Management Report and Recommendations 12/31/1994

Home Search

... City of Lino Lakes, Minnesota Management Report, Page 22 Community Development Block Grant The Community Development Block Grant (CDBG) Fund was established in 1982 to account for the fmancial activity related to the projects to be funded by the CDBG program. The City entered into an agreement with Anoka County to receive CDBG funds. The County of Anoka, along with other governmental units, was awarded the grant. The City of Lino Lakes is considered to be a sub - grantee and must comply with the provisions of the grant agreement. The City has established the compliance procedures that are required to be documented in City records. Proper documentation with the grant agreement has aided the City in receiving the monies applied for regarding the reimbursement of City expenditures. As of December 31, 1994 this fund had a deficit fund balance of $461. This deficit is expected to be eliminated through a transfer in 1995. Area and Unit Charge Fund On January 11, 1988 the City Council approved Resolution 1 -88 which established the Area and Unit Charge Fund for the City. The purpose of this fund is to collect various area and unit charges to be used to meet debt payments. Before October 1 of each year, the City estimates the required transfer needed to meet debt payments for the subsequent year. In December, these estimated amounts are transferred to the various debt funds. We recommend the City continue to monitor actual versus projected area and unit assessment collections to assure that debt payment requirements will be met.