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Management's Discussion and Analysis <br />The City's net position increased by $5,442,106 during 2017. Key elements of this increase <br />are as follows: <br />City of Lino Lakes' Changes in Net Position <br />Expenses: <br />Governmental Activities <br />Business -Type <br />Activities <br />Totals <br />2017 <br />2016 <br />2017 <br />2016 <br />2017 <br />2016 <br />Revenues: <br />Public safety <br />5,166,538 <br />6,567,523 <br />5,166,538 <br />Program revenues: <br />Public services <br />5,492,395 <br />6,228,893 <br />5,492,395 <br />Charges for services <br />$3,600,902 <br />$2,744,984 <br />$2,849,797 <br />$2,754,219 <br />$6,450,699 <br />$5,499,203 <br />Operating grants and contributions <br />1,106,014 <br />722,858 <br />- <br />- <br />1,106,014 <br />722,858 <br />Capital grants and contributions <br />4,141,383 <br />5,046,307 <br />836,029 <br />1,543,947 <br />4,977,412 <br />6,590,254 <br />General revenues: <br />Water <br />- <br />- <br />1,245,249 <br />1,367,693 <br />1,245,249 <br />General property taxes <br />9,441,819 <br />9,049,671 <br />- <br />- <br />9,441,819 <br />9,049,671 <br />Tax increment <br />312,152 <br />293,829 <br />16,755,858 <br />3,147,070 <br />312,152 <br />293,829 <br />Grants and contributions not <br />Increase in net position before <br />restricted to specific programs <br />181,712 <br />91,385 <br />- <br />- <br />181,712 <br />91,385 <br />Unrestricted investment earnings <br />207,792 <br />210,142 <br />106,488 <br />107,119 <br />314,280 <br />317,261 <br />Gain on disposal of capital assets <br />38,022 <br />66,255 <br />- <br />- <br />38,022 <br />66,255 <br />Total revenues <br />19,029,796 <br />18,225,431 <br />3,792,314 <br />4,405,285 <br />22,822,110 <br />22,630,716 <br />Expenses: <br />General government <br />2,395,633 <br />2,456,864 <br />2,395,633 <br />2,456,864 <br />Public safety <br />5,166,538 <br />6,567,523 <br />5,166,538 <br />6,567,523 <br />Public services <br />5,492,395 <br />6,228,893 <br />5,492,395 <br />6,228,893 <br />Conservation of naturual resources <br />200,016 <br />216,905 <br />200,016 <br />216,905 <br />Community development <br />459,455 <br />454,144 <br />459,455 <br />454,144 <br />Interest and fees on long-term debt <br />518,897 <br />831,529 <br />- <br />- <br />518,897 <br />831,529 <br />Water <br />- <br />- <br />1,245,249 <br />1,367,693 <br />1,245,249 <br />1,367,693 <br />Sewer <br />- <br />- <br />1,901,821 <br />1,850,962 <br />1,901,821 <br />1,850,962 <br />Total expenses <br />14,232,934 <br />16,755,858 <br />3,147,070 <br />3,218,655 <br />17,380,004 <br />19,974,513 <br />Increase in net position before <br />special item and transfers <br />4,796,862 <br />1,469,573 <br />645,244 <br />1,186,630 <br />5,442,106 <br />2,656,203 <br />Special item <br />- <br />1,333,166 <br />- <br />- <br />- <br />1,333,166 <br />Transfers <br />(308,694) <br />(914,414) <br />308,694 <br />914,414 <br />- <br />- <br />Change in net position <br />4,488,168 <br />1,888,325 <br />953,938 <br />2,101,044 <br />5,442,106 <br />3,989,369 <br />Net position - January 1, as previously reported <br />42,819,930 <br />40,754,159 <br />45,724,057 <br />43,800,459 <br />88,543,987 <br />84,554,618 <br />Prior period adjustment <br />(692,480) <br />177,446 <br />- <br />(177,446) <br />(692,480) <br />- <br />Net position - January 1, as restated <br />42,127,450 <br />40,931,605 <br />45,724,057 <br />43,623,013 <br />87,851,507 <br />84,554,618 <br />Net position - December 31 <br />$46,615,618 <br />$42,819,930 <br />$46,677,995 <br />$45,724,057 <br />$93,293,613 <br />$88,543,987 <br />Governmental Activities <br />Governmental activities increased the City's net position by $4,488,168 during 2017. The <br />cumulative effect of increased charges for services and decreases in public safety expenses <br />and public services spending account for the increase in 2017. This increase was partially <br />offset by transfers out to business -type activities of $308,694. <br />23 <br />