Audit Report 12/31/1979 - Laserfiche WebLink

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NOTES TO FINANCIAL STATEMENTS - Continued December 31, 1979 Note 1: Summary of Significant Accounting Policies - Continued d. Budgetary data - The City Council and separate boards and com- missions adopt an annual budget. During the budget year, supple- mental appropriations are authorized by these same authorities. The amounts shown in the financial statements as "Budget" repre- sent the original budgeted amount. Note 2: Pension Plan Substantially all City employees are covered by a statewide contribu- tory retirement plan operated by the Public Employees Retirement Association (PERA). The City records pension expense as the contribu- tions come due. Contributions for 1979 were $19,045. Contribution rates are determined on a statewide basis and include provisions for prior service costs. The assets of the State of Minnesota PERA Fund were substantially less than the actuarially computed value of vested benefits as of the most recent valuation date. That part of the defi- ciency attributable to the City is not determinable. Note 3: Long -Term Debt General Obligation Bonds - The General Obligation Municipal Building Bond is recorded in the General Long -Term Debt Group of Accounts and are backed by the full faith and credit of the City. Special Assessment Bonds - These bonds are recorded as a liability in the Special Assessment Bond Debt Service Funds. The bonds are payable primarily from special assessments to be levied and collected for local improvements, and are backed by the full faith and credit of the City. Contracts Payable - Contracts included in long -term debt are those contract obligations of the City extending over several years.