construction Work in Progress 2,417 2,417 TOTAL PLANT OPERATION AND MAINTENANCE $475,330 $ 5,367 $ 950 $479,747 ALL ENTERPRISE FUNDS-TOTAL FIXED ASSETS £~1~4~2~ £==~4~2~ ~====2~£ ~~~242~2 The notes to the financial statements are an integral part of this statement. -33- EXHIBIT F-l CITY OF ST. JOSEPH, MINNESOTA GENERAL FIXED ASSETS STATEMENT OF GENERAL FIXED ASSETS For the Year Ended December 31, 1983 Jan. 1 Addi- Retire- Dec. 31 Balance tions ments Balance Land $ 40,271 $ $ $ 40,271 Buildings 163,286 5,666 168,952 Improvements other than Bui 1d ings 970,776 43,278 983 1,013 ,071 Equi pmen t 264,694 14,279 13 ,361 265,612 Construction in Progress 66,853 324,587 24,569 366,871 TOTAL GENERAL FIXED ASSETS £14~2~4~~2 £~~Z4~12 £=~~421~ £14~~~4ZZZ The notes to the financial statements are an integral part of this statement. -34- EXHIBIT F-2 CITY OF ST. JOSEPH, MINNESOTA STATEMENT OF GENERAL FIXED ASSETS BY FUND December 31, 1983 GENERAL FIXED ASSETS Land $ 40,271 Buildings 168,952 Improvements other than Buildings 1,013 ,071 Equipment 265,612 Construction in Progress 366,871 TOTAL GENERAL FIXED ASSETS £14~~~4ZZZ INVESTMENT IN GENERAL FIXED ASSETS FROM: General Revenue Fund $ 393 ,870 Special Assessments 1,224,063 Revenue Sharing 166,305 Capital Projects 70,539 TOTAL INVESTMENT IN GENERAL FIXED ASSETS ~14~~~4ZZZ The notes to the financial statements are an integral part of this statement. -35- EXHIBIT G-l CITY OF ST. JOSEPH, MINNESOTA STATEMENT OF GENERAL LONG-TERM DEBT December 31, 1983 AMOUNT AVAILABLE AND TO BE PROVIDED FOR THE PAYMENT OF GENERAL LONG-TERM DEBT: 1983 1982 NOTE PRINCIPAL Amount to be Provided in Future Years $ 51,601 $ 54,563 TOTAL TO BE PROVIDED $ 51 601 ~=~~4~~~ ====4=== GENERAL LONG-TERM DEBT PAYABLE: GENERAL LONG-TERM DEBT Contract for Deed Notes $ 51,601 $ 54,563 TOTAL GENERAL LONG-TERM DEBT PAYABLE £=~14~21 £=~~4~~~ The notes to the financial statements are an integral part of this statement. -36-