HomeMy WebLinkAbout2008 Audit ReportCITY ~~ T. J~~PF~, I~I~V~C~TA
CAI ~~~IA,NI~~ STATi~~IT A~V~
UPPL~~~I~T~~Y ~~VDRN~ATIC~N
~'~AR ~N~~ ~~MB~R3~, X008
~~T~ ~3F T. J~I~H, MINN~C~T~I
T~BLF ~F INTENT
DEMBR 3~1, ~0~8
INTR~DUT~RY ~TI~N
~~~T~D FFII~L BIND ADIINITRATI~N ~
F~NAN~I,A ~TI~N
~ND~PENDENT ~4UDfT~R' REPORT ~
REG~UIRED UPP~.EIV~ENT~RY NF~Ri~ATI~N
I~AN~CE~ENT~ DIUI~N AI1~D N~~.YI 4
BAS FINANIA~. STATEMENTS
~11ERNl~ENT-WIDE FINANI~~, STATEENT
TATEENT OF NET ASSETS ~ ~
STATEMENT ~F AT~I~IT~E ~ ~
FUND FINI~NIAL STATEMENTS
SALI~NDE SHEET-~11ERNMENTA~, FUNDS p
RE~NI~IAT~~! ~F THE ~IIERNI~IENTA~. FUNDS SALANE SHEET
T~ THE ~VERI~I~E~IT*Vi~IDE T~ATEI~IENT ~F NET ASSETS -
11ERNMENTAL ATIVTIES ~
STATEMENT ~F RE~IENUES, EXPENDITURE AND CHANCES I FUND
SI~ANE ~- VERNI~ENTA~. FUNDS ~,~
REC~NCI~~ATI~I~ F THE STATEMENT~F REVENUE, E,~PENDITURE,
AND CHINES IN FUND BALANCES ~F p'V~RNI~ENTAL FUNDS T~
THE ~VERI~MENT~IIVIDE T~ITE~iENT ~F ACTIVITIES -
OERN I~II~NTAL FUNDS ~5
ST~4TEMENT ~F NET ~I~ETS - PR~PRIETAR~' FUNDS ~~
ST~ITEMENT ~F REVENUES, EXPENSES ~I~ID CHANGES IN NET ASSETS
-~ PRGPRIETARY FUNDS ~~
STArTEIUIENT GF CASH FLC~ - PROPRIETARY FUNDS ~
NOTES TG THE F~NAhfCIA~ T~ITEI~IENTS 0
REQUIRED SUPPLEMENT~IRY INFORI'I~ATIGN OTHER THIN MD~A
BUDGET~IRYCGI~IPARION SDHEDU~.EyGENERA~, FUND ~g
I~fGTE TG THE REQUIRED aUPPI~,E11~ENTARY INFORIVIATIGN ~~
SCHEDU~.INO OF FUNDING PRGGRE5 ~~
C1T~ OF T, JOSEPH, MINNESOTA
TA~L~ OF CONTENTS CONTINUED}
DECEMDER ~, ~0~
F[NANCIAL SECTION (CONTINUED)
OTFfER SUPLEM~NTARY INFORMATION
OMDININAND 1NDI'VIDUAL FUND FINANCIALSTATEMENTS
COMBINI~IO BALANCE SHEET- NONMAJOR OOIIERNMENTAL FUNDS S~
COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND
CI~ANOE IN FUND BALANCE - NONMAJOR GOVERNMENTAL FUNDS ~7
STATEMENT OF REVENUBS, EXPI=NDITURES, AND CHANGES IN FUND
BALANCE - BUDGET TO ACTUAL ~ GENERAL F~JND ~
COMIINING STATEMENT OF NET ASSETS , NONMAJOR 'ROPRIETARY
FUNDS ~~
COMBIIIIING STATEMENT ~ REVENUES, E~CPENS~S AND CHANCES IN
NBT ASSTS - NONMA~OR PROI~RIETARY FUND 7~
COMBINING STATEMENTOF CASH FLO'S'S-NONMAJOR PROPRIETARY`
FUNDS 77
REPaRT RELATED TO ~v~r~~r~~u~~~D~~r~ ~an~~D~~~
REPORTS ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON
COMPLIANCE AND OTHER MATTERS BASED ON Alll AUDIT OF FINANCIAL
STATEMEII~TS PERFORMED IN ACCORDANCE KITH GO~I~'~f''~TA~IO~Tl~fO
S~A'~)~414D T8
SCHEDULE OF FINDINGS AND RECOMMENDATIONS
SO
REPORT OIV MINNESOTA LEGAL COMPLIANCE g~
NTRODUCTORY SECTION
CITY ~~' T, J~PH, i~IN~~TA
~~~T~D ~~~f~AL, ANA ~ID~N~T~ATI~N
D~~~B~R ~, ~~08
.'` .
n. x , ,r~. ,.x. •.t ,~1.,
.. k~~ j, ~.S~r
.`.`.`1 ~.~~~~,.; .`::;,.':.-i.~•"~:i~ "~•:tint'~,:~,',."~•`~•.'.,'.:~'~;..;',',r,'S."4,'.` .r .`!,: ,S
,.~, t- ,
, !
~•.l /+{
•l
:~:>~ ..T
:,:.~ *~:,,, h:~4=~ ~:~.-FPM :~:~.~~~~~::~`~*. ,
.1,,.,,. r~~'k'~.,, 1,... ..1..
Mayor Alan Raier January ~ao9
Council Member ~aleVVick January~0~~
Council Member lick cl~uft~ January ~OO9
Council Member Steve Frank January ~~~ ~
Council Member ~eneeyaniet~ Jan~ary~00
~I~~~T~IT~~N
City Administrator
Finance Qirector
.~udy UVeyren
Lori Bartlett
Appcin~ed
Appointed
~~~
T~1 ~~~ ~~ B~~C~ ~.~~~ ~~~1~ in~n~fo~~~~,
FINANCIAL SECTION
G
~~ ~~
~11~!'
C~Z',~5, ~:L)1~SL1~L~311~~5 ~.C~1}1~Qi'S
v~rv~wJ~rsona Il~n,c~m
~~~~~~~~~~r ~I~~~~Q~' ~~~I~~
I~or~orable lUia~rar and
Members of the CityCouncil
City of t. Joseph
St. Joseph, Minnesota
vUe have audited the accompanying financial statements of the gavernrnental activities, the businesses
type activities, each major fund, and the aggregate iemaining fund infarr~atian of the City of St. Joseph,
Minnesota, as of and far the year ended December ~, ~go~, vuhich collectively comprise the City's
bask financial state~ients as listed ~n the table of contents, These financiai staterr~ents are the
responsibility of the City of St. Joseph's rnanagen~ent. fur responsibilityis to express opinions on these
financial statements based on our audit.
eve conducted our audit in accordance vuith auditing standards generally accepted in the United States
of America and the standards applicable tD financial ~ud~t contained In C~OV~'r~r~?er~~ ~[.fG~l~l~?~
~ar~~ara~~} issued by the Comptroller general of the united States. `hose standards require that use
plan and perform the audit to obtain reasonable assurance about ~rhether the financial statements are
free of material misstatement. An audit includes exarnining, ~n a test basis, evidence supporting the
amounts and disclosures in the financial statements. An audit also includes assessing the accounting
principles used and significant estimates rude by management, as Drell as evaluating the overall
financial statement presentation vlJe believe that ouraudit provides reasonable basis forour opinions.
In our opinion, the financiai statements referred to above present fairly, in ail material respects, the
respective financial position of the governmental activities, the busines~type activities, each major fund,
and the aggregate remaining fund inforrnatian of the City of St. ~osephF Minnesota a of December 1,
gg8, and the respective changes in financial position and cash flavors, vuhere applicable, thereof for the
year then ended in conformity v~rith accounting principles generally accepted in the United States of
America.
In accordance v~ith ove~r~r~en~ ~udlfrr~ Sfan~ar~s, e have also issued our report dated March ~ ,
~~~~, on our consideration of the City's internal control over financial reporting and our tests of its
corr~pliance vuith certain provisions of laves, regulations, contracts, and grant agreements and other
matters, the purpose of that report is to describe the scope our testing of internal control Ivor financial
reporting and cor~pliance and the results of that testing, wind not to provide an opinion on the internal
control over financial reporting ar on compliance, That report is an integral part of an audit performed in
accordance Frith ~overr~r~er~~~~a~~~ir~ ~ar~a'arc' and should be considered in assessing the results of
auraudit.
,,~~ ~. ,. ~ ~ '~ 1.,t33-scar~R~l~'~~ ]..l.,i' 3s ~~ ~7~c~~~7~~~y~' c7FNixie ~ilfic't~!]~l~~ic~lll~,~sl a~~c~3~1~~~4ric~c ~~~~~~titr~~rlc c~4~i3~dc~~c~}{icf~~ ac:c~~~iz7rif~~; ;~~~~~ ccxi~~ttlc~~t~; ~~3~~77s.
~-~`~'~ ~
Honorable 1'Viayor and
ll~en~bers of the ~i#y o~ncii
~ityof #F Joseph
The mnagerent}s discussion and analysis, budgetary oor~p~rison 'rnforrnatian, and schedule of
funding progress on pages ~ to 1 ~, ~~ to , and ~a respec#ively, are nat a required part of the basic
financial statements bu# are supplen~en#ary information required by 1~,. generally accepted accoun#ing
principles, v11e have applied certain limi#ed procedures, vuhich consisted principally ~~ inquiries of
r~angement regarding the methods of measurement and presentation of the required supplementary
information, l~lov~ever} vie did not auditt#~e information and express no opinion on it.
~urauditvuas conducted for the purpose of forming opinions on the financial stater~ents that collectively
comprise the pity of #. Joseph's basic financial statements. The combining and individual financial
statements listed in the table of contents end included on pagcs ~~ to ~'7 arc presented for purposes of
additional analysis end are not a required part of the basic financial statemen#~ The cobining and
individual financial sta#emen#~ have been subjected #o auditing procedures applied in the audit of the
basic financial statements and, in our opinion, are fairly s#ated in ail r~aterial respects in relation to the
basic financial statements taken as a vuhole~
~ ~~~
fit, aloud, inneo#a
iVlarch ~~, ~~0~
~.a~~nAl~~r~ ~~~'
~~~
This ~a~ ~~ ~e~n ~~f Blare ln~~~fon~ll~r.
REQUIRED SUPPLEMENTARY INFORMATION
QTY ~F ~'. JDEPH~ MNNE~T~
~I~IN~IEi~lENT' ~~M~~N A~III~ AN~~Y~~
PEAR ENDq MEMBER ~, ~~~8
As management of the City of t. Joseph, Minnesota, ave offer readers of the City of fit. Jaseph's ~itY}
f~nanc~al staterr~ents this narrative overvieau and analysis of the f~nanc~al act~vit~es of the City of fit.
Joseph far the fiscal year endad December ~, 2aa8,
EINAi~IC1AL H~HI~IHT
Key financial highlights for~o~8 include the fallaaving:
~ The assets of the City of t, Joseph exceeded its liabilities at the close of the n~os# recent fiscal year
by $4,~ ~ ~,4~0, Cif this amount, ~ D,5,44a may be used to meet government's ongoing
abl~at~ons to c~t~~en and creditors ~unrestr~cted net assets}.
~ The government's total net assets decreased by ~ ,4~~ ,a88 from ~a~7 to gg8. The decrease is
due to reductions of local government aid, decreased development fees, contract payments made to
the City of t. Claud fore~ertreatment, and the converting ~ratermeters to radio read meters.
~ A of the claw of the current fiscal gear, the City of t. Joseph's governmental funds reported
combined ending fund balances of $7,g~7, ~ 4, a decrease of ~ ,~0~,~1 ~, The fatal amount is
available or designated for spending at the government's discretion unreserved fund balance},
~ At the end of the current fiscal year, unreserved fund balance tar the general fund vas ~,a~1,7~
or ~°lo of total general fund expenditures,
~ The City of t. Joseph's total long-term debt decreased by ~,9~~ ,2g~ during the current fiscal year.
~ERV~EI~U DF THE E1111~IVI~IL TATEI~E~T
This discussion and anal~rsis i intended to serve a an introduction to the City of t. Joseph's financial
taterr~ent. The City of t Joseph's basic financial statements comprise of three components:
~} government-vide financial statements, ~} fund financivi statements, and ~} notes to the financial
statements. This report also contains other supplementary information in addition to the basic financial
statements themselves.
ove~nn~~nt~lNide Financial tate~nents. The government~~ride financial statements arc designed to
provide readers vvith a broader avervievv of the City of t. Joseph's finances, in a manner similar to a
private-nectar business.
The statement of net assets presents inforrr~atian on all of the City of t. Joseph's assets and liabilities,
with the difference between the two reported as net assets. fiver time, increases or decreases in net
assets may serve a a useful indicator of avhether the financial position of the City of t. Joseph is
improving ardeter~orat~n.
The statement of activities presents information shoring ha~u the govrnrr~ent' net assats changed
during the mast recent fiscal year All changes in net assets are reported as soon as the underlying
avant giving rise to the change occurs, regardless of the tiring of related cash flaws, Thus, revenues
and expenses are reported in this statement for some items that avill only result in cash fla~vs in future
fiscal periods ~e.g,, uncollected taxes and earned but unused vacation leave},
bath of the govermm~tRvuidelinancial stataments distinguish functions of the City of fit, Joseph that are
principally supported by taxes and intergovernmental revenues ~governrr~ental activities} franc other
functions that are intended to recover ail or a significant portion of their costs through user fees and
charges {business-type activities}. The governmental activities of the City of fit. Jasaph include general
gavernn~ent, public safety, public vuork, economic develaprer~t, and culture and recreation. Tha
business-typo activities of the City of fit. Jasaph include the vuater, sanitary seuver, storm avatar, refuse,
avatar access and saucer access servicest
~~~
CITY ~F QTY ~~~P, i, MINhI~~TA
~IANA~M~NT' DI~SSI~I AND ANALYSIS ~~NT~NUD~
YEAR ~ND~D D~~IVIB~R ~~ ~4~8
OVERVIEW OF THE FINANC1Al. STATEMENTS (CONTINUED}
overnmentW'ide Finanoiai Statements Continued}
The governr~ent~wide financial staterr~ents include not only the City of t, Joseph itself known a the
primary gavernn~ent}, but also a legally separate conornic Development Authori#y of St. Joseph,
Fir~anciai information far this campenent unit is blended ire the financial inf~rn~ation,
The government-wide financial statements can b found on pages 1 ~M19 Qf this report,
Fund Finanoiai ta~terx-ents. ~ fund is a grouping of related accounts that is used to maintain control
over resources that have been segregated far specific activities or objectives. The City of t. Jaseph,
lilte other state and local governments, uses find accounting to ensure and demonstrate compliance
with finance-related legal requiret~ents, X111 of the funds of the City of t. Joseph can be divided into two
categories: governmental funds and proprietary funds.
overnmentai Funds. ovrnrr~ental funds are used to account for essentially the same functions
reported a governmental activities in the government,wide financial statements. However, unlil~e the
governmentµwide financial statements, governmental fund financial statements focus on near-~terrn
inflows and outflows of spendable resources, as well as on balances of spendable resources available
at the end of the fiscal year, Such infarrnation may be useful in evaluating a government's near-term
financing requirements
because the focus of gavernn~ental funds is narrower than that of the government~wide financial
staterr~ents, it is useful to compare the information presented for governmental funds with similar
~r~formtion presented far governmental actrv~t~es ~n the gavernmentRvu~de f~nanc~al statements, By doang
so, readers may better understand the longterm impact of the government's nar~tern~ financing
decisions, both the governmental fund balance sheet and the gavernrnental fund statement of
revenues, expenditures, and changes in fund balances provide a reconciliation to facilitate this
comparison between governmental funds and governmentwvuidegnvernmental activities,
The City of St. Joseph maintains thirty-four individual governmental funds. Infarr~ation is presented
separately in the governmental fund balance sheet and in the governmental fund statement of
revenues, expenditures, and changes in fund balances for the general fund and ,~, impraven~ent debt
service funds, all of which are considered to be major funds. Data from the other governmental funds
are combined into a single, aggregated presentation, Individual fund data for each of these nonmajor
governmental funds is provided in the farm of combining statements elsewhere in this report,
The pity of St. Joseph adopts an annual appropriated budget for its genera! fund. A budgetary
comparison statement has been provided for the general fund page 8~ to demonstrate campfiance
with this budget,
The basin governmental fund financial statements can be found on pages ~0~ ofthis report,
Proprietary Funds. The City of St. Joseph maintains proprietary funds. enterprise funds ere used to
report the same functions presented as business-type activities in the government~wide financial
statements. The pity of St. Jaseph uses enterprise funds to account for its water, sanitary sewer, storm
water, refuse, water access and sewer access activities.
l~raprietary funds provide the carne type of information as the government~wide financial statements,
only in more detail. The proprietary fund financial statements provide separate inforrr~atian for the water,
sanitary sewer, and storm water, all of which are considered to be major funds of the pity of t, Joseph,
Data from the other proprietary funds are combined into a single, aggregated presentation. Individual
fund data for each of these nonr~ajor enterprise funds is provided in the form of combining statements
elsewhere in this report.
~~}
CITYO~ ST. JOS~PH~ i~iNN~T`A
I~iANAO~I~~NT' DISCUSSION AND AN~~.YI ~CONTINU~D}
SEA ~ND~D D~C~i~BE~ ~, X008
OVERVIEW OF THE FfNANCIA~. STATEMENTS {CONTINUED}
Proprietary fund ~Cor~tinued}
The basin prapriet~ryfund financial statements can be found on pages 2~-0 of this report,
Notes to the ~'I~anclal Staten~er~t. The Hates provide additional informtian that is essential to a full
understanding of the data provided in the government-vide and fund financiai statements. The notes to
the financial sttements can be found an pages ~~~7 of this report.
Other In~rr~atl~n. The can~b~n~n statements referred to earner ~n oonnect~on with nanma~ar
governrr~ental and enterprise funds can be found an pages ~ ~~~ and 7-~~T, respectively, of this report.
Comparative Data. 111~hile comparative data i Hat illustrated in this report, comments throughout this
narrative end avervie~vgill discuss significant changes from the prior year,
C0~'~RNENT-~II~ID~ ~IN~INCIA~. ANAI~'yI
As noted earner, net assets may serve over tine as useful indicator of a gavernn~ent' financial
position. !n the case of the City of t, Joseph, assets exceeded liabiiities by ~4, ~ ~,4~'o at the Blase of
the rr~ost recent fiscal year
~y far, the largest pardon of the City of St, Joseph's net assets reflects its investment in capital assets
{e,g~, lend, buildings, machinery and equipments net accumulated depreciation, ies any related debt
used to acquire those assets that is still outstanding, The City of t, Joseph uses these capital assets to
provide services to citizens; consequently, these assets are not available far future spending, Although
the City of t. Joseph's investment in its capital assets is reported net of related debt, it should be noted
that the resources needed to repay this debt must be provided from other sources, since the capital
assets themselves cannot be used to lrqu~date these l~ab~l~t~es~
~~~ Assets
Gouernmental Activities
Business-Type Activities
Total
2408 2557 2008 2147
~ur~er~t ar~~ Otf~er Assets
Capital Assets
Total Assets
Current Liabilities
Long-Term Liabiiiti~s
Total t.iabilitie
Net Assets
invested ire apitai Assets
Ne# of Related ~e~#
Restricted
Unrestricted
~'otai Net Assets
2[30 ?~]E17
~ 13,108,498 15,107',551 ~ 3,554,798 ~ 4,977,161 ~ 16,673,296 ~ 25,144,212
12,902,154 13,458,363 27,21$,250
~1i~1151 Y/ it 27,786,984
h ~ ____............ 40,120,404 41,195,347
26,910,652 28,575,414 35,783,048 32,764,145 54,793,74Q 61,339,55
409,021 3,380,393 509,421 638,178 918,042 3,988,171
13,721,$96 13,436,3$4 8,441,292 $,401,045 21,763,188 21,817,430
14,130,917' 16,765,777 8,555,333 9,039,224 22,0$1,230 25,856,001
5,854,722 5,347,849 18,824,249 19,449,984 19,149,771 24,417,793
4,397,259 11,415,525 - - 4,397,259 11,D16,026
1,531,754 X4,575,198} 3,448,486 4,G74,937 15,665,x40 99,739
~ 11,879,735 31,808,G37 22,232,735 $ 23,724,921 34,112,470 ~ 35,533,668
An additionai portion of the City of fit, Joseph's net assets {~°I~} represents resources that are subject
to external restrictions on hoer they may be used, The remaining balance cf unrestricted net assets,
~~,~,~~0, maybe used to meet the City's ongoing obligations to citizens and creditors,
At the end of the current fiscal year, the pity of t, Joseph is able to report positive balances in all three
categories of net assets far the government s a uuhole, as v~ell as far its separate business-type
activ~t~es~
~~~
1TY o~ T. JD~PH, IINN~TA
I~ANA~IVI~NT' DI~t.J1~N AND ANA~YI ~~IT~NI~ED~
YEAR ~ND~D D~C~1V18~~ 3~, ~~
GOVERNMENT-WCDE FINANCIAL ANALYSIS (CONTINUE)
hi•et Assets ~o~fir~~ed~
The government-typo activities had ~ deficit in unrestricted net assets for the previous reporting yeas,
The net asset category restricted end unrestricted show positive balances in the governmentwtype
activities for ~g~. The pity changed hove they reported the net assets available tar debt obligations
from restricted to unrestricted net assets based on current CAB standards causing an unrestricted net
assets deficit in the governmental activities far ~gg7',
There was ~ ~1~ decrease in the fatal net assets far the business~type activities due to the pity of fit,
Joseph converting to a radio read water rneter system, and paying the pity of fit. aloud far design casts
associated with thewastewatertreatrnentplant construction and Sauk Riverfining repair costs.
overnmen#l A~~~vi~ies. governmental activities increased the pity of t~ Joseph's net assets by
~~ ,0~8 thereby accounting for 5°l~ of growth in the net assets of the pity of t, Joseph. The most
significant change in governmental net assets is due to the largo increase in capital assets under
infrastructure along with related deterred special assessments. ~Jnder tali accrual accountingt current
gear infrastructure capital outlay, vuhich was funded during the year, will be expensed over its useful life.
Deferred special assessments will recognise revenue when measurable and available.
~usinss~~ye ao~ivi~ies. Iusiness-type activities decreased the pity of t. Joseph's net assets by
1,~4, ~ 8~ accounting tar 10°I~ of the decrease in the government's net assets, The water, sanitary
seiner and starrr~ water utilities contributed in the decrease in net assets in the proprietary funds. The
largest portion vt the net asset decrease in the water utility is a result of the pity switching water meters
franc a rnanual reading system to an electronic radio read system, lasers were not charged fortheirnew
radio-read meters, The conversion of meters was funded through combination of pest end present
user fees. The efforts will reduce future operational casts for the water utility and increase water use
accountability
In addition, the sanitary sewer utility also significantly impacted the total net asset decrease. The
sanitary sewer utility partly contributes to the t, Maud llvastewater Treatment facility ~wTF}through
contracted user fees. The UV~~ is in the design phase to rehabilitate, upgrade and expand the
current treatment facility. The pity of t, Joseph is responsible for 1 g,44°l0 of the cast to this project. In
~aa8, the pity of fit, Joseph paid tortheir portion of the engineering design fees.
~~~
~~TY DF T. J~~I, i~~I~NE~T~
MANA~l~NT~ D~U10~ BIND ANALYI ~~NT~NU~D~
YEAR ~ND~D ~~~I~B~F~ ~~, ~~8
GOVERNMENT-WIDE FfNANCtAL ANALYSIS (CONTINUED)
Change in Net Assets
overnmen#al f3usiness,Type
Activi#ies Activities Tote
~~~$ 2007' 248 2007 2408 2447
Revenues
Prpgram revenues
Charges for Services ~ 4$2,728 $ 630,589 $ 1,3$3,766 $ 1,856,22 $ 1,860,494 ~ 2,486,61 ~
Opera#ing Gran#s and Contribu#ions 132,458 194,424 ~ - ~ 32,058 194,020
Capital Grants and Cantrif~utians 515,541 3,463,898 10$,704 281,685 624,245 3,345,5$3
General Revenues
~ropertyTaxes 1,630,928 1,383,287 - - 1,630,928 1,383,287
Tax increment 84,97'0 83,4D3 - - 84,976 83,403
Sales Tax 241,016 238,149 912 16,359 241,927 254,508
Franchise Fees 72,903 105,311 - - 72,903 105,311
Unrestricted State Aid $2$,687 97'1,311 ~ - 828,687 971,311
Unrestricted investment Earrings 331,322 484,595 156,22 241,878 4$7,944 726,471
Loss on Sale of C~pitel Assets 11,569 2,041 - - 11,069 2,041
Uther Gene~af Revenues 6,141 - 55,819 12,823 61,920 12,823
To#ai Revenues 4,347,$27 7,166,644 1,705,823 2,448,765 6,453,50 9,666,369
Expenses
General Government 669,194 531,795 - - 669,190 531,796
Public Safety 1,443,572 1,352,891 k - 1,403,672 1,352,891
Public Vllorks 1,551,049 1,683,321 - 1,551,049 1,583,321
Culture and Recreation 13$,272 241,290 - - 138,272 241,29D
~~Dnorni~ Development 301,347 120,852 - - 301,347 120,852
in#erest on Long-Term Debt 443,174 745,477 - - 443,174 745,477
l~Iater - ~ 1,441,345 845,148 1,441,345 $45,14$
SanEtary Sewer - - 943,367 589,352 943,367 589,352
Storm Water 4 - 134,612 78,491 134,612 78,091
Refuse - - 255,678 270,8$4 255,578 27'0,8$0
Sewer Access - - 193,032 193,032 -
Total expenses 4,5D6,704 4,675,626 2,968,034 1,783,471 7,474,738 6}459,097
increase {Decrease} in Net Assets Before Transfers X158,877) 2,480,978 X1,262,211} 625,294 {1,421,08$} 3,06,272
Transfers 229,975 {$65,533 X229,975} 865,533 -
Char~~e in Nef Assets 71,498 1,615,445 {1,492,186] 1,494,$27 X1,421,0$8} 3,140,272
Ne# Asse#s -Beginning of Year 11,808,637 30,193,192 23,724,921 22,234,094 35,533,558
, 32,427,286
,,~„
Net Assets - Errd of Year ~ 11,879,735 $ 11,80$,637 ~ 22,232,735 ~ 23,724,921 34,112,470 ~ 35,533,558
~~~
~~1 ~~~~ HAS ~~~Cl L,~~~ ~~~~~ ~I~~~~~f~I1I~~1~
+ITY +F T. ~1EP~1, MINNE~T~
I~A~'EMENT' ~~~JIN ~~~ ANLY~ ~{~~1T1N~1E~}
YE-~1~ E~JDE~ a~EI~ER1, ~~~8
G4VERiVMENT-WIDE FINANCIAL ANALYSIS {CONTINUED)
Change in Net Assets {Continued)
E~C~"ENE ADD P1~C~Arl~ RE.E~IIE - ERN~IE~T~L
A~TII~~TIE
~ R~vr~u
~~, ~~
~~,~}0(~
4~~,~~~
;~
xk
~.
-- _ _
r --
~~(~,~~
i 1 ~j
~ene~al Pudic safety Pubic Works ~conon7ic Culture and Interest on
Gov~rnme~t De~relo~ment Recreation I_or~~g-Term
Debt
E~IENUE B'~ +U~E - 1JE~NIE~JTAL ATI~JITIE
erceral ~v~rnm~ent
~~1~
Publica~ty
-- f~ 11 °1~
~~d ~
p
1,~ ; r
~F`u
;~.,
Pub1MC Works
1 ~~10
~cor~omic D~v~lopmer~t
~~
~~1~
culture end Recreation
°l~
~er~eral Revenues
~4°l~
~~~
~~~ ~~~ ~~ ~~en L~~ ~~ank ~nten~fonl~y,
QTY F T. ,~E~'hl, I~IN~JEC~TA
~IANAEI~EI~T' ~1!~IN A~ h~ALYI ~~i~TiN~JED
YEAR. Ef~a~~ D~EI~~ER ~, ~~
GOVERNMENT-1NIDE FINANCIAL ANALYSIS {CONTINUED}
Charge ire Net Assets (Continued}
EPEE Ah~~ ~RRAt~ REIIEN~E - ~l~IhlE-TYPE
ATI'~IIT1E
~,~~~,~~
1,~~~,~~C1M - - --_
^R~~enue
~~,~C~~
^ Expenses
~(~,~4
~~s '4
;~:~:,
~ ~~ ti~~~
{ T
'~~u~ti
'~. C ~.'
~+F ~4`
i~_ _ _ _ _ _ _ - _ .~.~.
1~y~~tr ~na~ry~ term Refine 'deter ever
e~rer 'deter access A~ess
RE'~EN~E BY SURE - N~JE~TYPE A+TIITIE
V'Va~~r Access
°I~ Sewer Access
°~a
Refuse
7°l0
Water
°1~
St~orr~ ate~°
°l~
~~~_` Sanitary Sever
7°Io
~~~~
~~ Page ~~ Been Le~~ Bunk ~n~enf~onally.
CITY F T. ~~~~l~, ~~~~T~
1~~~~~lvl~~uT~ l~~u~o~~~A~~~~
a~cl~lv~ll~~ ~~, ~a~~
~IN~NIAL ANALYI ~~ THE CITY AT THE F~~a L~V~L
The financial perfarn~ance of the pity of fit, Joseph as a uvhole is reflected in its governmental funds as
~vell, As the pity can~pleted the year, its governmental funds reported a corr~bined fund balance of
~,g7, ~ 4, revenues far the pity's governmental funds ~rere b,~~3,~78, ~rhile fatal expenditures
sere $~,~,~~, Tl~e excess of expenditures over revenues i due to significant pity investr~ent in the
local infrastructures and the impact of the reduction of Focal Governrner~t Aid and declining
development revenue ~uhich resulted in the itysperrding dovun the capital outlay reserved balance,
A un~rary offinar~cial highlights fareach rna~orgovernmental fund follo~rs.
EN~RAL FUtU~
The genera! fund is the chief operating fund of the pity of t. Joseph, At the end of the current fiscal
year, unreserved fund balance of the general fund ors ~,01,75~. As a rneasure of the general fund's
liquidity, it nay be useful to compare both unreserved fund balance to total fund expenditures,
unreserved fund balance represents 4°lo of fatal general fund expenditures, fund balance in the
enerl Fund decreased by $87',?9~ in ~gg8, The decrease vuas largely due to the decrease 'rn
development revenues end the overnar`s unallotment of local gavernn~ent aid ALA}.
general fund expenditures ~vere lov~erthan budgeted by 3~G,3g7. To compensate the ityfora less of
state yid, the pity council approved removing the oapital expenditure budget for ~gg8. capital
expenditures made ~n ~Dg~ uvere nude against the general capital outlay reserve fund. Further, the
council decided to not hire a quarter tine police officer and community development director as vuas
budgeted in light ofthe current economic conditions of not only~he local area, butthe nation,
The follo~ring schedule presents a urnmaryaf general Fund l~evenues~
Tahl~ A-~
general Find ~~venues
Fund
Taxes
Sales Tax
special Assessment
Franchise Fees
Licenses and ~'erm~ts
lnterovernrnental
Charges forservices
Fines and Forfeits
lifts and Contributions
Interest
Miscellaneous and ether
Total general Fund revenue
Year Ended Change
December 31, December 31, Increase
208 2oD~ Decrease} ~er~ent
$ 1,46, ~ ~4 ,
$ 810,58 IJ~Illhi i~~Yl Y~I -'-'-"""'"-
X3,238
2g,g °lo
,~~~ 9S6 1,53 196. ~
104,65 ~ 05,311 X543} ~0.~
~ 13,9fi 1 Z~~,305 X153,394} X57.4}
894,320 1,~~
5,~'2 X131 }4
05 ~1Z.8}
20,43 7
~~-}y
222,51 U ^
~~ f r~ f ~~ ~1 .~~
68,126 79,83' ~11,7~2~ X14.7}
3,533 - 32,33 100.0
46,483 66,703 ~20,2~0} ~30.3~
24,868 38,313 13,446 X35.1 }
2,639,365 ~ 2,17,778 ~78,4~ ~} X3,0}
~11~
QTY ~~ T~ JC~~PH~ l~1NI~F~TA
Nl~i~~l~I~ENT' ~I~~~N Ah1D N~LY~
D~~N~~R~~, ~~OS
~N~~A~~. ~Ui~lD {~NT~i~IU~~}
The following schedule presents ~ summary of general fund expenditures:
Year Er~dad Char ge
~eoember ~~, December ~1, ~ncr~ase
~~08 2~~~ ~ecre
ase Percent
p p r~ }
-~+nCirCt~
VY~irnr~~irlk 1
~
~
J
V,t
J
ti1~ ~
+1
~J}t-J "'
~
I V
,~f ~~~ ~/4
++
~41 b~1~ s{~If~+t~ ~~
/
/
~
(
A
l,Ir. \f~~~+~~ /
(
~
~,L. i.~~~~o t
~lf,~~~ ViIJ
~~blic llVorks ~~~,712 4~,3~~ 481391 ~~.~
ult~are and Recreation ~ 7'x,288 138,G4G 3,G4~ 4.~
capital o~t~ay 1 ~,~ ~~ 2~,9~ 8 ~ ~,9~ 6 {45,8}
Total ~xperditure $ 2,444,593 2,389,E ~8 15,4~'S 5.9
ene~l Fund udget~~y W~g~iights
fiver the course of the year the pity revised the annual operating budget ~eviian included allocating
funds far new stree# light ~hr~tmas decorations, contracting for an ~conamic Developmen# D~rec#or
versus hiring a fuil~#~n~e omr~uni#~ ~eveiopment D~rectar and reserving capital outlay budgets
Hrtor~cally, the Ety has minimal budget amendments during the budge# year.
+ ~lotual revenues were $x,95 less than expected duo to decreases in development fee revenue
and LEA unallotment.
~ Actual expenditures were ~~4~t~97 fens than budge# as ~ result of removing the a08 capital budget
and not h~r~ng two err~playees.
C.~, I~~~~I~IENT ~~N~ ~F ~00~ ~~~7 ~R111F F~~~
This debt service fund i used to pay the debt assacia#ed with the 204 band issue ~2~a~ Street
ln~provements}. In 2a~8, the fund ~ fund balance decreased by 55,8~~. The revenue expected to be
received for the ~DD~ lrnpravement lands includes special assessn~entsF Special assessments arc
certified to Stearns bounty with collections to be received over a set number of years with property tax
payments, Property a~rners may prepay their special assessments at any time and typically da as
properties change owners The 2~0 bands did receive several prepayments from property owners;
therefore, current year revenues will be louver than the current year debt payments.
.~~ IfV1PR~V'~i~i~~VT B~N~ ~F ~~~SC DF~T ~~111'~ FtJ~D
This debt service fund is used to pay the debt relating to the 0~5~ band issue ~1Varthland Heights and
transportation studies}. The 2a08 fund balance of this debt service f and decreased by , ~ 04 due to
several special assessr~ents being prepaid along with a significant amount of the expected federal
grant rein~burser~ents paid in prior years,
.o. l~11~MEl~T i~~~~ o~ ~~o~~ l~l~~T vl~ ~~~~
This debt service fund is used to pay the debt payments Pram the ~a07~1 bond issue {2~a? street
improvements}. fn ~~a8, the fund balance of this fund decreased ~~9,555~ This debt service fund is
partly funded by developer special assessrr7nt, The developer failed to pay the second half portion of
fhe special assessments due in 2~~8. The developer i working with the pity to establish a finance
mechanisr~ that will keep the assessment currant in 2QD9 and the years to fof low.
{~~}
CITY~FST.J~P, MINN~S~TA
IANA~iUi~NT' D~USS~~N AND ANALYSIS
DEEIV~D~P 3~, DAB
PR~P~~TA~YFUNDS
The City of t, Joseph's proprietary fund statements provide the same type of infarn~ation found in the
government-wide financial statements, but in mare detail. The unrestricted assets of the proprietary
funs increased oven!!, even though some funds ended the year with laver net assets The follovuing
paragraphs provide a brief financial overview of each ma~ar proprietary fund,
V1~AT~~ ~NT~~P~~S~ F~JND
The waterfund i used to account for the operations of the City's water utility In ~Og~, the water fund's
net assets decreased ~~7,1 ~' due to the City converting the meter reading system fray manual read
water radio read. The meter conversion was funded through water revenue consisting of past and
current user fees.
SANITARY S~I~V~ ~NT~PRIS~ F~lND
The sanitary sewer fund is used to account far the operations of the City's sanitaryseweruti~ity. in ~ga8,
the sanitary surer fund s net assets decreased ~~,0~ due to payments made to the City of t, Claud
far design costs associated with the fit. Cloud vVastewater Treatment Facility upgrade, rehabilitation
and expansion. t. Joseph also reimbursed the City of St. Cloud their portion of the repair costs to the
Saul diver interceptors These costs were paid for with current utility user fens.
TC~R~i VI~ATFI~ NT~RPRI~ FIND
The storm water fund is used to account for the operations of the City's storm water utility. in ~~OS, the
storm water fund's net assets decreased 6~,33~ mainly due to transfers made to governmenta! funds
to reimburse the funds for costs relating to storm water
CAP~TAI~ASS~TS AND D~BTADI~IINIST~AT~C~h~
ap~~al Ase~. The City of tF Joseph's investment in capital assets for its governmental and
businessµtype activities as of December ~~ , ~a~8, an~aunts to ~ g, ~ 4g,~T~ {net of accumulated
depreciation}. The investment in capital assets includes land, buildings, improvements, machinery and
equipment, furniture and office equipment, infrastructure, and construction in progress. Most of the
increase in the business-type activities i attributable to the construction of a water filtration plant and
the extension of water and surer utilities The largest increase of capital assets in the gavernrnental
activities is in the infrastructure and construction in pragress for street reconstruction projects and
residential development areas.
Governme~tai ~USin~SS-Tyke
ACilVlti~S AC;IVItE~S ~~t~~
~~~~ ~,,,~~~,~~~,~~~„~~,.,, ...2407 ~~~~ ~~~~ 240$ 2047
land $ 346,2; $ ~ 346,25$ ~ 2,1$4,358 ~ 37'7,882 ~ 2,510,616 724,140
Con59ruc~ior~ in Progress 1,576,464 2,659,289 37'7,$82 10,423,850 1,954,346 13,583,131
In9rastruct~re 14,2$0,$64 12,$$3,92$ - - 14,280,864 12,883,928
E~iant ar~d Lit~~s - - 20,666,$14 99,306,694 24,666,814 19,346,094
Buifdin~s 2,4~i6,309 2,442,546 $,149,011 1,306,T04 14,615,324 3,749,249
Improvements 488,797 497,448 - - 488,797 497,048
Machi~~e~+ and ~qui~ment 2,609,338 2,352,398 815,147 513,676 3,224,485 2,866,074
Less: Aoc~mulated I~epreciatio~7 ~8,865,$76~ ~7,733,095~ X4,754,962} X4,149,822} {13,624,838 X11,874,917}
~`otal ~ 12,902,954 13,40$,363 $ 27,218,254 27,786,984 ~ 40,12Q,444 ~ 41,195,347
additional information on the City of fit. Joseph's capita! assets can be found in Hate an pages ~4-4
of this report. Total depreciation expense for ~aa8 was ~ ,~T~',~18 including enterprise funds.
{~~~
CITY ~F T~ J~l~, iVINN~~OTA
~i~AN~~~~IT' D~UION l~ND ANAY~
DE~IB~~ ~, ~~~
CAPITAL ASSTS ADD DEBT ~IDI~I~I~~T~~TI~I
~.ong-Terms Debt. At the and of the current fiscal dear, the pity of St, Joseph had total banded debt
outstanding of 21,5 a,4, Of this amount, ~ ~,4a,a00 corr~prise debt backed by the full faith and
credit of the government. The remainder of the City of St, Joseph's debt represents bands secured by
specified revenue saurcos ~i.e., utility revenue bonds. ether long-term debt includes loans, Hates and
campensat~d absences payable
An illustration of the pity's long-farm debt is included in the falla~ring table,
Percentage
~ODB 207 Change
~,
COV~I~NI~I~I~TAL ACTIVITIES
general Obligation Bonds 1,05,Q~0 ~2,D00 ~ g.S °lo
,a« Specral Aessr~ants ~~,39~,Dg0 ~3,89~,~D0 ~~8~0}
i~evenu~ ~ai I~ ~~C1~I~ ~ ~~+J~,a~~ ~ ,~\1~1~~~a ~il~~
Loans Payable ~8,8~~ X7,447 ~49.8~
Compensa#ed Absences Payable 2a~,a ~8,~85 ~.8}
Fatal ~ 3,749,92 $ ~G,3D1,3~ ~~ 5.7}
B~SIN~SS~TY~ ~ICTivITI~S
Reuen~e Bands Payable 8,294,423 $ 8,~~5,OOa ~.~~°I~
Lawns Payable 44,00 ~ 3~,9D0 ~8.7~
Compensated Absences Payable 89,E 57 ~~}473 ~1.b}
fatal 8,427,89 8,827,473 X4,5}
The pity of St. Joseph issued new banded debt of ~~a,aaa or ~°I~ of the total debt during the currant
fiscal year for genera! capital outlay expenditures. wring aa~, the pity issued the falla~ving debt:
~ $~gD}aaa general obligation quipn~ent certificates to purchase general capital outlay used far
general gavernmant, public s~etynd public ~rork,
The pity paid down the banded debt by , ~ ,000 to and the year decreasing the banded debt by
FB~,aaa.
The pity of t. Joseph maintained a ``BIB+" rating from Moody' far general obligation debt in aa8.
According to Moody' Municipal credit report, the pity's solid bond rating is due to a stable and diverse
local econamyvuhich continues to expand, and the pity's conservatively r~anaged financial operations.
Minnesota State Statutes lir~it the amount of net general obligation debt a gavarnmental entity may
issue to °l~ of its taxable market value Nat general obligation debt i debt solely paid for, Frith limited
exceptions, by ad valorem taxes. The current debt lirr~itatian far the City of t. Joseph is 8, ~ 99,339
~rhioh i significantly in excess of the pity of t. Joseph's outstanding pure general obligation debt.
Additional information on the pity of St. Joseph's longWterm debt can be found in Hate on pages 45W~0
~~4}
IT~~F T.,~~PI~I, I~~NN~~TA
1VlANANT~ DfUf~N AND ANALYSES
D~~~B~R~,0~8
~~}N~I'~l F'AT~RS AND NEST Y~A~' ~UDET AND AT
In earlyogt the Citycompleted the band rating process and received an i`A" hand rating, Priarto as
band counsel indicated that the City was close to the ;'A" rating and encouraged the City to rate the
~O~g Debt. The rating was completed by Standards and Poor and #hey cited the fallowing ratianafe fay
the "A'} rating;
1. Proxin~ityto St. Cloud which provides a diverse employment base
. Continuous prapertytax base growth.
. Strong reserves.
The City will continue to monitor financial polices and management practices to net only retain the new
rating, but hopefully increase the rating.
Illlhil the housing market far newly constructed homes has significantly declined, the City of t~ Joseph
anticipates continued growth in both residential and commercial. The construction of a new community
school ~~M~}gill spur development adjacent to the school site a it is open space and a developer has
already preliminary platted a tract far mare than fag homes. The new school opened farthe aa8-009
school yearr
The City also anticipates con~rnerciallindutrial development with the expansion of the Industrial Park
and planning initiatives far downtown revitalization. The first downtown project began construction in
~Og with completion in X008. The project consists of a corr7mercial and residential mixed~use facility, In
X008 the City approved a development agreement for the first phase of a CentraCar medical clinic
located on one of the rnajar commerce corridars~ The clinic gill provide primary care services for all
ages, The first phase will include space far up to seven physiciansfprimary care givers and is
anticipated to open in the spring of Haag. In early ~0~9, the Council approved a development agreement
far the Central Minnesota federal Credit ~Jnion to construct a second branch in St, Joseph. Tho new
branch will be located on the same commerce corridor s the new medical clinic and is expected to be
completed late X009,
The City is working with a major retailer to construct a large retail facility near the new medical clinic.
The City is hopeful that a development agreement gill be executed late ~a0g for construction in 2a~a.
The City Council has also identified an area near Interstate 4 for future commercial development and
will focus on planning the infrastructure expansion and land use during ~aa9. This area will be adjacent
to the Stearns County project realigning County Rand ~ which should be under construction in ~D~ a.
The cormerce potential at Intersection and 194 and CR ~ is an opportunity far fit. Joseph to diversify
the tax base.
Property tax reforms and budget deficits at the state level hive significantly ir~pacted gavernrnent aid
payments made to the City further, the taxable market value increases have slowed dawn greatly Tho
Council continues to budget conservatively to r~aintain a steady tax rate. As the Nation's recession
continues, the City is rnanitoring the federal and state legislation with the impacts an the local
government. The City Council has implemented a hiring freeze and far the year ~ag9 all employees
received a a°1p pay increase In addition, the City removed capital budget line iter~s and restricted the
purchase of capital items.
The City consistently reviews the fee structures far all licenses and permits and services to recover
appropriate casts in lieu of raising property taxes.
{~~~
CITY ~F T. J~~, i~INNETA
IANA~i~NT~ DIUI~N AND ANAL,Y~
DC~~iB~R 3, ~~OS
~N~II~~ FAT~~ AND N~~T Y~A~' ~UDBT AND SAT ~~}NTINU~D~
The City's rate structure for the utilities is established to help cover not only the operating casts but the
depreciation as well. vlfater and sanitary sewer is charged from the first gallon used with a separate line
charge to recover current and future capital replacements. This structure began in g~~ to promote
watercanservation, The Citymonitar the rates annually and will eventualiycaverdepreciatianfully,
In ~aa, the City switched fram a manual water meter read system to a radio-read syter~. It i
anticipated the radix read system will retard water consumption eta higheraccuracy level resulting in a
higher pumping verses billing ratio, The radio read system will also reduce staff time to read and record
the usage readings. The new system measures the waterconsumption in gallons versus cubicfeet,
The City of St. Joseph is part of the St~ Cloud vl~astewater System which provides sewer services to the
six area cities, The wastewater system i managed in past by the St, Cloud Area vUastewater Advisory
Committee ~CAVI~AC} of which each city has representation. SCAINAC has identified the nand to
expand the treatment portion of the wastewater system and has been warping on the expansion needs
far the past gear. The imprQVernents will consist of three phases -design, construction and
rehabilitation with an anticipated total cast of ~ ,~aa,a0a. in ~aa8, the design phase began, Based on
a joint agreement, St. Joseph's apportionment of the design phase was ~~G,~?'~, which is
predon~ir~ately engineering casts associated with the design. During ~aa~ the Cities began discussing
financing alternatives far the proposed irr~praverr~ent, In anticipation of the needed expansion, the City
has been charging a sewer access fee for all new connections to the wastewater system. These funds
will be used, in part, to fund the expansion. Based on cast estimates, St. Joseph will be responsible far
approxin~ateiy b,g~a}o00 far phase two and three,
As part of the vl~astewater Treatment System ~1se Agreement with the City of St. Claud, each City is
responsible to pay operation, repair and replacement costs far their portion of the St. Cloud Sewer
Interceptor System ~S15}. The i includes lift stations and sewer mains. In ~aa8, the City of t. Joseph
paid the City of t. Claud ~4Q,aga to line the sewer infrastructure in the Saul ~iver~ St. Claud
conducted a study of the 15 in BOOB to determine the condition of the system Several interceptors
were found to be faiaing or collapsing. t, Cloud initiated needed emergency repairs, Further, t, Claud
has been in the design phase to upgrade the Packwood lift Station. t. Joseph and 111~aite Park have
been involved in the planning process since they are bath users to the lift station Construction for the lift
station upgrade is expected to begin in ~Qa9F St. Claud will issue debt in ~aQ9 to cover the repairs to the
i5 and Packwood lift Station. Each area city will be assigned a debt schedule to pay t. Claud far their
portion of the casts,
Ail the factors were considered in preparing the City of St. Joseph's budget and fee schedule for the
2Q0 and future reporting years.
~EQDET F~ ~NF~IATI~N
The financial report is designed to provide general overview of the City of St. Joseph's finances for all
thane with an interest in the City's finances. questions concerning any of the information provided in this
report or requests for additional financial information should be addressed to the Finance Director, P~
Box 8, ~ College Avenue 1Vorth, t. Jaseph, N Q74.
~~~~
BASIC FINANCIAL STATEMENTS
GOVERNMENT-WIDE FINANCIAL STATEMENTS
QTY ~~ T. J~E~h, ~N~VE~TA
TATE~ENT~~ NET~ET
DEE~BER ~~, ADS
ASSETS
Cash and lnvestents ~lncluding Cash Equivalents}
Property Tax Receivable
Accounts Receivable
Notes Receivable
Interest Receivable
Due frD ~#her Cgverrlents
Special Asseen~ Receivable
Delinquent
Deferred
Internal Balances
Deferred Charges
Capital Assets
Land Non-depreciable}
Construction in Progress Non-depreciable}
lnfras#ructure
Buildings
lr~provements
Machinery and ~quipent
Plan# and Lines
Less Accumulated Deprecation
Capltal Assets {Net ~~ Accumulated Deprecation}
Total Assets
LIABIL#TIE
Accounts Payable
Contracts Payable
Due to Other Governments
Salaries and Bene#its Payable
Accrued Interest Payable
Bonds Payable - Due vllithin One Year
Notes Payable ~ Due l~llithin One Year
orr~pensated Absences Payable ~ Due vUithin One Year
Loans Payable ~ Due vUithin One Year
Bonds Payable, Net Unarnortized Discountsll~rerriiurns -
Due In MoreT'han Dne Year
Notes Payable - Due in bore Than One Year
Compensated Absences Payable -Due in More Than One Year
Total Liabilities
NET ASSETS
Invested in Capital Assets, Net of Related Debt
Restricted for
Debt Service
Other Purposes
unrestricted
Total Net Assets
Prir~ary Covernr~ent
---"----"-""'""""-""-""'i'ii iiii i'i""'i ii~i~iiiiw~~~liiii~4l~l~~~~ ~~~~~~~~~
iiii ~~~~~~~ I~r~i
C~verr~rnental Business-Type
^~-~itli~iwe ^r-~ti-li~iae T'r~~~l
7,26,823 ~ 2~8~5~~7G ~ ~,~~~,~~~
73,69$ - 73,098
~ 24,897 507,319 632,2 6
7,499 ~ ~',~~~
5,G08 7,35 ~~}~~~
~2~,834 _ 12,834
293,1 ST 523 293,710
~, ~ 94,838 ~ 3,91 ~ 5,208,750
X26,000} 26,OD0
~ 76,7 4 ~ 44,591 321,395
345,258 377,882 724,40
~ ,576,464 2, ~ 64,358 3,740,822
~ 4}280,864 ~ ~ 4,280,864
2,460,309 8,149,011 10,615,32D
488,797 ~ 488,797
2,D9,338 ~
5
,
~
~~
'
6 ,2
24
,4
85
y/
'y
~
/
'~
r
'/~/~ /~~
~
y
~
+
5,865,576 4,754,962 ~ 3,620,838
~ 2,902, ~ 54 27,2 5,25D 40, ~ 20,404
2G,010,652 30,783,048 56,793,70D
~ 80,947 29,181 ~~ 0, ~ 28
92,916 - 92,915
6,2 ~ 5 ~ 4,604 20,219
26,939 5,690 32,029
42,728 30,458 73,186
2,390,000 375,000 2,755,000
i 44,000 44,000
30,410 1 ~ ,288 41,598
28,8G5 - 28,800
,125,841 1 y~~y~~LJ ~~,~~~~~V~
w ~~~~~~ ~~~~~~
200,055 77,809 283,024
14,130,917 5,550,313 22,681,230
5,850,722 18,524,249 19,149,771
4,358}844 ~ 4,358,844
38,415 R 58,415
~ ,~~ ,754 3,405,48G ~ a,5~5,44a
11,879,735 22,232,735 $ 34,112,47D
e~ accornparryrrrg l~a~e ~a ~inancia~ ta~emr~#~,
~~~~
~T~ a~ T, ,.~~~Pw~, ~i~hf ~VEC~T~
TATEi~EhlT 0~' 1~T111iT1~
Y~~ ~~DED ~~i~~R ~, ~ODB
PunctionslPro, r
PRIMARY CDVE1~N~iENT
OVERNMENTA~ A~TIV~~'lES
General Government
Pabiic Safety
Pubiio V1~or~s
Econar~ic Development
Culture and Recreation
nterest ors bong-Term debt
Total Gavern~nentai Activities
BUtNE~TYPE AT~V~TI~
vl~ater
Sanitary Sewer
Storm UVater
Refuse
V1~ater Access
Sewer Access
Total Business~Type Activities
Total Prfmary Government
~~ accompanying Noes ~o ~'inancral ~atemen~.
Program Revenges
Gperatin~ Capital
~ees> Ct~ares, Grants and Grants and
Expenses Dines, and ether Contributions Contributions
~~~,~9~ g9,9~3 ~#9,~5
9,~g3,~7' 3~9,~~~ 112,33 6,~~2
,~~1,~49 1,3~ ~ 5~2,g22
301,347 8,015 - ~,9g~
443, ~ ~4 - -
4,5Q~,704 4$2,28 132,58 X15,541
1,441, 345 G~32,~22 - 4,41 ~4
943,367 515,242 ~ 40,415
134,62 108,959 ~ 2,875
255,78 ~~~, ~ 9 -
y ~~,232 - y
193,632 24,392 -
2,588,334 1,383,x'68 ~ 138,74
1 ~4~~1! ~~ ~,OV~,~~'~F ~ ~~L,~~~ ~L~y2'+~
~~NERA~. REVENUES
Property Taxes
Tax Increments
Sales Tax
1=~ancl~ise Fees
State Aids
Unrestricted investment Earnings
ether General Revenue
Gain on Sale of Capital Assets
~'RANF~RS
Total General Revenges ar~d Trans fers
CHANGE tN NET ASSETS
I~et Assets -Beginning of Year
NET ASSETS -END GP Yi*AR
{~~
Vet Expense} Revenue and
Gf~anges ~n het Assets
aver~r~er~tal ~u~~~ss-Type
Aetivit~es Activities Tetal
~V'7,3V4} 'f"
~95,~Q5}
~~~~,~~}
X443,1 T4}
1 ~~4~,38~}
~~,~33,~~~7
~~ 38,272}
~VV2,309~ ~9~2,3~9}
~381,71~} ~~$~,T~D}
X3,778} ~3,~7'8}
- x,39} ~3,3~9}
3,23 5,32
- ~1 ~8,640~ ~1 ~8,4~~~
~,~30,98 - ~,~34,928
~
~~
~~ ' C)~,~~~
r~
q
~y
L I ~V~ a ~j
912 r~
~~~,~27
~j
7,93 ~
G+~~
J
r
~
*
~
~V ~,~2L ~ Jll}VLL 'TB~y'T'7
~~~ ~~ ~~~~ ~ ~~ ~~2~
2~9,9~' ~2F~~ V f ~~
3,447,47 ~~~,~22~ 3,~3~,8~3
7'1,98
.i d f7/1CY !~~'i-7 ~~,~~,~~~~
+~~ 7~]A ri~~ ~~,~2~y~U8~
nr. r_~~s r. r. n
~ ~,~79,73~ 22,232,~'~ ,~j ''4,11~,47~
~~ ~~
T~~ Page Has Bien L~~t flank ~n~~n~ron~~ly,
FUND FINANCIAL STATEMENTS
~~TY~ ~F T..~~~P~, ~~N~lE~TA
B~ILAf~E ~~~T
C~~RN~i~~VTAL FUNS,
UF~~B~R ~ ~ ~~~
~ lpravement Improvement
General Bonds of 202 fonds of 2000
~81,~05,~08 ~~~}
'iu nr~~ , ~33~}
~y.~w
ASSTS
asl~ and Investrr~er~ts ~,8~0,28~' $ 623,882 X64,388
lraperty Tax Receivable ~ Delinquent 50,E 4~ 2,~ Q 2,322
Accounts Receivable ~ 24,89 ~ -
Nates Receivable 2,008
Accrued Interest Receivable 2,082 x,342 2,58G
Due Fran Gth~er Gavernrnents 27,E3 ~,D~9 22,~~'8
Special Assesr~ents Receivable
Deferred 3,482 963,83 ~,042,08~
Delinquent 884
Due dram tither Funds -
TotalAssets $ x,21 x,050 ~ x,92,204 ~,633,~53
LIA~~L~TI~ AND FUND BAL~4l~~a
LIl~Bi~..iTiS
Accounts Payable 59,909 -
~antract Payable -
Due to Gti~er Gaverr~ment 6,215
Salaries and Benefits Payable 26,939 w -
Due to ether Funds -
De#erred Revenue 56,23 965,951 x,044}409
Total Liabilities ~ 49,294 965,981 1,044,499
FUNS ~ALA~
Unreserved, Reported in;
General Fund M Des€gnated 98,49 ~ -
~eneral Fund ~ Undesignated 80,345 -
Special Revenue ~ Designated M
Special Revenue ~ l~ndesignated ~ 4 -
Debt service ~ Designated - 626,243 5$9,944
Debt Service - Undesignated - w ..
Capital Projects ~ Ur~designated ~ ~ .,
Total Fund Balances 1,069,x'6 626,243 x$9,144
Total Liabilities and Fund Balances $ 9,211,050 1,592,204 $ 9,633,53
tae accor~~ar~yir~g !Votes to Frrrencia~ fateent.
~20~
~ ir~p~ovemen# ~t~~r ~`otl
Bons o~ 2007A ov~r~men#~I overr~m~r~ta~
~34~~
MIIS II II iilliliY~lilYliliSYWiY~ ~ur~~s ~~r~ds
+.+ 7 FT } V
M
~ ~ } ~ M 4!
} l
a~
+ ~ 1 } ~ Tw
, ~./ Lwi 4
Y
f
^ /
~ `J
i V 1 ~y
}'y
/
y '
~ Y,Y~I.r /
~
'
~
V
'Y
V
kl
y
i
y w
y
~
'/
~ ~,'T
tit wJ ~ i ~ 51 ~1
~y
2,650 ~
,028 ~~ S,~~V
~3V 7D,746 ~~1,834
x,504,606 ~ ~~CJ~,V~ V ~~~+!`t3V~V
~~~~~~ I IUVy~ I~ ~~,~Vi
f ~~~~ ~ ~~~~~~
IG.,~~L~~-/3 tit}~'i,~+1'7 ~ ~~}Ll~~~~ti1~
M ~ ~ ~ ~ ,o3s ~ ~ sa,94~
~2,9~ ~ ~,~~ ~
W ~ ~,~~~
I LJLf~~ 4+ ~~~1~~
~,~~7}~~~ ~ f~~ ~~~~~ ~,5~7,622
~,6~7,9G0 2,~29,0~~ t,/}Vf l.>>1J~~
~~~ ~~~
- - 80,345
- 300 ~~~
847,854 $47,84
374,925 2}368,94 3,959,226
~~~}~ a7} {3s, ~ 07}
" r~
~ ,224, ~ ~ ~ ~ 1224, I
374,925 4,405,077 7,057, ~ 45
1~ 2,062,893 0,534,Q94 ~ 3,033, l ti/"t
~~ ~ ~
ViTI~ OF T, J~E~, ~fN~VEDT~
~~~N1L.~~'I~iV ~~ TF~~ ~~I~RN~NT~~ U~VD ~~~~NE HET ~`~ ~`HE
~I~~RNM~N~'~'UV~a TAT~~~1T D~ iVET ~~T
C~11~N~VTAL A~'~'U~TI~
a~~BE~ ~~, ~~08
~u~a a~~~~,ro~r~~a~r~~~u~~~IT~~ ~u~a
Arnounts reported for governmental activities in the t~~ement of net assets ire different because:
~~pital assets, net of accurnuleted depreciation, used in governmental activities are
not financial resources end, therefore, are not reported in the governrnentai funds.
Dther longterm assets are not available to pay for current~period expenditures and,
therefore, ire deferred in the governmental funds.
LongWtern~ libilltaes, including bonds payable, are not due and py~ble in the current
period end, therefore, ire not reported in the governrr~ental funds.
general ~blig~tion Bonds
general ~bligatlon Bpecial Assessment Bonds
general ~bllgation Revenue Bonds
Loans Payable
Deferred Debt issue hosts
compensated Absences Payable
Accrued Interest Payable
111'r~1ET ~F D'VRN~I~N~'AL,~CTI11iTIE
fee ~ccor~par~yir~~ a~~ ~a Financial ~aferr~err~.
~,o~~, ~ ~
~ 2,90,1 ~
~ ,02~~000
~ 1, 3, 841
~ ,995,000
~~,BG~
~~ 7,7~ ~}
2~,~~5 rr~ ~++
~j ! ~U ~ JaiJ`F~~ f ~~
91 $79 735
~~~~
T'AT'N~~N`~ ~F R~11~NU~, ND1T'UR~ AND ~iAN 1N FUND ~ALANDE
'V~NN~~NT'AL FUND
YEAR ~VDED D~~~lB~R3~, ~~D~
G~ Improvement ~~ ~pravement
e
n
e
ra
l Bond
s
cf 2002 fonds of OOSC
/~/~
1'+
/~1
•J~{/y~•I
`Jl
'jF
1 M 1} 1 V V, F YY~
\\\ II II 1 X11111111 i1111Y/~IIr1+Y~YiYYY~ ~•/
(/'
i1111VL~~
----------"" Alliitl iii~l ~~I~ii~~~~~ I~ A+Y `1r
~PII~Ri11~IM11Y11ii~lAi1W~"'
~iEVENUE
Properly Taxes ~ ~,~4~, ~ 24 44,fi54 5~,99~
Sales Tax _ ~ T
Franchise Fees ~ 04,~'G8
Tax lncrernents _ _
Special Assessments 2,02 X42,119 G7'~,998
~.icenses, Perrr~ifs, and Fees ~ ~ 3,911 - -
Intergovernmental ~94,~2~ x,553 4~,G2o
Charges for Services 25,431
Fines and Forfeits ~g,125 _ _
lifts and Cor~tributaons 32,533 R
Interest on Investments 4G,483 28,481 54,838
Niiseeflaneous 24,85 -
Total Revenues 2,539,3G 218,SO7 521,49fi
ElCI~~NDITUR~S
URR~NT
general government 598,890 w
i~ub~~~ Safety 1,~6~,501
Pu'hlro Vl~orlCS 391,12 ~ -
Cultureand Recreation ~ X2,288 - -
Economicand Cor~munity Development 4 - M
~A~ITAL ~UTt.AY
general ~overnrnent 2,409 ~ -
Public Safety ~ ~ ,5g3 _ _
Public V~ork _
Culture and Recreation
Economic and Community Development -
DEBTSERVICE
Principal ~ 250,OO0 7'G~,OOo
Interest and Fiscal Charges ~ ~ ~ S,G1 T 82,590
Total Expenditures 2,444,593 35,011 84,600
EXCESS ~F REVENGES OVER {tJNDE~~
E~PENDITU~ES 94,172 ~14G,810~ {26,104}
~TWE~ I"I~ANCING SOURCES ~UES~
Bonds Issued _ _
Transfers In 24,34 90,000
Transfers Dut ~206,932~ M
Proceeds fror~ Sale of Capital Assets µ _
Total ether Financing
Sources {Uses} 152,508}
1 i11YY1 FYI YI MIYIYI~YIiMiir 9D,000 -
NAT CHANGE IN FUND BALANCES ~57,79~} ~~~,~~~} X28,104}
Fund Balance - Begir~r~ir~g of Year ~ , ~ 49,552 088,053 ~~ 5,248
~'U~ID BA~.ANCE - END Cl' SEAR ~ ,o1,fi50 $ G2G,243 589, ~ 44
See accom~any~ng~ Notes ~a ~ir~arrcial ~a~emer~~s,
{23}
~ Improvem~n~
B~n~ o~ ~D07'A
~3~4~ ~
13,524
.,
2~ 2,747
~~~~~~
55,222
~ ~ ~,~~~
~,~~~,~~ 5,253,718
598,890
~~~,~~ 2
3, ~ 3 ~ 225,419
131,952 131,952
49,113 X1,522
! ~1~5~ $1,D45
~~ 3,255 ~~ ~,LL1
63,D7D fi3,01~
- ~ ,500 1,~oa
5~5,~0~ 1,08,8 ~,~~~,~~
~ ~ ~,~~~ ~~ 4,50 ~~~,~
520x259 2,114,288 ~,~~,~~~
~~~~,~} ~ ~ ,~~~,~~ ~.~ ~~ ,~~8,~89}
- 2~0,0~0 2~o,oao
34,x15 ~~ ~, ~ ~~ ~~~,~~
~ ~,2ao ~ ~,2oa
34,015 ~~~ i~~8 533, I ~~
~~~~~~~~} {75,045 ~ 1,205,4 4}
X44,583 5,115,123 8,252,559
374,925 4,405,01 ~ ~~~~ i ~ ~ ~~
~#her
ov~~nmenta~
-- F~~~
~o~~
~~vernmer~#a~
_ Funds
48~,5~ ~ ~,G~~,943
21,81 ~~,~~~
# 194,7G8
84,975 84,915
33D,123 1,381,18
~~3,9~1
35,894 ~ ,0 ~ a,49
41,824 24',255
58,125
2a ~~,~~
~ ~~,a12 ~~~,~~~
1,DOD 25,858
~~~~
~~i ~a~ ~f~ ~~en L~~ ~iak In~~ntia~lly.
QTY ~~ T. J~~PH, INNTA
R~N~~.~ITIN ~P T~I~ TATEENT ~ R~11~NUt ~P~ND~TUR~~ AND ENE IN
'UN~ BAL,~N~ ~~ OV~R~Vi~~NTAI~ ~UIV~ TO THE
~I~~~N~~NT-IrtVID~ T~T~NT DF ~TI'V~T~~ ~ V~RNN~~NT~. ~T~II~TI~
Y~~~ ~~ID~D q~~~iB~f~ 3~, X008
NET CWA~IC~ ~~ FUND ~~I~AN~E ~ T~TA~, C~VE~NI~ENTA~. FUNDS ~~,2g~,4~4~
Amounts reported far governmental activities in the ~#ater~ent of activities are different because:
Governmental funds report capital outlay as expenditures, I-lowever, in tl~e statemar~t of activities,
the cost of those assets is allocated over their estimated useful lives and reported a depreciation
expanse. Contributions of capital assets infrastructure} by developers are not shown a Income in
the governmental funds because they da not provide current financial resources. Capital asset
transfers from the governr~ental activities to the businessRtype activities are not reflected as
expenditures in the gavernn~ental fund statements because they do not involve a transfer of current
financial resources.
Expenditures for Ceneraf Capital Assets, Infrastructure, and
tither Related Capital Assets Adjustments $ G49,~D~
Capital Asset Disposals and Transfers ~~,~3~ ~
Current Year Depreciation ~, ~ 3,fi84 ~~~S,Z~~~
revenues in the statement of activities that da nit provide current financial resources are not
reported as revenues in the governmental funds. ~g}~~~
Bond proceeds provide current fnancial resources to governmental funds, but issuing debt
increases long-term liabilities in the stater~ent of net assets. The net proceeds for debt issuance
are: {9~,ga~}
repayment of debt principal is an expenditure in the governmental funds, but the repayment
reduces longterm liabilities in the statement of net assets,
Principal Repayments
General Obligation Bonds 2,8g~,~gg
Loans payable 28,~8~ ~,~,581
Borne expenses reported in the statement of activities do not require the use of current financial
resources arid, therefore, are not reported as expenditures in gavernrnental funds.
Change in Accrued Interest Payable g,~gg
Amorti~atian of Discounts, Premiums} and Deferred Issuance Charges ~8~~ }
Deferred Issuance Charges ~~,7~4
Change in Compensated Absences ~ ~,GBD 1 ~,~82
DANE 1N NET ASSETS C}I' ~V~RNMENTA~ ACTIVITIES ~ ~~,~gg
ice accompanying Notes fo Financial ta~er~en~s.
{~~
CITY ~ r. J~~PH, ~NN~TA
r~~r~~vr~~ ~~~r~r
~o~~~~r~~~r ~u~a
~~~~~~~~,~no~
ACTS
CU~~~NT ASSTS
Cash and Investrr~ents ~fncludlr~g Cash ~~uivaients}
Receivables
Accounts
Interest
Speoial Assessments ~ Delinquent
Special Assessments -Deferred
Due From ether Funds
Total Current Assets
N~NI~RR~f~T ASSTS
Deferred Charges
Non~Depreciable Capital Assets
Land
anstructian in Progress
Depreciable ~apltai Assets
Plants end Lines
Bulldin~s and Improvements
Machinery, Vehicles, F~rnitare and equipment
Total capital Assets
Less: Accumulated Depreciation
Net Capital Assets
Total Noncurrent Assets
Total Assets
LIABI~.,ITI~
c~~~l~uT L~A~I~~r~~
Accounts Payable
Due To Dther Governments
Salaries and Benefits Payable
Accred Interest Payable
Bonds Payable
Notes Payable
Can~pensated Absences Payable
Total Current L€ab~l~xles
NDNU~~~NT ~.1~1~LIT~ES
Bands Payable
Notes Parable, Net Unan7orti~e~ Premiums
Compensated Absences Payable
Total Noncurrent Liabilities
Total Liab~l~t~e
NAT ASSETS
Invested in Capital Assets Net of Related Debt
Unrestricted
Total Net Assets
See accampanyir~ I~afes ~a ~inanc~al ~ater~er~fs,
sanitary ether
1~11ater Sewer torn U1later Prvprletary
~~ ~ ~~~ G~ ~ Funds Totals
640,~G8 $ 5G4,840 283,17 ~ 1,39~,14T $ x,855,072
~
V ~ ,~ i}t I ~
I ~a,~
~ ~
~~ '?~~y~
~
~
+
,515 ~~
y
~ y~kJ +~
537 r
! ~~ r
4,92
153 59 129 X0,928 51,279
12r10G 383 ~~4 8,58 ~,~'01
- ~ ~~,aa0 - ~~,aaa
75, ~ 04 ~+ r~
900,523 ~ 11,~a q
~ ,4~ I r~~~ ~y
J,~42~,~a~
~ 44,59 - W
32,941 4,941 -
774,~'03 73,784 53,87'1
8,135,922 8,47',709 4,03,183
7,31,028 ~~ x',983
17,520 435,575 1,91
16,992,214 1
a,~~,993 4,~91,Oa
~
1794Jy~x,JC7 r
2,41 ~,~~2 r
X46,222
15,201,47 7,871,991 4,144,783
15,346,067 7,871,991 ~,~ 44,783
1 ~, ~ 02,171 8, 772,514 4,45G,689
~, 6,201 ~s~
465 10,369 -
2,314 1,808 418
28,580 ~ ,878 -
50,OOa 25,000 -
4,752 ~~! ~~ VVk./
434,x'46 50,009 2,094
7,47,423
44,000 440,000
33,347 33,347
7,556,770 473,347
144,91
3~'~',882
- ~, ~ 54,358
20,555,814
8, ~ 49,01 ~
4,754,962
- X7,352,841
~ ~,~~~ 29,181
3, ~ 79 14,004
55D 6,090
30,458
375,000
- 4
4,
a
a
a
~y /L~
f 94
~~ d
y ~
y
{
~
I ~ }LVV
22,1~'~ 509,021
~,479,4~3
- 484,000
v~vvv ~ t ~vv V,V"T I,L klL
~w
~T,272,475 7,406,991 4,144,783 w 18,824,249
888}180 842,267 305,832 1,422,207 3,408,486
8,110,655 8,249,28 ~ 4,450,515 1,422,207 22,232,13
~~~}
1T~' ~~ T~ J~E~I~, i~~N~E0T~1
T~ITEi~ENT~~ REVE~fUE, ~~ENE~Np ~~INE ~N NE~'ET
~~~PRIETARY ~Uh~~
~E~ EN ~~~ ~~~~~~~ ~ , Laos
o~E~T~~ REVENUES
Barge far Services
~PE~ATIN EXPENSES
Uvages and Salaries
Sevuer Use Rental
Materials and Supplies
Repairs and Maintenance
Professional Services
Insurance
Utilities
antracted Services
l~epreclat~an
Equipment
Nliscelianeaus
Total ~perating Expenses
~PERATIN IN~~IIIIE ~~~~]~
NON~PEI~AT#N I~EVE~~I~ ~ExI~ENE~
Investment Income
Lass on disposal of Asset
ether Incarne
Interest Expense
Total Nonoperating Revenues ~~xpenses}
NET ~~col~E ~I~os~ BEFORE TRANSFERS
ANA GAP~TAl~ ~C~NTRIBUTI~N
capital contributions
Transfers In
Transfers but
~WAN~E IN NET ASSET
Net Assets ~ Beginning of Year
NET ASSETS ~ END ~~' 'YEAR
Sanitary Other
Water Sewer Storm Water Proprietary
(601) (602) X651 } funds Totals
$ 43,91 ~ ~ x,242 1 X5,959 ~ 321,46 ~ ,384,78
~ 89,911 ~ 35,22 ~ 25,51
~ 45,854 -
"T29,V33 ~ ~ ~~~~ VVG~.
~,~~~ 38,463 ~ ~~ ~ 04
22,31 20,499 1,351
12,23 8,492 -
69,21 G a,~4~ 4
- 344,361
365,4$4 193,596 81,454
189 19a ~ 8
~ X
24,20G ~ 1~L,1a ~~
2~L~i1
[~ `~ J
+I ~] A f_w A r5
X697,118} X404,533}
34,300 33,308 13,51 ~ 75,49G ~ 5,622
~~,~~4~ ~ - - X5,364}
5G}095 319 ~ - 5,414
305,24G 23,592 4 ~ 328,534
,..
~~~,~~~ X121,250} ~~ ,~~~, ~ ~~}
4,588 382,251
145,$54
~~~ 44,21
M 1
~J1a
~
rryy r~r~pp
L,23U r
r
r
52,422
R 20,G15
µ ~~,~~~
4D3,45~' X47,845
643, 534
- 568
t9~~ 29,529
A ~ 0 '7' +! Il ~] It r] + s D r7 +'!
220,2 ~ ~ 10,095 ~ ,~~ 75,495 ~ 21, ~ 42
~~ 1,933} {394,438}
45,755 40,415
42D,000 47,000
55,000 55F00D
X507',178} X362,023}
8,G 17,833 8,611,281
$,~ 10,655 $ 5,249,25$
{12,131 }
21,875
78,07'5
~G8,331 }
4, 518, 946
4,450,615
~~,~~~} ~1,310,2~~
~ 08,04
w 4G7,000
508,900 69,915
1,97'6, 8G 1 23, 724,921
~ ,422,207 $ 22,232,7'35
Bee ccarr~panying lVo~es ~o ~ir~ar~cr'aI ~a~een~s.
~~~~
1TY QF ST. JOSEPW, i~1NNES~TA
TAT~MET 0~ CASW FL~I~fS
PR~PIE~`ARYFUh~DS
SEAR ENDED DE~EI~~ER ~, ~~~8
sanitary storm ~#her
V1later Sewer 1Nater Proprietary
~0~ ~D~ ~~~ Funds Total
CASH FL~I~V FI~~I~ ~PERAT~NC ACTIVITIES
Receipts from Customers and users 3~,~~~ $ 3~D,~6~ ~aG,88~ ~~8,87~ ~,~48,8G
Payments to Suppliers {8~,~71} {590,~~4} ~~~,~20} ~4~O,~aO~ ~~,6~a,3~5}
payments to employees {~89,G9} {~44,a~4} ~~,~64} ~4~,52} ~9~,~89}
Payments to lnterfund services Provided ~ - ~ ~~,a0a ~ 25,~aa
Net Cash Provided Used} by Operating Activities ~~~9,~7} ~4~,93} ~,79G ~~~4,246} {88~,~~8~
CASH I^ L~11VS FR~IN N~NCAPITAL AND
R~LAT~p FINANCING ACTIVITIES
ether Miscellaneous Receipts ~5t4~~ 37~ 4 ~ x,819
Transfers from Other funds 4~O,ODD 47',oDO ~ 4 4fi7tOD0
Transfers to Other Funds S,ODD 5,99 78,a~ ~OS,9D9 ~98,97~
Net Cash Rrovided Used} by Noncapltal
and Related Financing Activities 4~,48~ ~7,G~ } ~78,a~`~ ~ ~~08,~a0} ~ ~ 74, ~ 5~~
CASH FL~I~IIS FR~I CAPITAL AND
RELATEp FINANCING ACTIVITIES
Principal Paid on petit ~~9,577~ {25,Oaa} - ~ ~54,~77}
Interest Laid on Debt ~45~,09~} ~2~,658} W ~ ~47,~'8a}
Special Assessments X59} ~ - ~ ~~g~
Acq~isi#ion of Cali#al Assets 8~,~44 4,a4~ 79 TM 87,Sg~'
Net Cash Provided Used} by Capi#al
and related Financing Ac#ivitie {8G4,97} ~~,~'5~ ~70~} i ~9~ 8,413}
CASH F,~UVS FRAM INVESTING
ACTIVITIES
Interest and Dividends Received 44,1 ~6 38,4 13,x'83 88,896 ~ 8~,4G9
NET fNCREAE ~pECREASE~ III CASH ANp
CASH EC~UIVALEIVT ~~"~9,~85} ~435,G~~ ~~,198} ~~14,~5D} ~1,~90,8~8}
Cash and Cash Equivalents ~ beginning of Year __ 1,4~D,63 1,66D,465_._. ... ~94,~16 1,94D,97 4,G5,3a
CASH AND CASH EG~UIVALENT ~ EIVp ~F YEAr $ 840,58 ~ 5G4,S49 283,61 ~' 1,39G,14~ x,885,672
fee accompanying Noes to Frnancral ~a~aents.
~~67
fTY ~F T. J~~~'h#, INh~~~TA
TAT~i~~T ~F CA~i FL~~V ~~NT~NED}
~~PR~~TA~Y ~~IND
SEAR ~ND~D D~CEi~BER ~~ ~o
~E~N~tL~ATI~N ~F ~P~~AT~N ~~C~ME ~L~}
T~ NAT CASH ~~t~V~DED {USED ~Y
~PSR~AT~NG ACTIV'IT~~
~pera~ir~g income ~~.o}
Adjustments to reconcile ~pera~ing Incorrre Loss} to
Net Cash Provided Used} by Cperat~ng;
Activities
Depreciation Expense
increase}Decrease in Asses:
Accounts ~ece`rvabie
Special Assessments Receivable
Due From Dther Funds
Due from ~the~ Covernn~ents
Increase {Decrease} in ~.iabili~ies:
Accounts Payable
Salaries and ~ene~its Payable
DUS:i tV ether ove~n~nents
Compensated Absences Payable
`I•`otal Adjus#rnents
Net Cash Provided Used} by operating Activities
N~NCAH CA~~TA~ AND RELATED
FI~IAI~fCINC T~ANACT~ON
Capital Contributions from Developers
Sani#ary Storm Other
Water Sewer Water Proprietary
(60'f) 602 {651 } funds Total
X697,718} ${404,538} ~~,~~~} ~~ 21,250} $ ~~ ,249,154}
368,484 ~ 93, 596 8 ~ ,454 - 643, 534
X40,489} {~~ 7,639} ~~,~~ ~ 724 ~259,9~ 9}
~~ ,OG7} 23,062 436 692 ~~, ~ 23
W ~ X26,600} ~ X26,000}
704 - R W 704
tiJ
~
V 2~8~8 ~87 ~~~
~ 1V
~
~
/
y/
~
X5,436}
{5,892
418 */
~
~1,512~ ~y
/
~/
~
~~142~
~~ r~~! ~ ~G~~T~~~ ~~}~~~~ ~ i ~~tJ~~
2,922 2,921 4,9G9 442 1,31fi
318,343 9,409 59,449 2,996 365,396
379,375 413,933 33,796 124,245 583,758
$ 45,755 40,415 $ X1,875 W ~ 108,D45
fee accarr~p~nying I~ot~s fo Flnrrcial faferr~~r~f~,
{29}
Thf Page s Bin ~.~~ ~n~ ~~~n~~~n~~~y.
CITE OF T~ J~~PM, l~~N~~S~TA
N~T~ TD FINI~iVIAt~ ~'AT~i~~~IT
D~C~~B~~ 3~, ~~8
~V~T` ~ UII~~IRY~~ I~VI~~Ahi'T~IOUNTI~V P~~.~~~
The pity of t Joseph pity}, l'I~innesota is a statutory city governed by an elected mayor and
four council rnernb~rs, The accflmpanyin financial statements present the government
entities for which the pity is considered to be financially accountable.
The pity's financial statements are prepared in accordance with generally accepted
accounting principles ~AAP}, The United States overnrental Accounting Standards
Board ~~AB} is responsible far establishing AAP far state and local governments through
its pronouncements ~taten~ents and interpretations}. governments are also required to
fallow the pronouncements of the Financial Accounting Standards Board ~FAB} issued
through lllavember a, ~ 98g, {when applicable} that do not conflict with ar contradict AB
pronouncernent~ Although the pity has the option to apply FAB pronouncements issued
after that date to its business-type activities and enterprise funds, the pity has chosen not to
do sa, The more significant accounting policies established in AAP and used by the pity
are discussed below.
A, l'lnanc~al Reporting ~ntfty
The financial reporting entity consists of the pity {primary government} and the
cor~ponent unit legally separate organisation} for which the Primary avernment is
financially accountable. There is financial accountability if the Primary overnn~ent
appoints a voting majority of an organisation's governing body and has the ability to
impose its will on that governing body; or there is the potential far the organisation to
provide specific financial benefits or to impose specific financial burdens an the Primary
government, In conformity with generally accepted accounting principles, the financial
statements of the pity's component unit are included in the financial reporting entity as ~
blended component unit,
Blended tom anent Unit
The t, Joseph ~canan~ic Develapmr~t Authority ~~DA} was organised for the purpose
of preserving and creating fobs, enhancing the tax base and promoting the general
welfare afthe people of the ~ityaf St. Joseph. The St. Joseph FDA i governed bya five
member board appointed by the pity council. The t~ Joseph FDA i included as
blended component unit of the pity because the St, Joseph qA i financially
accountable to the pity and the St. Joseph FDA provides services almost entirely for the
pity. The t. Joseph BDA is presented the Bcanamic development Authority Special
Revenue Fund, the pity l--lall .~, FDA Refunding Bands of OgSA Debt Service Fund
and the Maintenance Facility .~. FDA Refunding Bands of ~Dg3A. Separate financial
statements are oaf prepared for the t. Joseph ~canan~ic Development Authority.
{~a~
VITY ~~ QTY JO~P~~ ~INN~~T-~
l~aT To ~~~~~~~ sT~Tl~lluT
~l~lvl~~l~~~,~o~s
NOTE '~ SUMMARY O~ SIGNIFICANT ACCOUNTING POLICIES (CONTINUED}
B, basic Financial Statements
~. overnment~llllide Statements
The government-vuide financial staten~ants {i,e., the statement of net assets and the
statement of actlVities~ repark infarrnation about the Primary government and its
component unit. These statements include the financial activities of the overall City
government. eliminations have been made to minimize the dauble~counting of
internal activities. overnrnental activities, v~rhich normally are supported by taxes and
intergovernmental revenues, are reported separately from buiness,type activities,
v~hich rely to a significant extent on fees and charges to external parties far support.
Likev~ise, the Primary government is reported separately from certain legally
separate component units for uvhich the Primary overnn~ent is financially
accountable.
In the government-pride statement of net assets, bath the gavernrnental and
busineys~type activities calun~n: {a} are presanted on a consolidated basis by
column; and {b} are reported an a full accrual, ecanan~ic resource basist ~vhich
recognizes all long-term assets and receivables a Drell a longwterrn debt and
obligations. The City's net assets are reported in three parts: ~~~ invested in capital
assets, net of related debt; ~~} restricted net assets; and ~~} unrestricted net assets.
The City first utilizes restricted resources to finance qualifying activities.
The statement of activities demonstrates the degree to ~rhich the direct expenses of
each function of the City's governmental activities and different business-type activity
are offset b program revenues. direct expenses are those that are clearly
identifiable Frith a ypecif'rc function ar activity. interest an general long~terrn debt is
considered an indirect expense and is reported separately are the statement of
Activities, Program revenues include; ~~} foes, fines, and charges paid by the
recipients of goads, services, or privileges provided by a given function or activity;
and ~} grants and aantributians that are restricted to meeting the operational or
capital requirements of a particular function ar activity. revenues that are not
classified a program revenues, including all taxes, are presented a general
revenues Internally dedicated revenues are reported as general revenues rather
than program revenues
~. fund Financial Statements
The fund financial statements provide information about the City's funds Separate
statements far each fund category~gavernmental and proprietary arc presented,
The emphasis of gavernn~ental and proprietary fond financial statements is on rna~or
individual governmental and enterprise funds, uvith each displayed as separate
calumny in the fund financial statements. All remaining governmental and enterprise
funds are aggregated and reported as nanmajor funds,
~~}
~F T.JBPH, INhI'~~TA~
I~~T~ `r F~NAN~AL T~~'~I~ENT
~~~i~~R ~, ~~~8
NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICfES (CC)NTfNUE~)
B, Basic Financial #aten~ents Continued}
~. Fund l~inancial statements Can#inued~
storm vuater utility.
. Measurement Focus and Basis of Accounting
~'roprie#ary fund operating revenues, such a charges for services, result fror~
exchange transactions associated with the principal activity of the fund, exchange
transactians are those in which each party receives and gives up essentially equal
values, Nonoperating revenues, such as subsidies and investment earnings, result
from nanexchange transactions ar incidental activities,
The City reports the following major governmental funds:
general Fund -The general fund is the general operating fund of the City. It accounts
far ail the financial resources of the general government, except #hoe required to be
accounted for in another fund
~~. Ire roven~ent Bands of ~a~ debt Service Fund ~ This fund accounts for the
resources accumulated and payments made for principal and interest an this band
~sue~
.C~~ im rover~ent Bonds of ~OO~C debt Service Fund ~ This Fund accounts far the
resources accumulated and payments made far principal and interest an #his band
issue.
.~. In~pravement„ Bond,s,~of ~~~~A This Fund accounts far the resources
accumulated and~~~payn~en~ts made far principal and interest on this bond issue
The City reports the following mayor proprietar}r funds;
vl~ater Fund The waterfund accounts forthe activities ofthe City's water utility.
n~~ary Sewer,,, j~und ~ The sewer fund accounts far the activities of the City's
sanitary sewer utility.
Starn~ vUater Fund -~ The storm water fund accounts for the activities of the City's
The government-wide and proprietary fund financial statements are reported using the
economic resources measurement faces and the accrual basis of accaunting~ Revenues
are recorded when earned, and expenses are recorded when a liability is incurred,
regardless ofthe tiring of related cash flaws, property#axes aro recognized a revenues
in the }~earforwhich #heyare levied, grants and similar items aro recognized as revenue
a soon as all eligibility requirements ~n~posed bar the provider have boon r~et.
~~~
i"~"lC t~ T~ ~~~~~, i~tiVlV~TA
II~~T~ T~ ~i~ANi~~. TAT~~I~NT
DEC~NI:~~R ~, ~~~
NOTE 1 SUMMARY Q~ SIGNIFICANT ACCOUNTING POLICIES (CONTINUED}
. Measurement focus and basis ofAccounting {Continued}
overnr~ental fund financial statements era reported using the current financier
resources r~eaurement focus end the modified accrual basis of accounting, Revenues
are recognised as soon a they are both measurable and evailabie. The City considers
aril revenues to be available if they are collected within 90 days after the end of the
current period. Property texas, franchise taxes, licenses, and interest associated Frith the
current fiscal period are all considered to be susceptible to accrual and so have been
recognised es revenues in the current fiscal period. Only the portion of special
assessments receivable due ~vithin the current fiscal period is considered to be
susceptible to accrual as revenue of the current period. All other revenue items ere
considered to be measurable and available only when cash i received by the
government.
Expenditures are recorded when the related fund liability i incurred, except for principal
and Interest on general long-term debt, and compensated absences, ~rhich are
recognised as expenditures to the extent that they have matured. Proceeds of general
Iong~tern~ debt and acquisitions under capital leases are reported as ether financing
sources
vllhen bath restricted and unrestricted resources are available far use, it i the City's
policy to use restricted resources first, then unrestricted resources as they ere needed
As a general rule, the effect of interfund activity has been eliminated from the
governmen#-wide financial statements. Exceptions to this general rule are payments-in~
lieu of taxes ether charges between the various functions of the City. Elimination of these
charges could distort the direct costs and program revenues reported far the various
functions concerned.
Proprietary funds distinguish operating revenues and expenses from nonoperating iter~.
Operating revenues and expenses generally result from providing services and
producing and delivering gaols in connection with a proprietary fund's principal ongoing
operations. The principal operating revenue of the City's enterprise funds are charges to
custor~ers for sales of goods and services, Operating expenses for enterprise funds
include the cast of sales and services, administrative expenses, and depreciation on
capital ascots, Ali revenues and expenses net meeting this definition are reported as
nonoperating revenuos and expenses
~~~
~/I~~ ~i Tr yyfw~.~f i~ IN~~RT~
NDTE T~ ~~NAfVf~f_ TATEf~#f~fVT
~~~~~~~~, ~ao~
NOTE 1 SUMMARY OF SfGN1FtCANT ACCOUNTING POLfC[ES (CONTINUED)
~. Assets, Liabilities, and Net Assets or f~quity
~ . Cash and Investments Including Cash I~quivalent}
Cash balances are invested to the extent available in various securities as authorized
by ~fir~r~ea~~ ~aifu~e. Investment earnings are allocated to the respective funds an
the basis of applicable cash balance participation by each fund. Investments are
stated at fair value.
For the purposes of the statement of cash flows of the proprietary fund, cash
equivalents are considered to be cash on hand, deposits and highly liquid debt
investments purchased v~rith original maturities of three months ar less from the data
of acquisition.
The City considers ail cash and investments under the classifications current assets
and restricted assets, if any, to be cash and cash equivalents, except those held with
fiscal agents, Cash and Dash equivalents consist of checking and saving certificate
accauntst cash on hand, and money market savings accounts.
~1ir~r~eo~a ~af~ifes require all deposits made by cities with financial institutions arc
collateralized in an amount equal to ~ ~ o~l~ of deposits in excess of Federal Deposit
Insurance Corporation ~F~IC}insurance.
11~1ir~r~eoi~a ta~~fa authorize the City to invest in obligations of the IJ,. Treasury,
agencies and instrurentalities, sharps of investment companies whose only
investments arc in the aforen~entianed securities, obligations of the state of
l~iinnesota or its municipalities, bankers' acceptances future contracts, ropurohase
and reverse repurchase agreements and commercial paper of the highest qualitywith
a maturity of na longer than X70 days and in the lUlinneota lUlunicipal investment
Foal,
Custodial Credit Disk W Deposits: In the case of deposits, this i the risk that 'rn the
avant of a bank failure, the City} deposits nay not be returned to it. The City has an
investment policy in place to address custodial credit risk far deposits, stating that
they will obtain collateral or bonds far ail uninsured amounts an deposit. All deposits
shall be covered by FDIC, NUA or collateralized at ~ ~ 0°I~~
Concentration of Credit Disk: Investments should be diversified to avoid incurring
unreasonable risks inherent in over investing in specific instruments, individual
financial institutions ar maturities. The City's investrrfent policy states the City w~li
atterpt to diversify its investments according to type, issuer, and maturity, The
portfolio, a much as passible, will contain bath hort~term and langWterm
investments, The City gill attempt to rr~atch its investments with anticipated cash flow
requirements. l=xtended maturities maybe utilized to take advantage of higher yiald,
No more than ~a°lo of the total investments should extend beyond five years and the
weighted average maturity afthe portfolio shall never exceed five years.
~~~~
CITY D~ ST. JU~~#, M~NN~C~T~1
NOTES T~ FINANCIAL TA~TI~I~NT
D~~i~~R $ ~~~8
NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES {CONTfNUED}
D. Assets, l.~.ibilities, and Nat Assets or equity
~, Cash and Investments Including Cash equivalents}
Credit Risky Credit risk is the risk that an issuer or other counterparty to an
investment gill net fulfill its ahliatians. ~1ir~r~eso~a ~fa~c~~e ~ ~ SA and ~ ~ A.~ limit
investments that are in the tap t~uo ratings issued by nationally recognized statistical
rating arganixatians~ The City's investment policy limits the allavuable investments in
accordance pith these Statutes.
Interest Rate Risk ~ The City should try to r~inirnize the risk that arises from aver
investing in specific instruments, individual financial institutions or maturities, The
City's investment policy states the investment portfalia gill be structured so that
securities mature to meet cash flog requirements and avoiding the need to sell
securities prior to maturity, investing in short~term securities, investing in fongµterm
securities if the market rate is favorable.
Custodial Credit Risk -Investments: Far an investment, this is the risk that in the
event of the failure of the caunterparty, the City vuill not be able to recover the value of
its investments ar collateral securities that are in the passessian of an outside-party.
The City's investment policy addresses this risk and states that the City vuill permit
investments only to the extent that there is SIPC and excess IPC coverage
available
3. Shirt-Term lnterfund Receivablesl~ayables
during the course of operations, numerous transactions occur between individual
funds far goads provided or services rendered. These receivables and payables are
classified "'due from ether funds"" ar "'due to other funds" an the fund financial
statements Any residual balances vutta~nding between the gavernr~ental activities
and buinesWtype activities are reported in the government~~ride financial statements
s internal balances.
4, Accounts Receivable
Na substantial lasses are anticipated from present receivable balances. Therefore,
na allo~rance far uncallectible accounts is deemed necesary,llUriteWaffs are done on
a case-by-case basis
~~~
CITYD~ T. J~~PH, IvIIN~ISOTA
N~T~ TO I~INANIAL T~T~1~1~11~T
~~~IV~B~R3~, ~Q~B
NOTE 1 SUMMARY O~ SIGNIFICANT ACCOUNT[NG POLICIES (CONTfNU~D)
D, Assets, Liabilities, and filet Assets or equity ~antinued}
5. Special Assessments
Special assessr~ents are levied against the benefited properties far the assessable
costs of improvement pr~~ects in accordance vuith ir~nesoifa ~a~ufe. Assessments
are collectible over term of years at an interest rate established by the pity council
upon adoption of each assessment roil. Any annual installr~ent remaining unpaid as
of ~lovember gth of each year are certified to the Jaunty far callectian ~vith property
taxes during the follo~ving year. Special assessments receivable ~ delinquent
represents the past six years of uncollected special assessments. Properky o~rner
are allovued to prepay future installments ~rithout interest ar prepayment penalties.
In the governmental fund financial statements, special assessment levies are
recorded a a receivable and as deferred revenue at the tin7e of the levy, deferred
revenue is recagnixed as cur~eot revenue as the annual assessment installments
became measurable and available. Interest an special assessments i also
recognised vuhen it becomes measurable and available.
Prepaid Items
Payments made to vendors far services that uvill benefit future periods are recorded
as prepaid items. The partian ofthe relevantfund' fund balance equal to the prepaid
iter~ is reserved if the amounts are considered to be material, and if sufficient fund
balance exists.
~'. capital Assets
capital assets, vuhich include property, plant, equipment, and infrastructure assets
~e.g., roads, bridges, sidealks, and similar iterrr}, reported in the applicable
governmental or business-type activities calun~ns in the governn~ent~~ride financial
statements. apitai assets are defined by the gavernrnent as assets ~vith an initial,
individual cost cf more than $1,800 and an estirr~ated useful life in excess of three
years. Such assets are recarded at historical cast or estimated historical post if
purchased or constructed. ~anated capital assets are recarded at estimated fair
market value at the date of donation.
~~~~
~~~ ~1 ~r ~~Lr.~# 1' i~i~~~~T~
~IOT~ T~ ~~~i~NIA~. ~'~IT~I~i~NT
~iB~R~, ~~08
N~T~ 1
SUMMARY OF SIGNI~lCANT ACCOUNTING POLICIES (C~NTfNUED}
~, Assets, l~labliitie, and Net Assets or Equity ~antinued}
7. capital Assets continued}
The casts of normal maintenance and repairs that da got add to the value of the
asset or materially extend assets lives are not capitalized Majnr outlays for capital
assets end impravernents ere capitalized s projects are constructed. Interest
incurred during the construction phase of capital assets of businesswtype activities is
included as part of the capitalized value of the assets cor~structedF
apitaf assets of the Primary government, except sand and construction in progress,
are depreciated using the straight sine method over the follovuing estimated useful
lives:
Assets Years
Land I~nproven~ent ~-~~
Buildings ~40
Park Buildings ~
Building ln~provernents ~
street construction ~ ~
Street ~veriay ~ Q
Furniture and Fixtures ~-~ 0
tight llehicie
Machinery and B~uipment -7'
Fire Trucks ~
Utility ~istribu~icn B~rstern ~
hand and constructian in progress are not depreciable capital assets.
~. an~pensated Absences
Compensated absences include accumulated vacation, vested sick leave,
accumulated holiday time and compensatory tine. All fuflwtin~ emplo~res of the pity
are entitled to annual vacation and sick leave Frith pay, Employees can accrue up to
2aa hours of vacation depending on years of service, The n~ax'rmum amount of
vacation carryover from yearMto~year is ~ as haurs, 1n addition, employees are
cor~pensated for unused sick leave pup to a maximum of ?2D haurs} at various rates
depending an the employee type, provided the City's notice of termination policy has
been complied ~nrith, ~n~ployees are allo~red to accrue holiday haurs that are paid out
in May and December each year. The maximum amount of compensatory time an
erployee can accrue and carryover is ~0 haurs.
dick leave payments are reported a expenditures far governmental fund typal Shen
the payments are made to employees, Appropriations lapse at yearend and
accordingly, there are no available expendable financial resources. Because of this,
the estimated cammitn~ent far sick leave ~campansated absences} for governmental
funds is reported in the tater~er~t of net assets.
~~~
~fTY ~~ T..~~~~, flllf hf fV~~T~A
hf~T~ T~ ~1fV~IlVIAI,., T~~'f~N~'
~f~f~Nif~R 3~ ~ ~~~5
NOTE 1 SUMMARY OF SIGNIFECANT ACCOUNTING POE.fCIES (CONTINUED}
D. Assets, Liabilities, and Net Assets ar f quity {ontinu~d}
S~ compensated Absences continued}
In the pity`s proprietary funds, an~aunts earned but unused for vacation leave and
that partlan of earned but unused sick leave estimated to be payable upon retirement
are reflected under the accrual basis of accounting.
~. ~.ong~Term obligations
in the government~vuide financial statements, and proprietary fund types in the fund
financial staterr~ents, long-term debt and other long-terra obligations are reported as
liabilities in the applicable governmental activities, business-type activities, or
proprietary fund type stater~ent of net assets. Bond pre~niur~s and discounts, as vueil
as issuance casts, are deferred and amortized aver the life of the bonds using the
band interest rate method. Bands payable are reported net of the applicable bond
prerniun~ or discount Band issuance oasts are reported as deferred charges and
amortized over the term of the related debt.
1n the fund financial statements, governmental fund types recognize band premiurr~s
and discounts, as ~vell as band issuance casts, during the current period. ~'he face
amount of debt issued is reported as other financing sources. Premiums received on
debt Issuances are reported as other financing sources vuhiie discounts on debt
issuances are reported as other financing uses. issuance costs, ~vhether ar not
withheld from the actual debt proceeds received, are reported s debt service
expenditures.
~ 0~ I;und Balance
In the fund financial statements, governmental funds report reservations of fund
balance far amounts that are not available for appropriation or are legally restricted
by outside parties for use for a specific purpose. designations of fund balance
represent tentative r~anagemnt plans that are subject to ci~ange.
~ ~ .Net Assets
Net assets represent the difference bet~reen assets and liabilities in the governmental
wide financial statements, Net assets invested in capital assets, net of related debt
consists of capital assets, net of accumulated depreciation, reduced by the
outstanding balance of any long-term debt used to build or acquire the capital assets.
A reclassification of $,~,~aa eras rude bet~reen this net asset class and
unrestricted net assets In the fatal column on the statement of let Assets to
recognize the portion of debt attributable to capital assets donated from
governmental activities to buiness~type activities,
Net assets are reported s restricted in the government-ride financial statement
vuhen there are lin~itatians on their use through external restrictions ir~poed by
creditors, grantors or lags ar regulations of other governments. At December 3~,
a~8, 4,~9~,Z~9 i restricted far debt service and other purposes a required by
creditors and laves.
~~~~
1TY ~~ T. JO~P~I, i~~NN~OTA
N~~'~ T~ ~~IV~NlA~ T~IT~M~hlT
DEC~IVl~~~~,~~0~
NOTE '1 SUMMARY OF SIGNIFICANT ACCOUNTING POLlC[ES {CONT[NUED}
. revenues, Expenditures, and Expenses
~ . Revenues
In the fund financial statementr property taxes are recognised to the extent they are
collected and received in the current period or within 5o days after year-end. Pertions
paid by the State in the farm of marl~et value credit aid, and other state tax credits are
included in intergovernmental revenues. Delinquent property taxes receivable which
have not been recognised as revenue are equally offset in the financial statements by
deferred revenues,
~.icenses and permits, charges far services, fines, forfeits, and miscellaneous
revenues are recorded as revenues measurable and available.
special assessments principal and interest earnings are recorded as revenues in the
same n~annera property taxes.
Pro ert Tax Collection Calendar
The City levies its property taxes far the subsequent year during the rr~onth of
Deoer~ber, In l~nneo#a, the lien date and assessment data ~ January ~. The
property taxis recorded as revenue when it becomes available. Stearns Cauntyis the
collecting agency for the levy and then remits the collections to the City. Ail taxes not
collected as of December ~ are shown as delinquent taxes receivable.
The County Auditor prepares the tax list far all taxable property in the City, applying
the applicable tax capacity rate to the tax capacity value of individual properties, to
arrive at the actual tax far each property. The bounty Auditor also collects a!I special
assessments, exceptfor certain payments paid directly to the City
The County Auditor provides a list of taxes and special assessments to be collected
on each parcel of property to the CountyTreaurer in January of each year, Property
owners are required to pay one~half of their real estate taxes by inlay 1 and the
balances by October ~.
Uvithin 30 days after the lvlay settlement, the County Treasurer is required to pay ~~
percent of the estimated collections of taxes and special assessments to the City
Treasurer, The oun#y Treasurer must pay the balance to the City Treasurer within
~a days after the settlerr-ent, provided that after 4 days interest begins to accrue
~~~~
1 1 ~ Tr V Vir.~^ ~' F7F~F ^~~~~
NOTE 9 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
~. Revenues, expenditures, and xper~ses ~ontinued~
1. Reve€~ues {Continued)
Pro ert Tax Collection Calendar Continued
Current year praperky tax revenue represent the tax levy certified to the County
auditor In ~ecen~ber of dog? ~rhich vas collected during the year ended December
~, X008. any adjustr~ents or abatements to either the current, or any prior year, levy
are adjusted through the current year general property tax revenues. Property taxes
not collected by the County and rer~itted to the City v~ithin 6o days of gear end are
classified as delinquent and not considered measurable and available and are fully
ofl~set by deferred revenue in the governmental fund financial statements delinquent
takes receivable represent the past six years of uncollected ta~c years. NQ allo~rance
far uncollectible taxes has been provided because such amounts are not expected to
be material
1ithin ten business days after November ~ ~, the County Treasurer shall pay to each
taxing d~str~ct, except any school district, ~ gg percent of the est~r~ated coilect~ons
arising from taxes levied by and belonging to each taking district frarn Nlay ~g to
November ~g~
~. expenditures
expenditure recagnit'ron far governmental fund types includes only amounts
represented by current liabilities. since noncurrent liabilities do not affect net current
assets, they are not recognized as governmental fund expenditures or liabilities They
are reported as liabilities an the statement of net assets.
Expenses
Proprietary funds recognize expnser including longterm debt and compensated
absences, when they are incurredF
i~. Use of ~tirnates
The preparation of the financial statements in conformity Frith U,. generally accepted
accounting principles requires management to nuke estimates and assumptions that
affect the reported amounts of assets and liabilities and disclosure of contingent assets
and liabilities at the date of the financial statements and the reported amounts of
revenues and expendi#ures~expenses during the reporting period. c#ual results could
differ from those estimates.
~~~~
CITE ~~ ST~ J~~P~i, ~INN~~TA
IVT~ T~ F~~V~IIVCI'~IL TAT~I~i~NT
~~~I~I~~R 3~, ~0~8
III~T~ T~I~V~~~~I~x ~I~P~.~AN~ ~Ahl~ A~~~JNT~#IL~T1f~
Deficit Fund Balance
The following funds had deficit fund balances as of December ~, ~~~:
These deficits will be eliminated with future revenues or transfers from other funds.
Nar~major overnn~ental Funds:
special Revenue Funds:
Lake 1~IJobegon Trail $ X9,987}
City Beautification ~~8,9~~ }
Deft service Funds:
City 1--lall ~~ FICA Refunding Bonds ofZ~~5A ~~9,97}
~ I~npraven~ent Fonds of ~003D ~~,~ 31 }
N~T~ D~TAILBD N~T~ ONAL. ~~f~~
~. Assets
~ . >eposits and investments
A of l~ecernber ~, ~~~, the City's deposits had a carrying value as shown below.
~e oit T e Balance
Certificates of Deposits ~,5~,4G4
Checking 84,6~~
Savings 2,878,8
Total ~ 8,48,912
AS of December ~, oDB, the City's investment balances were a follows.
UVeighted Standard &
Average Poor's
investment Type
~~~ Balance Maturity Years}
,- ----~ Rating
Broker Certificate of Deposit 1,4~4,~9 3.~~ NIA ~~.
Brokered Money Market 5 ~ , ~ ~ NIA NIA
Total ~ ~,9,7D8
Interest date Disk
As of December ~, X008} the City held $~9~',2 in negotiable certificates of
deposits with maturities of less than one year and ~~, ~ ~ 7 with maturities between
one and two years, and $857,97 with maturities greater than two years.
~~~ ~
CITY ~~ T. J~~PH, i~€~Nhl~~TA~
NDT~ T~ ~~N~IN~1~. T~T~MEhlT
~~CIB~ ~, ~~OS
NOTE 3 DETA[I~~~ NOTES ON ALL FUNDS {CONTINUED)
A. Assets {Continued)
1. Deposits and Investments (Continued)
credit Risk
~finr~~o~ fa~u~e restrict the types of investments in virhich the pity ray invest. The
pity's investment pallor Identifies ten different acceptable investment types and the
minimum reguirernent of each one,
~ . I.1,, Treasury obligations which carry the full faith and credit guarantee of the
Unlted states government and are considered to be the mast secure intrurr~ents
availabie;
2~ U.. government agency and instrumentality obligations that have a Ilguid market
vuith a readily determinable market value excluding high-risk martgage~backed
securities;
, ert~f~cates of deposit and other evidences of deposit at f~r~anial ~nst~tutEOns;
~, ~~~~
, hankers' acceptances;
an~rnercial paper, rated in the highest tier by a nationally recognised rating
agency;
7~ lnvet~rent~rade obligations of state, provincial and local governments and
public authorities;
8, Repurchase agreements vuho underling purchased securities consist of the
aforementioned instruments;
9. Money market mutual funds regulated by the securities and exchanges
ommissian and v~hose portfolios consist only of dallarWdenominated securities;
~ ~. Local gavernn~ent investment pools either state-administered or developed
through joint pagers statutes and other intergovernr~ental agreer~ent legislation,
pity investments must be in carnpliance vuith state end local lavu~
~oncentratian credit Risk
As of December ~, ~aa8, the pity's investments in brokered certificates of deposits
X97°l0}exceeded 5°l0 of the pity's total investment portfolio,
~~~~
CITY ~~ ~', J~~~H, II~NN~~TA
NOTE T~ FIN~NI~. T~TIVINT
N~7'~ 3
DETAILED NOTES ON ALL FUNDS {CONTINUED}
A. Assets {Continued}
1. Deposits and Investments {Continued)
Minnesota Statutes require that all deposits be protected by insurance, surety bond,
or collateral. The market value of collateral pledge must equal ~ ~ D°lo of the deposits
not covered by insurance or corporate surety bonds.
Authorized collateral includes; U~S. government treasury bills, notes, or bonds; issues
of a U.S. government agency; general obl`rgaticns of a state or local government
rated "A" ar better; revenge obligations of a state ar local avernrnent rated "AA" or
better; irrevocable standby letters of credit issue by a Federal Horne Lawn Banl~; and
time deposits insured by a federal agencyF finr~eota ~a~~~e require securities
pledged as collateral he held in safekeeping in a restricted account at the Federal
Reserve Bank or at an account at a trust department of ~ commercial bank ar other
financial institution not auvned ar controlled by the depository.
As of December 31 t ~a0~, alI pity deposits ~rere covered by insurance or collateral.
The follo~ving is a summary of deposits and investments as of December ~, ~~a8:
T ~ Balance
... urm iwi ~ ~r~ irnr~ ui~r nu r~~ ~i rr
Depcs~t $,~$,9~ ~
Investments ~,5D~,708
Petty dash 2~5
Total ~,99~,8
._
Deposits and investments are presented at fair value in the December 3, ~~~5
Basic Financial Statements as follows:
Statement of Net Assets:
dash and Investments including dash ~guivalents~ g,99~,g
~~~
V I i ~~~ t~~. ~~~7~~~~ i~~~~~T~
N~T~ T~ F~NAN~~i~ T~T~~ENT
~~~~iYIL]~R ~ t ~~~
NOTE 3 DETAILED NOTES E3N ALL ~UN~S (CONTINUED)
~1. Assets ~ont'Inued}
. Bpi#al Assets
pital asset e~ivi~y for t he City fog the year ended ~eee r~ber ~, ~00~, is s fo~fe~rs;
Beginning
balance Additions Disposals finding Balance
fi~V~R~IM~NT'AL ATl1~lTI~
Capital Assets not being ~oprociated
land 34,23 ~ 4 34G,2~8
Construction in Progress 2,09,281 248,82 1,331,42 1,57,404
Total Capital Assets not being ~eprciated 3,40,539 248,825 1,331,642 1,922,x'22
Capital Assets being ~eprcciated
improver~ents 497,048 ~ 8,251 488,797
~~rildings 2,402,545 63,74 2,466,309
Infrastr~c#ure 12,883,928 1,396,936 ~ 14,280,864
Machinery and quipm~nt 2,352,398 271,223 14,283 2,649,338
Total Capital Assets being depreciated 18,135,919 1,731,923 22,534 19,$45,308
Less: Accumulated Depreciation for
Improvements 225,966 2$,703 $,251 246,418
Buildings 558,869 67,175 ~ 626,444
Infrastructure 5,543,067 841,947 - G,345,014
Macl~i~ery and equipment 1,445,193 215,859 12,652 1,648,404
Total Accumulated ~eprcciaticn 7,733,005 1,153,684
,,, 20,903 8,865,876
To#al Capital Assets being Depreciated, Net 10}442,824 578,239 1,031 14,979,432
Covcrnrr~~ntal Activities Capital Assets, Net 13,408,303 827,004 ~ 1,333,273 $ 12,902,154
{~~~
ciT~ a~ T~ ~~~~, ~~ ~u~aTA
~aT~E T~ ~«~~uc~~~ T~aT~~~~uT
~~~~~~~~,~a~
NOTE 3 DETAILED NOTES ON ALL FUNDS (CONTINUED}
A~ Assets ~Cont~nued}
~, p~ta~ Assets Continued}
The fa~lavuing is a summery o~ the proprietary fun d cap~tel assets at Decer~ber ~ , X008;
~eg~nning
Balance Addi#ions ~asposals Ending balance
8~51~1~5-TY~~ ACTII~ITIE~
Capital Assets not being Deprecia#~~
Land ~ JI ~t~0~ ,~ W - ~Y ~~~,V~~
Construe#lor~ in Progress ~o,4~3r~~0 fi~,~42 $,322,44 ~,~4,358
Total Capital Assets not being Depreciated ~0,8o1,T32 ~~,942 8,32,434 ~,54~,~40
Capi#al Assets being Deprec~ate~
~U~~~lf I~M7 I }~1fy f ~~ ll~~-TL,~~~ ~,~ T~,V F
Plant and sines ~~,306,~94 1,39,878 3,158 2g,~88,814
Machinery and Equipment 5~3,67~ ~0~,471 - 8~5,~47
Tatal Capital Assets being depreciated 2~,~2~',p14 8,339,~~~ 35,75$ 2~,430,~72
t_ess; Acc~m€~lated epreeiation for
Buildings 778,321 18~,2~1 - 984,582
Plant and Lines 3,147',265 412x91 39,394 3,529,312
Machinery and Equipment 216,236 44,~~2 -
A 4~1 I 2fi1,o0$
To#ai Accumulated Depreciation 4,141,822 643,534 36,394 4,764,62
Total Capital Assets being Dep~ecia#ed, Net 16,9$6,262 7,898,122 5,34 24,676,01
Business-Type Activities Capital Assets, Net ~ 27,186,984 7,759,064 8,327,198 ~ 27,218,250
depreciation expense was chl'ed to ~unotionslp~ora ms o~the Prirrl ary government ~~ ~oliow:
overnn~entl Activities
general overnn~ent $ ~~,~~~
Public Safety ~ ~~ ,8
Public INor~s ~,~~ g
culture and Recreation 6~,~3
Economic development X20
Total ~epreciatian Expense - overnn~entai Activities ~,~5~,84
business-Type Activities
UVater ~ G8,484
unitary Sower ~ 93,6
Storm Sewer ~ ~ ,4~4
Total Depreciation Expense - Busir~ess~Type Activities 4~,~~~
~~~~
CITY ~P T~ J~~PH, M~NN~~T~
N~T~ T~ ~IN~N~~L TAT~~INT
D~~MB 3~, 24Q8
NOTE 3 DETAILED NOTES ON ALL FUNDS (CONTINUED)
~. Interfund ~celvables, PayabCe, and Transfers
~ . due to~fran~ Uther Funds
l~eceiva.f~V Fund ,199~I.PPP1~1~199~1~1~19919PPPI~I~II~IPP1~9111111~~IWI ~~~ ~~n~ " '~aT'nt 1 ~1 pa~~i
I~PI~1~1~1~1~1~1~1~19 i1p111M "'""""""'""""'""" """
~~~1
~#her Governmental Funds tither Governmental Finds ~ 7~,O~D Res olve deficit Casf~ Balances
storm ll~ater Fund ether ~overnrnental Funds ~5>aaa res olve Detic~t Gash Bolance
Total ~ a,a~ a
~. lnfierfund Transfers
Transfers ~n
.D,
.~. Improverent atlle~
Im~rover~ent Bands of Governmental Sanitary
general Bonds of 2aD2 2a~7A Funs 11Vater sewer Totaf
Transfers Out.
avernmental Funds
~enera~ Fund ~ ~ - ~ ~06,93~ w $ - ~O,03~
tither overnr~ental ~ 0,3G4 ~ ~ 31 ~',~ - ~ 3',087
~rOgrietary Funds
Y x G4t~r "i'~ia4la - ~ ~l,aV V ~ - ~J~ Va-1
Seer i 45,00 w ~ 0,000 - ~ 55,Oa0
storr~ vllater ~ 4,0aa ~ 34,075 3D,Oaa ~ - 78,075
Other Proprietary Funds y - 4,900 40,000 47,Oaa 508,9a~
Total Transfers X4,354 $ 9a,0aa 34,075 $ 5~ ~, ~ ~ 4~O,a0a 4?,aaa ~ ,~3~ ,594
Transfers are used to move revenues from the fund pith collecfiian authari~atian to
the debt sorvice fund as the de~fi service principal and interest payments became
duo, move unrestricted general fund revenues to finance variaos pra~rams that the
pity must account for in other funds in accordance pith regulatory and budgetary
authorisations, move residual equCty to corresponding funds related to the funds
closed, and move unrestricted storm grater funds to finance various programs that the
iffy accounts far in other funds in accordance pith budgetary authari~ations.
t ~Cabilities
~. Lang~Tern~ debt
eneraC Obligation fonds
w
The pity issues general obligation bonds to provide funds far the acquisition and
construction of major capCtl facilities including infrastructure. general obligation
bonds have bean issued far both enerai government and proprietary activities.
fonds issued to provide funds far proprietary activities are reported in proprietary
funds 'rf they are expected to berepaid franc proprietary revenues.
~~~
1T~ ~A Tr ~~L.~~ ~I~Lr~Tll-f
N~T~ T~ ~N~IIAI. TAT~N~~IT
D~~I~~~ ~~, X008
NOTE 3 DETAILED NOTES ON ALL FUNDS (C~NTINU~D)
, liabilities Continued}
~ , bong-Term Debt ~Cantinued~
general ~bli ation fonds ~or~tinued
General obligation bonds are d`rreot obligations and pledge the fill faith and credit of
the it~r, Assets of the debt service fund, together Frith scheduled future ad valorem
tax levies, federal grants and special asesrnent, are dedicated for the retirement
of these bonds.
Z, Components afi Lang~Terrn Debt
GaVER~1MENTA~. A~TIV~TI~
General D~~igation Bonds, fnc~uding Refunding Bonds.
- - .,~
General Obligat€or~ Refunding Bonds of ~~~~~; ~.~ to
4.~°l0, Issued 0712813; Final Matc~r~ty ~~1~~11~.
General Dbiigation Certificates of lr~debtedness of
20066; 3.4 to 3.~°Ib Issued 4212210; Final Maturity
~ 214~1~ 0.
General Obligation Certificates of Indebtedness a#
2008A; 3~~ to .°lo Issued 0103108; Final Maturity
12101113.
Fatal General Obligation Bands
General Obligation pecia~ Assessment Bonds;
Generaf Obligation ~mpravement Bonds of 2002; 2.0 to
4.3°l0, Issued 08101142; Final Maturity ~ 214 11 ~.
General Obligation Impraver~ent Crossover Re#und~ng
Bonds of 20030; ~ .~~ to 3.15°lb, Issued 47128103; Final
Maturity ~ 210111 ~ ,
General Cbli~atian Improvement Bands of 2404A; 2,15 to
3.5°la, Issued 4712914; Final Maturity 12101109,
General Obligation improvement Bands of 2005B; 2.5 ~o
~.~°l~, Issued 4310110; Final Maturity 12101x24.
General Obligation Improvement Bonds ~# 2000; 3.5°I~,
Issued 49141145; Final Maturity 12101114.
General Obligation Improvement Bonds of 20060; ~ to
4.25°l0, Issued 4fiJ13145; Finn! Maturity ~214~1~3.
General Obligation Improvement Bonds of 2407A; 4 to
~4.~3°l~, Issued 40141107; Finai Maturity 12141x17.
General Obli~atian Improvement Crossover Refunding
Bands of 24478; 3.6 to 3.9°l0, Issued 11114147; Final
Maturity 12101114.
Total General Obligation Special Assessment Bonds
Add: ~namarti~ed Premium
less; Unamarti~ed discount
Total General Obligation special Assessment Bonds, Net
Drigina~ P~inoipal Bue 11V~t~in
issue Outstanding one Year
~ 815,000 ~~>~~~ $ 50,400
25D,004 130,000 55,440
20,404 X90,000 55,000
x,45,444 184,000
x,700,444 ~,~~~,~~~ 260,000
754,000 180,000 55,404
594, 000 126, 444 I L. ~y1,1L1~
1,655,004 1,384,444 96,000
3,100,004 1,~9~,004 7$5,000
2,375,004 2,~ 30,444 130,400
2,875,000 2,370,000 ~,~~~
984,404 855, 004 144,000
11,395,000 2,495,004
33, 468
32,227} ..
11+39,841 2,095,000
{~~~
~uo~r~ T ~~~~~~L r~~r~~~~T
~~~~~~~ ~~, coos
NOTE 3 DETAILED NOTES ON ALL FUNDS (CONTINUED)
~~a~I~f~1~S ~~D~tlr~ued}
~. omponenf ~f l.on~yTerl~ Debf ~anfin~~d}
GOVERI~MENT~L ACTIVITIES ~o~~i~ue~}
Revenue Bonds
General obligation FDA Public Revenue Bonds of
2003A; 2.0 #0 4.9°l~, issued ~410~I0; F€nal Maturity
121011 8.
general Obliga#ion ~~A Public Revenue Bonds of
2o05A; 2.75 to 4, ~ ~°lo, issued 03101105; Final Maturity
~2~0~115.
Total Revenue Bonds
Loan Payable
Oompensated Absences
Total Governmental Activities Long-Term Liabilities
BUSI~i~5~TYP A~T~V~Tf
General Obligation Revenue Bonds
General Obligation Bever Revenue Bonds of 2001; ~.~
to 5. ~ 5°l0, Issued ~ 0101101; Final Maturity ~ 2101121,
General Obligation UVater Revenue Refunding Bonds of
2002;1.75 to 4.8°l0, Issued 09101102; Final Maturity
1210116.
~enerai Obligation vUater Revenue Bonds of 2005B; 4.0
to 4.25°l0, Issued 12101105; Final Maturi#y 12101125.
general Obligation IlVate~ Revenue Bonds of 2005A; .5
to 4.0°l0, Issued 01112106; Final Maturity 12101116,
Total General Obligation Revenue Bonds
Add: Unamortized Premium
Total General Obligation Revenue Bonds, let
Nates Payable
Oor~~ensated Absenoe
Total Business-Tyke Activities
Total Long~Term Liabilities
Original
Principal ~~€e VIIi#hin
Ou#standing One Year
$ 700,OOD $ 520,000 40f000
64,000 575,000 75,000
~,095,OOD ~ ~ 5,000
28,855 25,866
235,465 30,410
13,78,172 2,449,276
$ 540, 000 $ 465, 000 25, 000
8 ~ 0, 000 455, 000 50, X00
4, 595, 000 4, 595, 000 -
3,575,000 L#7ti.35,0U~ 300,000
44,423
8,294,423 375,000
8$,000 44,000
59,157' 11 }288
8,471,580 430,288
$ 22, 252, 752 2, 879, 554
~~~~
CITY ~F ~~'F J~~P~,1~INN~~T+ ,
N~T~S T~ FINANI~~. ~'~IT~I~~NT
a~~~iB~F~~,~~~
NOTE 3 DETAILED NOTES ON ALL FUNDS {CONTINUED)
. l~iabili~i~ ~~n~in~e}
. ~n~~~ i~r Ion-T~~m ~e~t
~QVRNM~~ITA~. ACTIV~TI~~
Bans Payable:
General 4~iigation Bands
General obligation 5~ecial Assessment Bonds
Ger~erai Gbligation l~even~e goads
Total Bons Payable
Loan Payable
Can7pensated Absences
~avermm~tal Activity Long-Term Liabiiit+es
BUSINESS«TYP~ ACTlV~T~ES
General O~li~atior~ Bands
Note Payable
Compensated Absences
Business Activity Lon~~Term Liabilities
December ~~, Decer~ber 3~, tae V~ithir~
200' Additions Reti~emer~ts 2008 one Year
925,0~~ 2~~,000 ~ ~ 9~,~00 ~ ,02,000 ~ So,~aa
~3,8~5,O~D - 2,500,000 11,305,000 2,495,000
1,205,000 - 110,000 1,095,000 115,000
~ 6,025,0~~ 290,000 2,800,009 ~ 3,515,000 2,39D,000
51x441 ~ 28,581 28,806 28,85
218,185 150,48 138,138 236,405 30,410
X8,301,232 ~ 448,418 $ 2,90`~,3~9 13,780,331 2,449,216
8,605,000 - 355,000 8,25D,009 315,000
132,000 - 44,690 88,000 44,000
0>413 44,816 46, ~ 02 89,157 11,288
8,$27,473 $ 44,816 $ 445,192 8,42~,~5~ 480,288
~~~~
~TY~ ~'! J~P~, i~IN~~~T~
N~T~ T~ F~N~ANI-~~. TAT~MENT
~E~i~~~~ ~ ~ ~00~
N~T~
DETAfLED NOTES ON ALL FUNDS {CONT[NUE~}
~,i~~ifitie ~an~inu~d }
~. Niir~in~urn debt P~yr~ent
debt requirements to n~aturityr ~ foiio~u,
overr~mentai ~cti~ritie
Year n~ing __.____, ~. peciai Aement ~ond~
II II IIIIIIIIIIIIIIIIIIIIIIIII IIIYIY ~evenu~ Bond
December 3~, Principal
hl l I11 ~ IIY ~n~eret Principal
~ Interest
~DQ9
2,95, X00
~~3, 8~3 iI~I S+I~IiP10YYlY I A
I~AIPR~
~ ~ ~ , 000
~, 913
~o~ o ,a~,aoo 37,98 ~ ~o,ooo ~0,~~3
~o~ ~ ~ ,3,000 ~~~,~~ ~ ~~,oo0 30,098
X01 ~ ~ , ~ 9,000 ~~0,808 ~ ,0oa ~ ,~~~
~o~ ~ 790,000 2oa,3a8 ~ 3a,ooo ~0,~0a
~o~4W0~8 3,~8oaooa 00oa3~~ ~~o,ooa 53,80
X01 ~2923 870,00 59,05 - w
Teta~ 11, 3~5,ao0 2,172,457 1,595, 000 $ X31, 797
OIhI~FYI 5 1
Year finding General ~bli at~on ~.oan Pa a ble
~~++~„+~Vr Y~ } ~I~IVPIAIYIIIIi~111111~~rin R/ik/\~141 ~ntV rV t .... ~/yr{~..
~~~{i. Ii 1~Y rV
t
X009 180,Q40 ~ ~~,~~ Yl
i..V~81/4/ ~ ~~
L89
200 175,Daa 31,203
~0~ ~ ~
20,OO0 25,4
5 ~ -
,
Go~~ r
1~5,D00 x
~~,435 ~ W
~
Lod ~ X5,050 ~ 7,08 - -
~
Lo~ ~~~0~ 8 399,DDO 32,78D - ..
Total $ ~,a~5,000 154,859 28,80G $ X89
usinessMT ~ Activities
Year Ending t~l~t l~eVenue Bondi Note
P
a
~rable
_ ................ .....
eem er ,
Principal
YII511A5tli ~ 11AM'
lnteret l
l
S
IiSWYIi~LYW W~I~11R
Principal lnteret
~}
~D09
~?5,DD0 f }
~ 338,00
$ 44,000 3,20
0~0 390,000 3~3,8~ 44,000 ~,~GD
ofi
~ 4
00,0~0 oV,C
J w
~~
rr
Lo~ IG, ~
~L~aV~~ ~
~93,37~
I "F'~l1rVVo L F ~}~LJ~
~0 ~ 4w2018 ~,3~5,000 1,103,06 ~ - -
2D~ 9~20~3 x,445}000 6~ x,474 ~ M
04~~0~8 x,465,000 X34,456 R -
Total 8,~5D,DOD 3,391,089 85,000 ~ 5,250
~~~
~T~r o~ ST. J~~P1~, llNN~~TA
N0~`~ TO ~l'~IAN~AL `rAT~I~~NT
~~~i~~~~ , ~~48
NOTE 3 DETAILED NOTES ON ALE. FUNDS (CONTINUED}
~, Liabilities ~~ontinued~
~. Leases
The pity leases police vehicles and railroad right of way under cancelable operating
leases. Total casts far the leases far the year ended December ~, ~go~ were
a,a74,
~. Risk Management
The pity is exposed to various risks of lass related to: torts, theft ot, damage ta, or
destruction of assets; errors ar omissions; injuries to ernplayees; ar natural disasters
The pity ~prin~ary government} has entered into a joint powers agreement with the
League of Minnesota pities Insurance Trust {LM1T}. The LMIT is a public entity
risk gaol currently operating as common risk management and insurance program for
Minnesota cities, The pity also carries corr~rnercial insurance for certain other risks of
loss, ~nclud~ng employee health insurance,
The agreement for formation of the LM~1T provides that the pool will be self
sustaining through member assessments and will reinsure through commercial
oan~panles tar claims in excess of reserved amounts far each insured event, The
pool can make additional assessments to make the pool elf~sustainin, The pity has
determined that it is net possible to estimate the amount of such additional
assessments; however, they ire not expected to be material to the financial
stater~ents There were no significant reductions in insurance coverage from the
previous year or settlements in excess of insurance coverage for any of the past
three fiscal years,
N~T~ ~ P~NS~~I~ PLANS
A. Plan Description
All fullWtime and certain partWtime employees of the pity of St. daseph are covered by
defined benefit plans administered by the Public ~r~ployees retirement Association of
Minnesota ~PBRA}. PBRA administers the Public rnployee retirement Fund ~PRF}
and the Public Employees Police and Fire Fund ~P~PFF}, which are cost~sharing,
n~ultiple~en~ployr retirer~ent plans ~rhese plans are established and adr~inistered in
accordance with fir~~eso~ ~~u~e, chapters b and ~,
PRF members belong to either the ~aordinated Plan ar the Basic Pfau. coordinated
Plan members are covered by Social Security and Basic Plan members are nat. All new
members must participate in the coordinated Plan, All police officers, firefighters and
peace officers who qualifyfor membership by statute are covered by the PBPFF.
PBRA provides retirement benefits as well a disability benefits to r~er~ber, and benefits
to survivors upon death of eligible members. Benefits are established by state statute,
and vest after three years of credited service. The defined retirement benefits are based
on a merr7ber's highest average salary for any five successive years of allowable service,
age, and years of credit at termination of service.
~~~~
CITY pP T' ~~SPH, MINN~C~TA
NOTES T~ ~'IN~II~. T~TEI~~NT
~EMB~~ 3~, ~~8
NOTE 4 PENSION PLANS (CONTINUED)
A, Plan Description continued}
Two n~eth~ds are used to compute benefits far PERI~'s Coordinated and basic Plan
r~embers~ The retiring member receives the higher of a step~rate banefit accrual formula
~lUlethod ~ } or ~ level accrual farmula ~Methad 2~. Under lethal ~ , the annuity accrual
rate for a Basic Plan member is ~~~ percent of average salary far each of the first ~ a
years of service and ~,7 percent far each remaining year, The annuity accrual rate far a
Coordinated Plan member is ~ ,~ percent of average salary far each of the first ~ 0 years
and ~ .7 percent for each remaining year. Under ll~ethod ~, the annuity accrual rate i ~.~
percent of average salary far Basic Plan members and 1,~ percent far Coordinated Plan
members far each year of service, For P~PI=F members, the annuity accrual rate f .9
percent for each yearaf service. Far all PEPIwF members and P~l* members hired prior
to July ~ , ~ 989 vuhase annuity is calculated using Method ~ , a full annuity is available
when age plus years of service equal 90, Norrr~al retirerr~ent age is ~ far P~PFF
members and ~ far Basic and Coordinated members hired prior to July ~ ~ ~ 989. Normal
retirement age is the age for unreduced Social Security benefits capped at 88 for
~oardinated members hired on ar after July ~ , ~ 989, A reduced retirerr~ent annuity is also
available to eligible members seeping easy retirement.
There are different types of annuities available to n~ernber upon retirement. Asinle-life
annuity is a lifetime annuity that ceases upan the death of the retiree-na survivor annuity
is payable. There are also various types of joint and survivor annuity options available
which will be payable aver joint IivesF Members may also leave their contributions in the
fund upan termination of public service in order to qualify far a deferred annuity at
retirement age. f~efunds of contributions are available at any time to members who leave
public service, but before retirement benef its begin.
The benefit provisions stated in the previous paragraphs of this section are current
provisions and apply to active plan participants. Vested, terminated employees who are
entitled to benefits but are not receiving them yet are bound by the provisions in effect at
the time they last terminated their public service.
PBS issues a publicly available financial report that includes financial statements and
required supplementary information far PERF and PFPFF. That report nay be obtained
on the lr~ternet at www,rnnpera.arq, by writing to PFRA at 89 ~n~pire drive ~aa,
t. Paul, IUlinneota, ~~ OSWa88 or by calling ~~ ~ } ~9~~7'4~a or 1 ~BaD-5~R9D~~a
~~~~
~T~r o~ T. ~o~~w~, ~~~i~aT~
~~T~ T~ ~I~ANCI~IL TAT~Ni~T
D~C~i~~ ~ y X00$
NOTE 4 PENSION PLANS (CONTINUED)
B, Funding Policy
~1ir~r~eso~a iF~~cr~e Chapter ~ sets the rates far employer and employee contributions,
These statutes are established and amended by the state legisiature~ The City n~aices
annual contributions to the pension plans equal to the amount required by state statutes.
PERF basic Plan members and Coordinated Plan members vuere required to contribute
g.~~~la and ~,0°~0, respectively, of their annual covered salary in ~OQB. P~PFF merr~bers
uvere required to contribute S.~1~ of their annual covered salary in Oa. That rate gill
increase to .~°lo in ~~g9, The City of t~ Joseph is required to contribute the foilo~ring
percentages of annual covered payroll: ~,~°la for Coordinated Plan P~RF members and
~ ~.°l~ far P~PFF members. ~rployer contribution rates far the Coordim~ated Plan and
P~PFF vuill increase to ~,7~1o and ~~4.~°l~ respectively, effective January ~, 200g. The
City's contributions to the Public employees retirement Fund far the years ending
December ~~ , ~0~~, ~0~7 and 0~ u~ere ~7,4~, ~~,~05, and ,8~g, respectively.
The City's contributions to the Public rnplayees Police & Fire Fund for the years ending
December 3~, ~OaB, ~O~T, and ~~~~ ~rere ,9~~, ~,7~, and ~,~~~, respectively.
The City's contributions mere equal to the cnr~tractually required contributions far each
year ~~] s~t ~~ state statutk/r
C. Defined Contribution Plan
in ~~~, all elected africials of the City are covered by the Public ~mplayees Defined
Contribution Plan ~PI~DCP}, a multiple~mployer deferred compensation plan
administered by the Public employees retirement Association of Minnesota ~P~RA~. The
P~DCP i a tax qualified plan under section 4~~ ~a} of the Internal ~evanue Cade and ail
contributions by or on behalf of erripiayees are tax deferred until time of ~rithdravual.
Plan benefits depend solely an arnaunts contributed to the plan plus investment
earnings, lass administrative expanses, ~1inr~eso~a faf~tes, Chapter D,o3, specifies
the employee and employer contribution ratan far those qualified personnel whQ elect to
participate, An eligible elected official rho decides to participate contributes percent of
salary uvh~ch ~ matched by the elected off~c~al's empaayer, Far ar~bulance service
personnel, employer contributions are determined by the employer, and for salaried
employees must be a fixed percentage of salary. l~mplayer contributions for volunteer
personnel may be a unit value for each call ar period of alert duty. rnplayees who are
paid for their services ray elect to rake member com~tributions in an amount not to
exceed the en~player share. ~mplayer and employee contributions are combined and
used to purchase shares in one or more of the seven accounts of the Minnesota
upplemem7tal Invetrr~er~t Fund, For administering the plan, PAPA receives t~ra percent
of employer contributions and tu~renty-five hundredths of one percent of the assets in
each member's accauntannually.
There i no vesting period required to receive benefits in the PEDCP.
The er~ployer' contribution amounts far the years ending December ~~ , 2~g~, ~~~',
and DOG here $~ ,GG7, 1,~1~ ~ , and ~ ,~2 respectively, equal to the contractually
required contributions for each year as set by state statute,
~~~
~lT~r o~ T. ~o~~w~, ~INN~oT~
NC~T T~ FlNANl~~, T~IT~I~I~NT
a~C~MB ~~, D~
NOTE ~
PENSfON PLANS {CONTfNUED}
D. #, Joseph Fire Department Relief Associa#ion
Plan a~cri~tion
The public Fn~ployee Retirer~ent system ~P~R} Plan ~Plan~ i ~ inle~ernployer
defined benefit pension plan adr~inistered by the t. Jeseph Fire Department Relief
Association, The Plan provides retirement, disability, and death benefits to plan members
and beneficiaries. Benefits are established by Mate statute, The t. Joseph Fire
Department issues a publicly available financial report that includes financial statements
and required supplementary information for the plan, That repack ray be obtained by
contacting the pity's Fire Deparfn~ent.
Fundin Polic
~1ir~rre~so~a ~a~u~e specify minimurr~ contributions that may be required Pram the pity on
an anr~ua! basis, These minimum contributions are determined based an the amount
required to meet the normal cost plus amorki~ing any prior year's service cast aver a ten
year period, A contribution eras not required from the pity far the year ended
December ~ t ~aa. The t~ daseph Fire Deparfinent Relief Association also receives
funding Pram the Mate of Minneso#a a a tuua percent fire prr~ium tax, The pity receives
the contributions and is required b statute to pass this through as payment to the Fira
Relief Association. lnvestn~entearnings also add to the resources availa~lefarbenefits,
Annu~ l Pension host and Net Pension C~bli atian
The pity's annual pension cast and net pension obligation to PAR for the currant year
vuere as fallo~rs:
Annum Required contribution -
interest onNet Pension Obligation R
Adjustment to Annual Required antribution 3,44
Annual Pension ash 35,44
~.ess Oon~ribu~ion Made 3,44
Increase Decrease} in Net Pension Obligation
Net Pension Obligation Beginning of Yeer
Net Pension Obliga#ion Bnd afYear $ -
The annual required contribution far the current year was determined as parf of
December 1, ~Oa~, actuarial valuation using fhe entry age actuarial calf method. The
actuarial assumptions included ~a} ~°lo investment rate of return and ~b}age and service
retirement uvs assumed to occur of age 5~. Pension benefif obliafian an an actuarial
basis are not calcula#ed for individual volunteer fire relief associations since state
statutes permit alternate calculation 4f required reserves based on overall actuarial
assumptions.
~~~
~T~r~T, ~~~~~, ~~~v~~aT~
NDT~ TQ ~'I~lAh~~l~~. TA~'~MEf~T
~~~~~~~3~, ~0
NOTE 4 PENSION PLANS (CONTINUED)
~~ t, Joseph Fire Deprtent Relief Asoaia#ian ion#inued}
Annual Pension os# and Net ~enion bli ation antinued
The it net pensian obligation far the dire Relief Aaciation for the years ended
~ecen~ber ~ 1, ~aa8, ~gg~, and gad are a follovu~;
Ar~nuai
Pension
f~ecen~er ~~ , Cost Af~
~ao~ ,4~
~Q~7 40,~~'
~~a 47,~~~
f~ercen#~
ofAP
on~ributed
~ ao.a ~~Q
~ oo.a
100.0
Net
f'ensian
~bfi ation
~~~
fVIA
C Y ~~
on~ribu~~~~ ~c~uired and Made
The pity r~a~es contribu#ians to the Association annually in an amount equal to the fire
aid received from the Mate of Niinnesat required by sta#e sta#utes. The pity is
required to mai'Ce addi#ion~l contributions to the Fire Relief Assoc'fation in the folfouvin
year if the follouvin years anticipa#ed administrative expenses plug the anticipated
increase in the required reserves plus amor#i~a#ian of the original unfunded accrued
fa~bifity exceeds the anticipated revenues, The pity was no# required to make any
contributions in excess of fire aid for 0~~, ~~~~ and ~aa6.
ndi~q ~ragre~
As of Deoernber ~ , ~a7 the most recent available infarma~ian~, the Flan vuas under
funded by ~~,. Additional infarrnatian an the funding progress is incfuded in the
required supplementary infarma~ion section ofthi report.
,,,ed~P~rty Iye~trr~~nts
eat
As of Decerr~faer ~ , ~aa8, and for the year then ended, the Association hefd na
securities issued by the ityarother related~parties.
~~~}
CITY ~I~ Tr V~~~1 1~ ~I~I~~~T~
N~T~ T~ ~NANI~t, TAT~NI~NT
D~~I~B~ 3~ ~ ~ODH
~T~ ~ l~i~l~l~Y ~~ 1~lIFICIT ~NTIN~NI ~IN~ ~T~ IT~1
A. Contract Commitments
At gear-end, the City had approximately '! 8o,ooa of outstanding contract commitments.
expanded
Contract through
Project Amount 1 ~~ 1~a08 Comm itmant
P~e~d street Carrador stuC~y '~ , ~ $ ~ L,~,$ ~ ~ 54,370
earth Corridor and CAH ~ ~eal~gn~nent 353, ~ 7~ 327,3 X5,479
southvuet B~Itway study 54,375 X0,590 43,485
~ 5 ~, 334
B, Contingencies
The City, in connection r~ith the normal conduct of its affairs, is involved in various
claims, judgments, and litigation. The City Attorney estimates that the potential claims
against the City riot covered by insurance resulting from such litigation u~ould not
materially affect the financial statements of the City.
. belated ~rgani~ation
The fit, Joseph ~A has issued Public Project revenue fonds of ~~03 and ~DO~. These
Bonds are to finance the City I-~lall and maintenance facility projects. yenta! payments are
due from the City to the t. Joseph ~~A. The City~ill av~n the projects upon completion
of the rental payments. Since the t. Joseph ~~A i reported a a blended component
unit of the City, the lease transactions are not repo~ked. The debt and projects are
recorded as though part of the City,
~, Jointllentures
The St Cloud Area Planning Draniation eras created to keep gavernrnental units and
the general public informed and advised on all matters relative to transportation planning,
pragrar~n~in, and funding. The council is an arani~ed joint venture having the duties,
pourers, and privileges granted joint povuers by Er~r~esofa fatc~~e 4~'~ ~9, luring ~aa8
the City contributed $x,542 to the t Claud Area Planning ~rani~atian. Complete
financial statements can be obtained from: t. Cloud Area Planning ~rgani~ation, ~ a4a
County load 4, tF Cloud, MN 5~3~.
Central Minnesota Major Crime Investigation Unit is a group of local lave enforcement
officers v~rithin the four~county surrounding area that ~vill be available to assist any of the
participating entities in the investigation and solution of major primes, during ~aa8, the
City contributed 2,92 to the organi~atian. !t is reported a ~ special revenue fund of the
City of Sartell~ Complete financial statements can be obtained fram: City of Bartell, P~
fox ~4a, Bartell, MIV ~'?.
~~~7
C~TY~i~ T.J~P~, ~IN~I~~TA
iVOT~ T~ FINANCIAL T~1~'i~i~N~'
aBC~MBR 3~, 240
NOTE 5 SUMMARY OF SIGNIFICANT CONTINGENCIES AND OTHER ITEMS {CONTINUEt3)
D. Joint Ventures (Continued}
t~ Cloud Area Economic Development Partnership is comprised of several area cities,
counties, colleges, universities, public utilities, and other argani~ations. The Partnership
focuses on marl~eting the region tc selected manufacturing sectors and regianallnatianal
service sectors, In a0~ the City contributed S,aaa to this organixatian, Complete
financial statements for the St. Cloud Area conan~lc Development Partnership can be
obtained from. St. Cloud Area Economic Development Partnership, ~ ~ a South
~~ Avenue, St, Cloudt l~iN ~a~,
IV~T~ C~N~UIT ~E~T
Conduit debt obligations are certain lirr-ited obligation revenue bonds or similar debt
instruments issued far the express purpose of providing capital financing far a specific third
party. The City has issued various revenue bonds to provide funding to private sector entities
for projects deemed to be in the public interest. Although these bands beer the name of the
City, the City has no obligation for such debt, Accordingly, the bands are not reported a
liabilities in thefinancial statements of the City.
As of December ~ r ~Da}the City's conduit debt consisted of the following.
Can~n~ercial Development Revenue Note
(Independence Centerj, Series 2001 $ 469,594
Industrial Revenue Bands ~St, Joseph
Development} ~,I~}, Series ~aa~ ._~,_9~,OOD
Tata f
NDT~ ~ ~BS~C~~f~NT EVENTS
On February ~ 9, 2809, the City issued 3,g~ O,agg of General Obligation Crossover
Refunding Bands to refund the 20D~ General Obligation Improvement Bonds and the ~aa1
General Obligation fewer Revenue Bonds, This refunding will result in interest savings of
approximately ~ 0,000 The interest rates on this bond are between ~ .~lo and ~.5°lo and
will mature in December ~92~,
NOTE RECLASS~~IATIC~N ~~' I~UIV~S
In the prior year financiai statements the vvater Access and Sewer Access funds were
presented as nonma~ar governmental funds. These funds have been reclassified as
nonmajor proprietary funds in the current year as they are closely related to the water and
sewer proprietary funds. The understatement of the beginning fund balance far
governmental funds is offset bythe overstatement of the beginning net assets for praprictary
funds.
~~~~
REQUIRED SUPPLEMENTARY INFORMATION OTHER THAN MD&A
ITY~F T. JO~~I~, i~INN~DTA
EN~~AI~ ~N~
Y~~R ~N~~D D~~~~i~R 3'i, ~00~
~1~NU~S
Property Taxes
Sales Taxes
Special Assessments
Business i.icensesand ~'ermit
intergovernmental
Charges fer Services
Fires and Forfeitures
i~iscellaneau Revenues;
investment income
Contributions and donations
Other
Total Reverue
~~~EN~i`~U~~
Garrett
general Government
Public Safety
Public 1Narks
Culture and Recreation
Capital Out~ay
~enerai Oovernrnert
Public Safety
Pubilc vvork
Culture and Recreation
Total Expenditures
E?~Ce of Revenues Over
~L~nder~ Expenditures
C~T'HER FiNANIN DUR~ ~E~~}
iw'rooeed from Sale of Capital Assets
Transfers in
Transfers Out
Total OtherFirancin~ Sources Uses}
NAT CHAN~~ IN FUNS BALANCE
Fund Balances-Beginnirg of Year
FU~~ BALAN~~S ~ ~N~ OF YEAR
VARIANCE
BUDGETED AMOUNTS ACTUAL vl#iTN FINAL
/'1 1'+ti 1 /4 ! 1 7 h f F+• f i Y^ i w a a M i ~ a ~ *r+ w rw ~ ~ wk rr a... w.
~ 1,130, 200 ~ ~ , ~ ~~, ~~~
99,1 QO 99,1 ~~
1,200 1,200
2~40,9D0 240,Q00
904,850 904,850
242,250 242,250
74,500 74,500
52,000 52,000
30,700 30,7D0
1,200 ~ ,200
2,776,060 2,770,060
~ 1,040,124 ~8~,130}
~ q~,7G8 5,8G8
2,802 ~ ,~a2
113,91 ~ ~12G,059~
894,320 ~~ 0,530}
205,431 {3,519}
58, ~ 25 ~G,375}
40,453 X5,51 ~}
32,533 1,833
24,8G8 23,068
2,59,3G5 ~236,695~
712,710 ~ 52,710 ~ 598,890 $ 83,820
1,310,880 1,810,800 1,207,001 43,259
395,355 897,355 301,71 ~ 5,643
150,400 150,400 172,288 {15,885}
10,000 10,000 2,409 7,591
88,1 G5 88,185 11,93 76,472
~ 37,000 ~ 37,000 - 137,a0o
2s8 I ~,~~ ~y~~~i~~~ ,~~~,~~~ ~~~i~7
X42,930} X14,930} 94,772 109,7'02
508 500 - ~5
0D~
~~,~~~ ~3~0~ ~,~~~ ++
~SyL~3~}
- ~20G,932} 205,932
30}588 30,500 182,558} 213,OG8}
~~2,430} ~ 15,570 ~ ~87,795~ ~ ~~03,36G}
fee accopar~yr'ng I~o~es fa the Regc~irecl ~{~~1err~en~ary 1r~far'r~rafrorr,
~58~
CITY ~F T~ J~~RH, l~~l~i~~TA
hl~TE TD THE RE~IR~D U~PI~~M~NT~'Y ~N~`C~I~i~AT~N
D~~i~B~R ~, ~4~
I~ ~~DC~TARY 1111'FRi~iATI~N
The City follows these procedures in establishing the budgetary data reflected in the financial
statements.
a. Ire August of each year, City staff submits to the City Cauncll, a proposed operating budget
far the fiscal year commencing the follo~ring January ~. The operating budget includes
proposed expenditures and the means of financing then forthe upcoming year.
b, Public hearings are conducted to attain taxpayer con~rnents.
c. The budget is legally enacted through passage of a resolution after obtaining taxpayer
comments.
d. Budgets far the General and Special Revenue funds ere adopted on a basis consistent with
U., generally accepted accounting principles,
e, expenditures may not legally exceed budgeted appropriations at the department level. No
fund's budget can be increased without City Council approval. The City Council may
authorize transfer of budget amounts between departments ~rithin any fund,
f. Annual appropriated budgets are adopted during the year for the General and Special
revenues funds, Annual appropriated budgets are not adopted for Debt Service Funds
because effec#ive budgetary control is alternatively achieved through band indenture
provisions, Budgetary control for Capital Project Funds i accomplished through the use of
project centrals and formal appropriated budgets are not adopted.
g. Budgeted amounts are as originally adopted by the City Council There were amendments
far2aa8 primarily relating to the reduction of the capital outlaybudgt foreach function.
Actual expenditures exceeded budget amounts in the folla~ring functions;
Final
u~get
general Fund
Current:
Culture and recreation
Park
Highways and Streets
Snow and lce Removal
Actual excess
~,~4Da ~7~,~88 1,888
Q,B~~ 7g,~4~48 8,088
~~~~
i~Y o~ ~r. ~o~~, ~l ~ ~ o~~
~~~u~~ a~ ~u~u~~~ ~~~~
~~~+~~Q~R J~ r ~~~
Fiscal Year
~r~ding
12131 ~~oa~
~ ~~~ 1290
Accrued l~r~i`unded funded
Value of Assets liability {AA~.~ AAL ~UAAL} Ratio
~~} ~b~ bRa .~,,,,~„ a#~
~~~,~~ ~~~,~~ 87,190 ~o°r~
~~ x,88 79,070 42,4H2 94°l~
~e~efit
per Year
efi Service
~ ~,soa
1,800
1,SOD
Additional inforation relating to the pension plan is provided in Note ~~.
the ~ecer~ber 31, 2008 report is not yep available,
~~~
This Page Hai Been Left flank in~en~~ona~ly.
OTHER SUPPLEMENTARYINFORMATION
COMBINING AND INDIVIDUAL FINANCIAL STATEMENTS
~T~ ~~ Ta ~~~1 ~~ ~NN{rVTl1
OBI~N BALANCE I~~~T
N~NMAJ~R ~VB~NN~B~VTAL FUNa
~~~~~~~, ~a~s
pec;a! Revenue
TIF' 2-7
Economic TIC 1-4 Millstream
Development T1F 1-3 St Joseph Shops aid
Authority Borgert Development Lofts
150) 155 (156 157
A~~'
dash and Inuester~ts
Property Tax Receivable -Delinquent
Notes Receivable
In#erest Receivable
Due from ether avernrnents
special Assessments Receivable
Deferred
Delinquent
Due frorr~ Qther F~rnd
Taal Assets
LIABIL~TI~ AND FUND ~ALAIIl~
~,IA~ILITI~~
Accounts Payable
COntraG~ Payable
Due to ether Funds
Deferred Revenue
Total t_iabilitles
~I~NC~ ~A~.AN~ES
Unreserved, Reported in:
special Revenue - Undeignated
special Revenue -Designated for capital Outlay
Debt Service -Designated
Debt Service w Undeignated
Oapital Proaects - Designated
Total Fund Balances
Total liabilities and Fund Balances
~ 2,975 5,937 $ 26,638 5,741
48 11 67 15
., _
22,023 $ 5,948 ~ 26,705 5,762
2y3~~
2,30
~ 0,413 5,948 X6,705 5,162
390 w
~ 9,1~ 5,948 26,705 5,762
22,023 5,943 ~ 26,795 5,`T6~
~~~~
pe~i~~ Reve~~e
State ~a~e City
eile~t~d F~ar€S ~~e~eatior~ Vlf a~egon street ~~volving Totai
Sales ~'ax Dedieati~~ er~fer Trail ~~autifcatian L~ar~ p~eial
2aa ~ ~o, ~~~ ~~o z~~ ~~o ~~~~~~~
~
~ ~~~,4~D $ 59,4~~ $ 48, ~ 7 23 $ ~9 $ x,548 ~ 844,E ~ ~
- ~,~s~ ~ - 2,00 ~ ~,~~~
~,o~~ ~~~ ~~ - - goo ~,~~
~~,~~~ ~ ~ R ~ ~ ~,~~~
_ .. ..
w - ~ - _
+~ [3~~,~~ ~] ~f,~~~~ ~~~~G ~~ ~ ~r~~ ~ X2,648 ~ 94,848
w w w 4 ~ ~
~ ~,~ ~ 0 49,066 - ~,D~ ~
- x,999 - ~ x,508 ~ 4,499
- 2,04 - ~ ~,0~ ~ ~~ ,~~ ~ 65,94
~~~,~~ ~ 60,44 ~~,~~~ ~9,9$~} ~~~,~~~ } 52,48 ~~~,~~~
- - ~ ~ ~ Sao
~~! }V~~ 1 62,538 J "'flli~ ~~ 2,559 52,48 914,048
~~~~
~~r~r o~ T, ~~~H, ~~~~~oTA
o~~~~~~ ~~~~~~ H~~T~a~r~~~n~
~V~NA~1DR~'V~R~VI~~NTAL ~UN~
~Ei~~~R 31, ~D08
Debt Service
~ --
Stearns
pity Hall ~
Jrnprovement ~lectrlc FDA
Refunding Cooperative Refunding
Bonds of ~.aan Bons of
299?~~,~4~
.~ ~~1 ~005A 322
AC'S
dash and Investments
Property Tax Receivable ~ Definggent
Netes Receivable
Interest Receivable
Due from ether avernrr~ents
Special Assessments Receivable
Deferred
Delinquent
Dge from ~tl~er Funds
380,308 $ 33,433 3,922
~ ~~ x,323 4x323
80~ ~0 13
59 040 2,089
3J~J,~44 - -
Total Assets
I~IABIE.,I~'I~ AND FUND BALAN~D
~.IABI~.ITIE
Accounts Payable
antracts Payable
~ueto ~tber Fends
Deferred Revenge
Total liabilities
t*U~D ~A~,AN~E
Unreserved, Reported in:
Special Revenge ~ Undesignated
Special Revenge -Designated for capital ~~€tlay
Deb# Service µ Designated
Debt Service ~ Undesignated
Capital Projects -Designated
Total Fund Balances
Total liabilities and Fund Balances
7~,39~ 3,402 10,34'
- ~ ~
- ~ 17,Q00
37x,219 ~ ,323 4,323
370,219 fi,323 2,323
38 ~ } 172 34,139
- X10,976}
381,172 34,139 10,976
$ 761,391 3~}462 $ X0,347
~63~
~~~~ ~rVlc~
Fire Hall
~ ~ ~lair~~ennce 0 G~ l~provemen~ ~ D
I~n~ravement Irnpravement Facility ~~A Ref~nding rossaver Irnpravem~r~t Garti~ca~e of
Bandy a~ Bands a~ Raven~e Bondi Bonds of Raf~nding Bands Bands of lnde~~ed~~ss
~OO~A 32~ ~Oa3D ~~8 of ~~O~A ~3~9} aa~B 3~ at 2003 332 2aa~B X33 of 2~0,~,,~,~~33 }
8~,~1 ~ ~a3 ~ 137,39 ~ ~4,~~2 $ a~,7~ ~,9aa
73~ - 2,81 a ~,~74 ~,0~1 930 2,?~7
~~ ~V kf ti1 ~ V~ ~ 1 ~ ~ ~iJ
3~a 1,355 811 a4 44a ~,~~~
~"T,983 •• - 39,39 ~~~~~~~
W *1~,+J~V ~ L,~LJ~ L ~, V
10a,a29 V,'7-l~ ~,~~V ~ ~~a,~~~ ~
~V,L~~
~ ~,~V~,~~'t + ~ ~ ~til~.lti1
'
~~~~~~~~~
T ~ w 4' ~ - Tt ..
25,a00 _ _
~ ,7~ 9 G8,538 ,8~ a 1,77'4 43,D5 531,343 ~
?~~'
,
15,719 94,533 ~,8~ a 1,7'74 43,a25 68,343 ~,7~7
84,31 ~ 1,358 138,89 15,~~6 5~4,2~1 9,192
y X25,131 } w ~ _ _
84}310 25,131 1,358 138,892 1 X5,266 604,291 9,192
~ ~ a0,~29 ~ X9,407 4,1 G8 ~ 40,6 ~ 58,231 1,285,34 11,959
{~~
MT~ ~i ~r ~~FI.~~~' ~I~~4r~
~~NAJ~~ ~VER~~l~i~I~TA~I ~UN~
~~~~~~~ ~~ r ~~
Debt Service
~D G~
Improver~enf ~ertit~cate of Debt Service
fonds of lndeb#ednes Relief Fund Total
2Da~C _~~~8} of 20g8A ~~42} ~390~ debt ervioe
...~~,.
~~~~~~~~ I-191~91~IYil pY i1Y1r10~~~~~~ IIIPVI4YWIIYIIYYY~r~r~M
AET
Cash and Inver#~ent ~'8,~85 g,~23 ~ ~~,~4~ ~,~8,~
Property Tax Reoeivable - Definquen# 2,2a0 _ - ~8,~~~
No#e Receivable - - _ µ
Interes# Receivable ~,~74 19D ~Z4 ,fig
Duefram ~ther~overnmen#s ~,00~ - - 8,~7~
Special Assessr~ent Receivable
Deferred ~a~,~o~ ~ a,~~o ~,~aa,~~a
Delinquent ~,~7 - ~ 1 as,r~ ~
Due fron7 ~tller Funds - 7~,O~a ~G,a~O
Total Asn# $ 1,395,~~' $ 9,73 ~ 2a~,47 4,~84,35~
LIA~ILITI~ Abp l'UI~D ~A~.ANE
LIA~I L~TI ~
Accounts Payable ~ ~ ~ ~ _
contracts Payable W _ M
Due to ether Funds - _ ~ 43,g~~
Deferred Revenue ~08,D~3 - 8,5D 1,8D8,4
Total ~iabiii#ies D$,~~3 - 8,G5a ~ ,~~ ,5~4
l'l~N~ BALAhI~S
Unreserved, Reported ln:
Special Revenue - Under€gnated ~ _ _
Special Revenue ~ Designated for~apital ~u#Iay - ~ -
Deb# Service -Designated 787,84 ~,7~ ~ X2,717 ,3G8,9~ 4
Debi Service „ Undesinated - ~ ~ {8G, ~ a7}
Cpl#aI Projects i Designa#ed w ~ _ ..
Total Fund Balances ~'8~,8~4 g,7~ ~ ~ 92,717 ~,~~,807
Total Liablll#ies and Fund Balances 1,395,27 9,7~~ $ g~,427 4,~8~4,56~
~~
C ~#al l~ro'ec#
Northland ~ODB General Total
Heigh#l 209' freet q~ipmer~# api#al Total Non~a~or
Transporta#ian lrr~~rovemen# Certi~ca#es Outlay Capital overnrr~ental
tidies 4~5 44~ 442 490 Proms Finds
48,20G $ ~~4t479 ~ x,538 4,45 1,43~,~85 4,5~G,27'
` - W - ~ ~ 8,0~~
4 ~ - ~ ~ x,499
7,D28
y - - ~ - 1,G80,8~ 0
- ~ ~ ~ 09,12
70,0 ~ 0
548,20 k ~+~4,"'z'~V VV,VV~ 1~ ~4~,462 k~ 1,435,8 ~ 5,4,094
lLO~ 28,D24 k~ X5,421 I 1 ~~~~~ 1~ I L~ j~ka
W - ~ y ~ 02,0 ~ a
~ ~,~~ 51,592 2,024 ~,~~~ ~~ ~,~~ 2,129,01
W ~ ~ - ~ ~4~}~~
- ~ - ~ X00
,~'~'~ 422,~$~ 8,51 ~ 256,041 ~ ,224,11 ~ 1,224, ~ 1 ~
~1~~4 422,87 8,514 2~~}04~,224,1 ~~ 4,405,0~'~
548,205 504,49 36,588 845,4G2 $ 1,435,585 6,584,094
~~~~
~TY~~T..~O~P~, ~i~~OT~
O~r~V~N TAT~I~~NT ~~ R~V~N~, ~~CP~N~ITUR~, Ah~~
CH~~E I~ FUNS AL,AN~
~ION~AJOR OV'~R~Vi~~NTAL ~`UND
~'~IR ~N~ED ~~C~B~~ 3~, ~~08
ecial Re~ren~e
TiF ~R~
Eea~romic TIF ~-4 Millstream
Development TlF ~ ~3 St. ,laeph Sops and
A~tf~ority Bargert Development .oft
1 ~0 15~ ~ fi ~57~
REVENUES
ener~l Proper~yTaxes $ _ _ ~
Sales Tax R ~ ~ W
Tex Increments - x,84 ~2,~ 33 -
SpecielAssessments _
Intergovernmental ~ ~ R
barges for Services
lifts and Donations ..
Interest an Investrr~ents ~,0~8 X39 ~,4~~ 307
Miscellaneous
Total Revenues ~,0~8 23,98 ~3,5~48 30~
E~~END~T~R
~~RRENT
Pu~Iic Safety
Culture and Recreation
Economic and Cornmunlty Developrnent 38,490 2,D~1 ~0,84~ X50
~I~PITAL OU~'LAY
General government -
P~blic Safety ~ .~ ~ _
~~~Ilc 11Vorlcs ~ _
Culture end Recreation ~ _
Economic and Community Develapmer~t - ~ _
UEBTSERVI~E
Principal .. .,
Interest and Final Charges _ _ _
Totol Expend'i~~res 38,498 ~~,0~~ ?'6,84 ~~
E~CE OI' REVENUES OVER
~I~N~ER~ E~CE~NUIT~RE ~37,46~} x,010 ~13,~93} X243}
OT~IER FfNANI'NO SOURCES ~t1ES~
Bonds Issued _ K
Transfers In 2H,000 - ~ _
Transfers but _ -
Cair~l~~os} on Sale of Eq~,ipr~ent ~ .. ~ _
Tatal Ctf~er Financing
Sources ~~1es} 2g,00p ~ _
NET I~A#~OE IN FUND BA~.AI~CE {,4~Z} x,010 {3,293} X243}
Fund balance ~ Eeginning of Year 29,17 4,938 39,998 6,005
FUNC~ BALA~fCE ~ END OP YE-~R $ 1,9,7 3 ~ 5,948 20,706 5,762
~~~}
Special Revenue
State Fake pity
Ca~lecte~ Par€~ Rec~eat~on ~AR~ vUabegon Street Revaluing Tetal
Safes Tax ~edicatien Center Progra~ Traii ~eauti~ieatian loan Speeial
20~ ~~ ZED ~~~ X30 23~ ~5~ Revenue
~~~,11~~ ~ ~ ~ ., .~ ~ L~i~~
~ ~ ~ ~ 2~ - ~ ~o
r~ ~
y
`~ a4~7 r~ ^~
L}~~ f ,{ r
I ~~4G '" ~f~G~ JUi~~
f~V~ .. ~ ~ 1~~~
~1~~'7V~ tJiT~~ ~t~'7L ~V - ~~~L~ ~~~~tiJ'Tf
w - M - ~ ~,ooQ
w ~ ~ ~' ~ViV~V
~~ r,~ as ~~,~ ~,~a~ ~~~ ~ ~ o,~~~~ ~~}~~ ~ o,~~ ~~~,~~a
~~~~
ITS ~~ T~ J~~~PH,1~~N~~~TA
~MINI~ TAT~i~~NT ~F' R~U~i1~U~, ~~PEhiDiTlJ~~, ADD
Ch~AN~ ~ FIEND BALAN~ ~ONT~NED}
N~hliI~AJO~~~Ni~NTAL ~`UN~
~Y~AR N~ ~~i~iB~R3~, ~~DS
Deh# er,rico
~ Stearns City Hall ~
~ lproven7ent Electric EDA
Certificates of Refunding Co~pera#ive lefundln
indebtedness Bands of Doan Bonds of
of D04 307 ~~078 {329} ~ ~aa5A ~2~
R~V~NU~
General Property Taxes 7~,5?3 ~ 2,31 27,8D4 ~ 94,382
Sales Tax
Tax increments ~ ~ W _
Special Asessr~en#s ~ 9~,54~
lntergavernrr~ental ~,~ ~ 85 2,2~ 0 7, ~ 79
Charges far Services
lifts ar~d Donations ~ _ -
Inferes# on lnves#ments 954 17,D74 x,407 277
Miscellaneous ~ .~
Total Rovenues 80,528 ~ ~ ~,14~ 3~,4~~ 97,838
E~PENDiT~RE
URR~NT
Public Safety - -
Cul#~.€re and Recreation -
Ecanomicand Community l~eveloprr~en# -
CAPITAL OUTLAY
General Government
Public Safe#y - -
Public V~orks ~ - ~ K
Cul#ure and Recreation ~ ~ -
Ecanomicand Carnmuni#y ~eveloprner~t -
D~BT ERIC
Principal 75,000 1~5,0D0 28,58 70,000
Interes# and Fiscal Charges 2,438 40,224 574 23,458
Total Expendi#ures 77,438 ~ 05,224 29, ~ 55 93,458
E~CCESS DF l~11~NU~ ~VR
~UND~R} ~P~NDITURE 3,490 X54,083} 2,24G 4,380
OTl"iER FINANIN C~[~RCE ~UE~
Bonds Issued -
Transfers In ~ ~ 8,00
Transfers Out ~~Q,304~ ~ ~ -
ainJ~l~oss} on Sale of Equipment - - - M
Total Other Financing
Saurces Uses} ~ 10,3G4} ~ ~,~~~
NET ~FIANE IN FUND BALANCB X7}274} ~37,~83} 2,20G 4,3$0
Fund Balance ~ Beginning of Year 7,274 48,355 3,873 X15,350
FUND BALANCE - AND OF YEAS ~ ~ $ 381,72 34,139 ~ ~~0,97~}
~0~~
~~bt Service
Fire Hall
~ ~~ llllainfer~ance ~~ ~~ im~rOVement ~ G~
1m~rOVeme~~ lprovement Facility ~ ~~A Refunding crossover imp~overnent Ce~if~cate of
hands of ~O~ds of Revenue Bonds fonds of Rofundir~g Sor~d Bonds of Indebtedness
2D04A 323 2003 328 of 2a03A X329} 2D~3 ._ _0~ 2~0 ~~32~ X0058 333 of ~~~~~~
~ fi5,S12 ~ X9,533 6T592 20,5G2 20,40 G3,8~9
~ ,900 4,093 ~ - 20,497 ~ 42,493 -
,~4,V V 4, 73l 2,895 ~ ,~2ti1 1,628 ~, ~ ~~
.. 4~ ,524 -
7, ~ 44
~ 2,010 ..
-
0,22 ~ .~
7,420 Q
23,805 ,.
014
~~~ ~ ~ 4 ~ ~,~ U~ ~4yG~~ ~ f ,44~ ~~i I ~4 ~ UU~J~~ ~~,~~
~ 20,000 4~ 5,000 40,000 55,000 ~ 00,000 95,000 00,000
8,580 X0,998 24,123 23}9~3 7',932 5~,9~5 6,720
28,580 425,998 ~4, ~ 23 ~~,~~~ ~ ~ I ,~J~ ~ ~~~~ I ~~,~~~
~~ 02,466} X409,895} 4~ 8,409 ~57,824~ 35,4 2 2,500
4,000 `7~,-1~~ '" w ..
45, 000 4 ~ , 050 ~ ~ - w
{1D2,466~ ~364,895~ 4,197' 8,409 X57',824} 35,412 2,8G0
180 7~T6 330 X64 39 839} ~ 30 423 ~ 83 03D 5~8 5~9 6 382
$4,3 ~ 0 25,131 } ~ 1,358 ~ 38,892 125,200 04,29 ~ ~ 9,192
~~~~
C~TY~ DF T~ JQ~~~, ~iINN~~TA
ON~BlN~NC TAT~I~~NT OF R~11~NU~, ~~P~ND~TU~, AND
NANCY l~! ~U~D BAI~ANE ~C~NT~N~~D}
NNMAJ~ C~V~RN~NTAI~ UND
Y'~A~ ~ND~D D~E~~R ~ ~ ~~0~
debt e~'vice
~~ ~a~
Irnpravement Cer#if~aatas of debt Service
Bands of Indebtedness Relief Fund Total
~60fiC 338 of 2608A 34~ 390 debt Service
RE1l~NUE
Cener~l Praperfy Taxes ~ 66,88 $ ~ - 46~,G5~
Salas Tax ~ _ W
Tax Incren7ents ~ ~ _
Special Asessr~ents 68,E 60 ~ ~ ,44~ 83a,~ 23
Intergovernrnen#al 4,61fi ~ - 3,894
Charges for Services ~ - _ 4~,8~4
Lifts and Donations - _ ., R
In#erest on lnvestmen#s 3,527 4,04 2,G27' ~ ~9,~ 3~
Miscellaneous
Total Reven~,es ~ X8,30 4,649 4,07fi 989,627
EPENDITURE
CURRENT
Puhlio Safety ~ ~ ~ -
Culture and recreation ~ i W _
Econor~ic and Corr~muni#y Development - -
CAPfTAL OI~TLAY
general Covern~nent -
Public Safety _ w
Publio V11or*k ~ .. _
Culture and Recreation - - .,
Economic and Communi#y Development - ~ R
DEBT SERVICE
Prino€pal ~ ~5,~00 ~,308,~81
Interest and Fiscal Charges 92,7'69 ~ 0,0~~ ~ 309,30
Total Expendi#ures 27,169 ~0,02~ ~ ~,~~8,3~~
EXCESS ~~ REVENUES AVER
{~1NDER} E~PEND1TlIRES ~~9,~ 09} ~5,911~ 4,01 {628,684}
DTHER FINANCINC SOURCES ~~lSES}
Bonds Issued ~ ~ x,690 ~ ~ ~}690
Transfers In 283,273 - ~ 886,23
Transfers but - ~ - ~ ~ 0,364}
ainl{I-oss~ an Sale otEquiprnent ~ ~ _
Total ether F;nancing
sources ~l~ses~ 283,73 X5,690 - 39,549
NET CHANCE fly IwUND BALANCES 224,134 9,1~ 4,076 ~231,~ 35}
fund Balance ~ Beginning of Year 563,730 ~ X8$,101 2,569,942
FUND BA~.ANCE ~ END CF YEAR ?'87',864 $ 9,113 $ 192,117 ~,332,SQ1
~~~~
~a lt~l Pra'ects
~lar~l~land 20D8 er~eral Total
~ei~f~tl 200 treed 20D7 Streit Eq~lpme~t dap€~al Tat~l Nor~r~ajar
Transportation Ir~provemer~t l~praveer~ts Cer~ifoate outlay Capital ~overnmeatal
Studies 435 438 44~ 442 490 Projects Find
$ ~ ~ ~ - R R 40~,G5~
- - - ~ ~ ~ 25~,0~ ~
., _ _ - ~ 84,975
_ .. ~ 33D, ~ ~~
4 ~ y - - 3G,8~4
- - - _ ~ - 4,824
_ _ _ ~ _ R 20
.. .. .. .. ~ ~ X50,072
- - - ~ ~ ~ x,000
- - ~ - - x,357,574
- - ~ .. J, I J
,. ~ _ - r~
37,92
- - - 4fi,87 2,250 49, ~ ~ ~ ~~,
- - - 74,384 908 75,352 75,352
77,E 40 55,542 304,941 ~ 38,994 ~ 05,548 713,205 7~ 3,285
2~,54~ 35,~~3 ~~,~~~ ~a,o7o
.. ~>~oo ~ 1,~aa ~,~oa
.. - - 1,308,581
.. ~ .. ,~ 2~ ~ ~,~20 ~~ 4,850
77,148 80,042 304,941 288,79 ~4~,875 904,394 2,714,28$
~77,~4~} ~5~,542} X304,941 ~ ~285,798~ ~14E,575} X904,394} ~1,35fi,7~4~
- - - 274,30 w 274,30 290,000
w ~ ~ 23,000 ~ 78,932 201,932 818,155
- ~253,273~ ~ ~ ~~4,050} ~3~7,32} X327,657}
- - - - ~ 3,200 ~ 3,200 ~ 3,200
- X253}2.73 - 297,310 12$,0$2 172,`1 ~9 591,055
~77,~40} {339,95} X304,941} 8,514 X18,793} X732,275} X705,048}
013,914 339,915 `T27,728 ~ 274,834 1,956,391 5,170,123
$ 530,774 ~ 422,787 ~ $,514 $ 25G,041 1,224, ~ ~ 0 ~ 4,405,977
~72~
~T~ OF T. JOEPI~, ~NNEOTA
TATEENT OF RE~ENU~~ Ei~P~NDI~'U~Er AND
ANE IN FUND BALANCE
~UDET TO ACTUAL
C~NE~AL FUND
FEAR ENDED DE~~ER ~, ~~~8
BUDGETED AMQ~I~T
REVENUES
GENERAL PROPERTYTAXE5
SAFES TAB
Sales Taxes
Fran~~I~ Fees
Total Sales Tax
SI~EGIAL ASSESSMENTS
LICENSES, PERf~ITS, ANf~ FEES
Business f~icenses and Permits
1NTERGOIIERNMENTAL
STATE AND LOCAL
~eea1 Government Ald
PERA lnoreaeAid
MaretVafue Credit
Fire Aid
state Police AId
Federal Orant~
Otherrants and Aids
Total state and Focal
FINES AND FORFEITS
cwARGES FaR ERV~fES
General Governr~ent
Puf~fic Safety
Park and Recreation
Total Charges for ervicee
IVIISCE~.~,ANE0U5
Cantrif~utiens and DOr~atians
Interest Earnings
Miscellaneous Revenues
Total Miscellaneous
Total Revenue
ORIGINAL Ff NAL.
ACTUAL
AMOUNTS
VARIANCE
vVfTl~ FINAL
BUaGET _..
$ ~,~30,~~0 ~,~30,2G0 ~ 1,048,24 $
5,100 5,~ 00 -
94,000 94,000 ~ 04,7G8
~~, ~ ao ~~, ~ ~~ ~ 0~,~~8
~ ,200 ~ ,goo ~,80~
240,OD0 240,000 ~ ~ 3,9 I ~
801,839
1,541
5a,ooo
35,000
500
15,97'0
80,889
~,54~
50,000
X5,000
~~
~ 5,97'0
~9~,85G
1,541
8,~0
~,~~~
~~,~~~
5,953
1 x,485
004,850
7~,50D
48,950
~ 84,800
~ 0,500
242,250
30,00
52,Oao
~ ,~oa
83}900
2,776,00
904,$50
~4,5ao
45,950
8~r8~0
10}500
242,250
30,T00
52,000
~ ,~~~
83,90a
2,70,050
~>~~8
~}~02
~~L~,L18~~
~ 108,983
83,G00
~~~,~~~~
~ 4,3~~
5,458
1,515
894,320 ~10,530~
29,528 ~~7,42~}
~~~~V9~ ~~~~~~~~
5,212 5,288
205,431 ~85,819~
32,538 ,833
24,88 23,OG8
~ 03,884 ~ ~}~~~.
2,539,3fi5 X230,695}
X84, ~ G}
{~,~ 00}
10,~~8
~73~
CITY ~I~ T. ~OEPH~ IVIINIVE~TA
TATEN~ENTOF R~NUE, ~~EIVD~TRES, AND
AIDE HIV FUND ~A~.ANE ~ONTINUE~~
~u~ET T~ A~TUA~
~E~E~A~~u~u~
SEAR Er~~~a ~~~~~~~R , Sao
11ARfANOF
BUDGETED AIVIOUNT ACTI~AL UVITH FINAL
ORIGINAL FINAL AMOUNTS BUDGET
~~PENDITUR~S
CURRENT
GENERAL ~OVERNI~I~NT
~layar and Gaunil ~ 86,290 $ 89,230 55,390 3,834
Administrative and 1=finance 405,190 403,790 378,325 25,45
Other General Governent 220,G30 ~ 89,690 ~ 35,159 54,521
Total General government 712,`10 682,710 598,90 53,820
PU~I,.IC SAIrETY
F'Dlice 865,21 ~ 8G5,21 845,810 19,405
Fire Protection 307,945 3D~',94 301,083 6,862
Ot~e~ ~ 37,1oa ~ 37,700 ~ 0,~0~ ~ ~,~~~
Total public Safety 1,310,860 1,310,860 ,267,601 43,259
HIGHWAYS ANA STREETS
Street Maintenance and Storm Sewers 304,995 30G,995 276,503 30,492
Snow and Ice Removal 50,3G0 50,360 19,443 X29,083}
Street Engineering 40,000 40,000 35,700 4,234
Total Highways and Streets 395,355 39,355 391,712 5,543
CULTURE AND RECREATION
Pants 150,400 156,400 172,288 X15,858}
CAPITAL OUTLAY
General Government 10,OD0 10,000 2,409 7,591
Public Safety 88,165 88,165 11,093 76,472
Fligl~ways and Streets 131}000 137,000 ~ 131,Oa0
C~lt~re and Recreation 8,500 8,500 - 8,500
Total Ga~~tal Outlay 243,065 243,6G5 14,102 229,563
Total Fxpendit~res 2,818,990 2,190,990 2,444,593 371,240
ECI~ OF REVENUES OVER SUNDER}
El~PENpITURE X42,930} ~14,93D} 94,772 134,551
OTHER FINA{CINC DI~R~ BUSES}
Proceeds from Sale of a~ital Assets 500 500 ~ X500}
Transfers In 30,000 30,000 24,364 X5,636}
Transfers Opt - ~ X206,932} X206,932}
Total Other Financing Sources ~l~es} 30,500 30,500 X182,558} X213,068
NET CI~IAN~E IN FUI~II] BALANCE X12,430} ~ 5,570 X87,196} X103,365}
Fund Balances -Beginning of Year 1,149}552
1=UND BALANCES » END OF YEAR $ 1,001,156
{14}
Thy ~~e ~ee~ ~~f~ ~~~nk ~~~en~~on~~y,
QTY C3~ ~'. J~EPH, ~IINNEDTA
~~IN~N TATE~NT~FNETA~TS
N~NAJ~~ POPRITARY FUNDS
D~EE~ ~, ~00~
Sewer
Refuse Water Access Access
603 ~ -- (501) 502
ASSTS
~RRENT ASSNS
dash and Investments Including dash ~qulvalent}
Special Assessments receivable:
Delinquent
Deferred
Accounts receivable
Interest Receivable
Total Assets
LIA~II~ITlES
CURRENT LIABILITIES
Accounts Payable
Due to ether ~overnrr~ents
Salaries and ~Uage Payable
CQm~ensated Absences Payable
Total Current Liabilities
NC}NCURRENT ~,IASILITI~
Compensated Abse~~ces Payable
Total Liabilities
NAT ASSETS
Unrestricted
Total NetAssetsand i~iabilities
X73,170 ~} 514,4&~ fi08,551 ~} ~ ~~I~r~~f
769 - - 769
50,92 i - 50,928
51~ 1,60Q 1,446 3,58
35,551 51O,Q26 X09,997 1,45,574
~7t~~~ ~7,G5
3,170 ~ µ ,1 ~~
550 - ~ 5~0
794 ~ ~ 794
2,172 - ~ 22,172
7,19
29,37 _ r 29,367
29, ~ 84 510,026 009,997 1,422,207
$ 325,55 516,02G 699,997 $ 1,451,574
~~~~
~TY~F T, J~~i~, i~~~lN~~T~1
C~MBIN~h~ T~T~I~~NT~F R~V~~IU~ ~~P~~V~AN~~~IN~ IN NTA~T
N~~I~A~ PR~PRi~TA~Y ~UN~
'Y~~~ ~~~ D~MB~R 3~, ~~~8
defuse Water Access Seer Access
~3 ~~~ ~~2 Tota!
~~~~ATIN ~~V~~VU~
charges For services $ ~~~,5~~ $ ~,~~ ~4,~92 7,4~
C~P~RAT[N ~~CPEN~
Y Y G{~~i~7 Rnd GIIGirl~~7 "S~JjV~ '7~,1,/VV
Ma~eriais and uppiie ~4~ W R 44~
Professional Services ~,~3~ ~ ~ x,23$
contracted Services ~~ 0,~5~ ~ fi 9,032 ~0,~8~
Misceffaneous fi,068 W - fi r968
Toga! Operating expenses ~~,078 W ~ 93,032 4~8,T~ 0
~~~~ITING INS {LOSS} ~~,8~2} 50,232 {1G8,040} ~~2~,2~0}
~~N~~~~ATIN '~h~U~S {~P~NS~S~
Investment Income ~ o,89 33,95 X0,582 75,496
I~~T ~NC~I~~ ~L~S} ~~~~~ TIANS~ERS S,ol 8~,fi~f ~fi~',9~8} ~~4,~4}
Transfers Out W ~2o,90D 8H,900 508,999
CWANC~ ~~ f~~T ASSTS 5,027 {5,~2} ~220,8a8} ~554,654~
Net Assets -Beginning of Year 285, fi ~' 85fi,849 88,855 ~ ,970,85
NAT ASSETS - ~N~ ~F Y~AI~ Z96, fi 84 $ 5fi G,02S x,97 ~ ,4~Z,07
{~~~
~T~ F' T~ JOSEPH, i~NN~~TA
C~M~1N~N STATEMENT ~~ CASE FL~11~
N~N~IA~~R PROPRIETARY' FUND
YEAR EN~E~ DECEMBER ~~, 0~~
AW ~~.~1~V FROM ~PERATIN~ AT~'IT~~
Receipts fror~ customers and Users
Payr~ents to suppliers
Paymen#s to mployoes
Net Cash Provided {Used} by operating Activities
GASH F~.~VIt ~R~t~ N~NCAPITAL AND
RELATED t'tNANtN ATiVITIE
Transfers to Othor Funds
SAM FL~~IV I'R~~ INV'~Tihl
ACT1VtTIE
Interest and Dividends Received
NAT IN~REA~ ~D~R~A~} IN cASH AND
CAW E~uI~rA~~NT~
dash and dash ~quiva~ents ~ Beginning of Year
CASH AND CAI EQUt41Al~~NT ~ END ~F YEAR
RECONCILIATION OF OPERATING INCOME (LOSS)
TO NET CASH PROVIDED (USED) BY
~P~RATING ACTIVITIES
Operating Income (Loss)
Adjustments #o Reconcile Operating Income {Lass) to
Net Cash Provided (Used} by Operating Activities:
(Increase} Decrease in Assets:
Accounts Receivable
Special Assessments Receivable
Increase {Decrease) in Liabilities:
Accounts Payable
Salaries and Wages Payable
Dui to Other Governments
Compensated Absences Payable
Total Adjustments
Net Cash ProvicEed (Used) by Operating Activities
defuse ~Vat~r Access evuer Access
5a3 ~~~ ~2 Total
L4,~2 +~ ~ViG32 ~1 24,32 328,875
{2~ 7,558} - {~ 3,Q32} {41 a,aa}
42, 522 ~ - ~~, ~~
{5,835} x,232 {~ G8,64a} ~~ 24,~46~
" {42~,~gg} {8U,94a} {508,9x0}
~ 2, ~ g3 39,405 37,297 88,895
5,355 ~g,2} ~22~,243} {544,25}
255, 8 ~ 5 844, 788 828, 794 ~ , 94~, 397
$ 273, ~ ~~ ~ 4,425 508, 5 ~ $ ~ , 395,147
{,~~~} 50,232 ~ {158,540} {121,250
724 W ~ 724
592 - - 592
1,030 w ~ ~ ,030
{1,51} - ~ {1,512}
X3,488} - - {3,488
442 ~ _ 442
2,995 - ~ 2,996
{5,838} 50,232 158,54} ~ 24,24}
~~~~
This ~~~ ~a Bey ~..~t Bland Inn#~onily.
REPORT RE~AT~D T~ CC~~1~'1~~N11~7'~4C1~~~11~C ,T~~VD~414D
f~
~.1.!'
-nrv~+vu,la~sonall~r~.co~n
1~~~~T ~N lNT~~N1~l~ ~~T~~ OVA ~l1VANIAL ~~~~T~N~ ~N~ ~l~ DMPLI~IV ANA
~TH~R l~ATTI~ BA~~ {~N ~~ A~~pIT ~~ F~111ANCl~I~ TATI~~NT P~R~~RI~~ I~
~I~RD~IN~ 1~V1TH ~II~'RlUN1~`I~T A~]~7'~l~C ~~~R~
l~anorable la~yor and
Members ofthe City Council
City of fit, Joseph
fit. Joseph, Minnesota
live have audited the accon~pan~ring financial statrrxents of the gavernn~ental activities, business~type
activlt~e each ma~ar fund, and the aggregate rer~a~n~ng fund informat~an of the Clty of fit. Joseph,
Minnesota ~City~, as of and for the year ended December 1, ~aa8, ~rhich collectively car~prie the City
of t, Joseph's basic financial staterents and have issued our report thereon dated 11~arh ~ , Ogg.
v11e conducted our audit in accordance Frith ~~, generally accepted auditing standards and the
standards applicable to financial audits contained in overr~err~ Au~i~ing ~~r~d~~s, issued by the
Can~ptroller General of the United States.
Internal Control fiver I*inancial ire artin
In planning and performing our audit, uve considered the City's internal contras over financial reporting in
artier to determine our auditing procedures far the purpose of expressing our opinions on the financial
statements, but nit for the purpose of expressing an opinion an the effectiveness of the City's internal
control over financial reporting, ~Iccordingiy, eve do nit express an opinion on the effectiveness of the
pity's internal contro! over financial reporting.
fur consideration of internal control over financial reporting vas far the limited purpose described in the
preceding paragraph and v~rould not necessarily identify all deficiencies in internal contra! over financial
reporting that might be significant deficiencies or material ~reakneses. Haever, as discussed belouu,
vie identified certain deficiencies in internal cantral aver financial reporting that eve consider to be
significant deficiencies.
A control deficiency exists ~rhen the design ar operation of a control does nat allor~ management ar
en~playeer in the normal course of performing their assigned functions, to prevent ar detect
n~isstaten~ents on a timely basis. A significant deficiency is a control deficiency, ar car~binatian of
contra! deficiencies, that adversely affects the City's ability to initiate, authorise, record, process, ar
reportfinancial data reliably in accordance vuith generally accepted accounting principles such that there
i more than a remote likelihood that misstatement of the City's financial statements that is mare than
inconsequential u~rill not be prevented ardetected by the City's internal cantral v1~e consider deficiencies
~~-g~ and a~~at described in the accompanying schedule of findings and recamrnendations, to be
significant deficiencies in internal control averfinancial reporting,
~~~~
'~ ~ -~ ~.;~i•S()i11~~1('il 1.,1..1' is ~~ r~~cml?cE• c~l~~rc~xia ]i]rC~•l~,~ii()n,~l, s1 kti~t>~'Ic~~~~ECIc~ i1tt~~+c~E•Ic c~l• iEZCle~~ctjc~c'.i1C i~~:C(}liE)llll{7 ~iEl(~ (:(}11SklI~tl3~} {iE~~7~s.
~~~~~-
~~~ ~
I~anorable Mayor and
Members o~the pity council
pity of t..~oseph
Internal Control fiver ~`inanc"ral Re ortin continued
n~rater~al weakness ~s a significant deficiency, or can~hination of significant deficiencies, that results in
more than remote likelihood that material misst~ten~ent a~ the financial statements will not be
prevented or detected by the en#ity' internal control.
fur canideratian of the internai control over financial reporting was forthe limited purpose described in
the first paragraph of this section and would not necessarily identifiy all deficiencies in the internal
control that might be significant deficiencies and, accordingly, would net necessarily disclose all
significant deficiencies that are also considered to be material weaknesses. ~lauvever, of the significant
deficiencies described in the accompanying schedule of findings and recorrrrnendation, we consider
items a~~a1 to be a material weakness.
Compliance and ether Matters
~ part ofi obtaining reasonable assurance about whether the City's financial statements are free of
matriai r~isstater~ent, we performed tests of its compliance with certain provisions of laws, regulations,
contracts, and grant agreements, nancarnplianaa virith which could have a direct and material effect on
the deterr~inatian ofi fiinancial taten+-ent amounts. However, providing an opinion on compliance with
those provisions was not an objective of our audit and, accordingly, we do not express such an apinian.
The results of our tests disclosed no instances of noncompliance ar ether matters that are required to
be reported under o~rerr~r~en~ A~d~~in~ ~ar~dard~
This report is intended solely far the information and use of management, the auncil, and state and
federal grantor agencies and passWthraugh entities and is net intended to be and should net be used by
anyone ether than these specified prtieF
~~a~ ~~ ~
~.aronl~e~ ~~.P
t, Claud, Minnesota
March ~ ~, g0
~~~~
phi Pay I-~a ~er~ ~.~f~ Ink In~en~ional~yF
CITY ~~ T. J~~PH, i~~NhIE~TA
H~~H.~ ~~ FfhlDIN ~N~ RE~iII~N~~IT~~i~
~'~~IR ~ND~D ~~l~~~R ~, ~DqB
~AT~R~,AI~ w~~1~C~V~ ~ ~iVA~VCIJ~L RP~RTI~V:
~~-~~ SCRI~~TIlV ~~ DUTIES
C~i~e~~a: The City Council should constantly be aware of the need to have adequate segregation
of duties regarding the processing of transactions for the City, in addition, City management
should be aware that the concentration of duties and responsibilities in one or a vary few
individuals i not desirable from an interne! co~rtro! perspective.
C~~~~~io~: Adequate segregation of the accounting functions necessary to ensure adequate
interne! accounting contra!, i not in place. Some of the areas whore adequate segregation of
duties is net in place are; utility billings, general repeipt, capital assets, payroll, and general
disbursements.
Cause: The City has a limited number of personnel within the business management office,
~€ec~: The lack of adequate segregation of duties can result in incorrect financial information,
failure to detect misstatements or misapprapriatians, and the City's procedures net being
adhered to.
Reoorr~~nendatian~ vUe recommend the City Council be aware of the lack of segregation of
duties within the accounting functions and provide oversight to ensure the interne! cantroi
policies and procedures are being implerr~ented by City staff and periodically review applicable
respansibilitie~nd reassign there, as feasible.
~R~IDULY R~PC~T~D iT~~ R~S~~~D~
g7~0~ pf~l~l~ ~~RI~D ADJUSTIVI~NT
~r~or period adjustments were proposed by the client to correct previously issued financial
statements.
Re~lut~en:
f~a similar issues noted during the current audit.
~~~4~ ~~f;PAI~ATI~N ~F %1N~NClAI_ TATI~I~I~NT
The City did net have a cor~plete process in place for the preparation of the financial
statements.
Resolution:
The City has undertaken additions! procedures regarding the preparation of the financial
statements and related processes.
~~~~
~1TY ~F ,T, J~~PH, M~N~I~s~T~1
H~~U~.~ ~F FINQiNs ~1~~ R~C~MI'V~~IT'ION {~NT~hlU~~~
YEAR END~~ ~C~IB~R ~, aa8
lf~I~IC~~V~" ~~FII~NY ~ ~IN~NCiAL. R~P~R`~If~:
o~wo~ ~L~D1T A~JI~TI~l~NT
criteria: The ityCounci! is responsible foretablishingand rr~aintainin internal controls forthe
proper recording of the Cites accounting transactions, including account coding and reporting of
accruals and net assets.
Canditit~r~: As past of the audit, e proposed audit adjustments for accruals and
reclassifioation~
sue: irlat kno~rn
~e~: The design of the interns! controls over recording transactions and year-end accruals
limits the ability of the City to provide accurate accrual basis financial information,
Recomn~endtivn: vile recommend City r~anaement and financial personnel continue to
increase their evuareness and kno~rledge of all procedures and processes involved in recording
transactions, accruals; and reclassifications and develop internal control policies to ensure
proper recording of these items,
L-~f~ C~NiPL1ANE FI1V~il~~
~R~III~ULY R~P~RTE~ iT~~ R~~L~~
0~-0~ ~T ~~ STATE Tl~Alll~ ~'~LICY
The Gity did not have a formally approved out of state travel policy that net statutory
requirements.
Resolution:
The City has adopted an out of state travel policy in accordance v~rith state statutes.
~~-~~ ~~.LATERAL AINENT AI~~NI~NT
The pity's collateral assignment agreement did not require the release of collateral upon default,
Resolution:
loo imilarissue noted during the current audit.
07-04 ~~~,CATIC~N ~ ~Tl-~CRiTY F~l~ P~I~INC C~RTAfI~f C~.1Ni
The City Council had nQt formally adopted a resolution delegating the authority to pay certain
claims to the Administrator and ~i~rance irectar.
Resolution:
A formal resolution has been passed by the City ounci! delegating the authority to pay certain
cla'rr~ to the Administrator and 1=finance director.
{a~~
~~TY ~F T. J~~~I~, ~IINi'V~OTA
~~au~~ ~~ ~~~ a~~u ~~va ~~coiv~~~ua~T~~~u ~o~T~~u~~a~
~~~ ~a~a a~~~~r~~, ~aa~
LEGAL COMPLIANCE FINDINGS (CONTINUED).
PREVIOUSLY REPORTED ITEMS RESOLVED (C4NTINU~D)
~~T-~ F~~LY F L~T~ONI PAY~~NT
The City did nat have a formal ei~ctranic payment palicy ~ required by ~1rr~rreo~a ~a~~~e
~7 ~ .3~ ~
~eo~uian;
The pity has adapted n efetranic pa~rment transfer palioy in aacardance vuith state statutes.
~~~~
This Pale His Be~~ ~.~~ ~l~nk lr~~~n~io~l~y,
C
~.
i ~~.~y
~;~'1~s, C1t~~~s~~l~~rr~~rs ~ Ac~v~sc~rs
www.la~sonal ler~.~orn
~~P~RT ~N MII~N~~~'~ ~~Al. ~I~PL,~AN~
i~lonorabie il~ayor and
Members of the pity council
pity of fit. Joseph
t..~oseph, Minnesota
we have audited the accompanying financial statements of the governmentai activities, the business
type activities, each ma~ar fund, and the aggregate remaining fund information of the pity of fit. Jaseph,
fUlinr~esata, as of and for the year ended December ~~, ~aa~, and have issued our report thereon dated
fUlarch ~, ~4a9,
Uve conducted our audit in accordance with U., generally accepted auditing standards and the
provisions of the Audit guide for ~.acal aver~nrner~~, promulgated by the state Auditor pursuant to
~#~nrreo~a ~fu~e ~.~. Accordingly, the audit included such tests of the accounting records and such
other auditing procedures a eve considered necessary in the circumstances.
5
The ~~~oo~~ Legg! orrlpl~ance Audt~ Utde far LOCai oVerrrr~er~~ savers seven main categar~es of
compliance to be tasted; car~tracting and bidding, deposits and investments, conflicts at interest, public
indebtedness, claims and disbursements, miscellaneous provisions, and tax increment financing. fur
studyincfudd alf ofthe listed categories.
The results of our tests indicate that far the items tested, the pity complied Frith the material terms and
conditions of applicable legal provisions.
This report is intended solely far the information and use of n~anagen~ent, pity ~auncil, and the office of
the state Auditor of Minnesota and i not 'intended to be and shaufd not be used by anyone other than
those specified parties.
~no.~„I~Vl~.. ~~P
Larsonl~l~en ~,~P
St, Cloud, Minnesota
March ~, aa9
~~~~
~~~~ ~,,.,... ~ ~ ~.;r~•sc~~~f~~itF~ 1,1.,1' i~ ,~ iti~c'~7til~~~r r~f~ I\'~cai;x ~j~~~crna~ic~~zal, ~t ti5rc~~~Ic~~v~d~' 3~crtitircJ3'~{ c~~ i~~c~c~~~i~{ici~t {zcx~c~i~i7ti3t€, ~~37c~ cc~~~~~~~rin~; lirix~s.
~r~a~ ~
This ~'~g~ Hai ~e~ ~~t ~~ar~k ~n~en~~~na~~~,