|
CITY OF LINO LAKES, MINNESOTA
<br />NOTES TO FINANCIAL STATEMENTS
<br />December 31, 2019
<br />CHANGES IN LONG-TERM DEBT
<br />The following is a schedule of changes in City indebtedness for the year ended December 31, 2019:
<br />Begirming Ending Due Within
<br />Balance Additions Deletions Balance One Year
<br />Govermnental Activities:
<br />General obligation borxls $18,780,000 $ $1,185,000 $17,595,000 $1,240,000
<br />Special assessment bonds 3,890,000 1,035,000 2,855,000 1,050,000
<br />Direct borro\\ings IJ71,025 388,535 595 075 1,064,485 565,000
<br />Total borxls and notes payable 23,941,025 388,535 2,815,075 21,514,485 2,855,000
<br />Unamorti2l0d bond premiums 527,800 51,661 476,139
<br />Unamortized bond discoiws (15,987) (2,677) (13,310)
<br />Compensated absences payable 813,872 525,435 538,125 801,182 478,866
<br />Total gO\ernmental activities S25,a66 17to $913,970 $3,402,184 $22,778,496 ..J1ll1.866
<br />Business-'Iype Activities:
<br />Compensated absences payable $32,878 $42 194 $35,804 S39,a6s ~596
<br />DESCRIPTIONS OF LONG-TERM DEBT
<br />General Obligation Bonds -The bonds were issued for improvements or projects which benefited the City as a
<br />whole and, therefore, are repaid from ad valorern levies.
<br />Special Assessment Bonds -The bonds were issued to finance various improvements and will be repaid
<br />primarily from special assessments levied on the properties benefiting from the improvements. However, some
<br />issues are partly financed by ad valorern levies.
<br />Utility Revenue Bonds -These bonds were issued to finance various improvements in the water fund and will be
<br />repaid primarily from pledged revenues derived from the constructed assets.
<br />Certificates of Indebtedness -the certificates were issued to finance capital purchases in accordance with the
<br />City's Capital Equipment Replacement Schedule and will be repaid from ad valorern levies.
<br />Capital Note-This note was issued to fund the cost of the acquisition of capital equipmentto be used by the
<br />North Metro Telecommunications Conunission in the operation of a cable communications system. The note
<br />will be repaid from franchise fee revenue.
<br />The City's agreements related to direct borrowings do not contain any significant events of default or
<br />termination events with finance-related consequences, other than a commitment to pledge future property tax
<br />and franchise fee revenues.
<br />CITY OF LINO LAKES, MINNESOTA
<br />NOTES TO FINANCIAL STATEMENTS
<br />December 31, 2019
<br />DEBT SERVICE REQUIREMENTS
<br />Future principal and interest payments required to retire long-term debt are as follows:
<br />Years Ending BondedDebt Direct Borrowi!!ll!!
<br />December31 Princi.P!!.._ Interest Principal Interest
<br />2020 $2,290,000 $594,534 $565,000 $16,911
<br />2021 2,515,000 541,386 264,000 6,365
<br />2022 1,830,000 483,876 165,360 3,395
<br />2023 1,905,000 428,672 34,650 1,403
<br />2024 1,665,000 372,600 35,475 710
<br />2025-2029 5,250,000 1,273,754
<br />2030-2034 4,425,000 484,200
<br />2035-2036 570,000 23,000
<br />Total $20,450,000 $4~02,022 $1,064,485 ~784
<br />It is not practicable to determine the specific year for payment oflong-term compensated absences payable. For
<br />governmental activities, compensated absences are liquidated by the General Fund. For business-type activities,
<br />compensated absences are liquidated by the Water and Sewer Funds.
<br />DEFERRED ADV ALOREM TAX LEVIES -BONDED DEBT
<br />All long-term bonded indebtedness is backed by the full faith and credit of the City, including special assessment
<br />and revenue bond issues. General Obligation bond issues are financed by ad valorern tax levies and special
<br />assessment bond issues are partially financed by ad valorern tax levies in addition to special assessments levied
<br />against the benefiting properties. When a bond issue to be financed partially or completely by ad valorern tax
<br />levies is sold, specific annual amounts of such tax levies are stated in the bond resolution and the County
<br />Auditor is notified and instructed to levy these taxes over the appropriate years. The future tax levies are subject
<br />to cancellation when and if the City has provided alternative sources of financing. The City Council is required
<br />to levy any additional taxes found necessary for full payment of principal and interest.
<br />The future scheduled tax levies are not shown as assets in the accompanying financial statements. Future
<br />scheduled tax levies for all bonds outstanding at December 31, 2019 totaled $17,244,281. IV-26
|