|
CITY OF LITTLE CANADA, MINNESOTA
<br />MANAGEMENT’S DISCUSSION AND ANALYSIS
<br />YEAR ENDED DECEMBER 31, 2018
<br />
<br />
<br />
<br />(16)
<br />
<br />Notes to Basic Financial Statements – The notes to basic financial statements provide additional
<br />information that is essential to a full understanding of the data provided in the government-wide and
<br />fund financial statements.
<br />
<br />Other Information – Combining statements and schedules for nonmajor funds are presented
<br />immediately following the notes to basic financial statements.
<br />
<br />The following is a summary of the City’s net position:
<br />
<br />2018 2017 2018 2017 2018 2017
<br />Current and Other Assets 18,702,695$ 19,659,262$ 2,379,601$ 2,202,068$ 21,082,296$ 21,861,330$
<br />Capital Assets 29,463,793 34,626,759 8,109,979 8,484,312 37,573,772 43,111,071
<br />Total Assets 48,166,488 54,286,021 10,489,580 10,686,380 58,656,068 64,972,401
<br />Deferred Outflows of Resources 94,360 155,690 77,924 109,058 172,284 264,748
<br />Long-Term Liabilities 5,139,234 6,991,841 492,156 80,834 5,199,814 7,072,675
<br />Other Liabilities 1,498,371 1,133,267 121,666 561,395 2,051,613 1,694,662
<br />Total Liabilities 6,637,605 8,125,108 613,822 642,229 7,251,427 8,767,337
<br />Deferred Inflows of Resources 147,878 155,639 122,119 109,022 269,997 264,661
<br />Net Position:
<br />Net Investment in Capital Assets 25,481,497 29,029,105 8,109,979 8,484,312 33,591,476 37,513,417
<br />Restricted 4,622,305 5,247,575 - - 4,622,305 5,247,575
<br />Unrestricted 11,371,563 11,884,284 1,721,584 1,559,875 13,093,147 13,444,159
<br />Total Net Position 41,475,365$ 46,160,964$ 9,831,563$ 10,044,187$ 51,306,928$ 56,205,151$
<br />Governmental Activities TotalBusiness-Type Activities
<br />
<br />The City’s net investment in capital assets is $33,591,476 or 65.5% of the total net position, and reflects
<br />its investment in capital assets (e.g. land, buildings, infrastructure, machinery and equipment, and
<br />vehicles); less any related debt used to acquire those assets that are still outstanding. The City uses
<br />these capital assets to provide services to citizens; consequently, these assets are not available for
<br />future spending. Although the City’s investment in its capital assets is reported net of related debt, it
<br />should be noted that the resources needed to repay this debt must be provided from other sources,
<br />since the capital assets themselves cannot be used to liquidate these liabilities.
<br />
<br />An additional portion of the City’s net position, $4,622,305 or 9.1% represents resources that are
<br />subject to external restrictions on how they may be used. The remaining balance of unrestricted net
<br />position, $13,093,147 or 25.5% may be used to meet the City’s ongoing obligations to citizens and
<br />creditors. At the end of the current fiscal year, the City is able to report positive balances in all
<br />categories of net position, both for the City as a whole, as well as for its separate governmental and
<br />business-type activities.
<br />
<br />The City has historically been financially conservative, managing revenues and expenditures/expenses
<br />to assure the operation of a balanced budget. This conservative approach and the sound financial
<br />position the City has attained, have resulted in the City’s excellent bond ratings: AA+ for all general
<br />obligation bond issues.
<br />
|