Management Report and Recommendations 12/31/1984

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City of Lino Lakes, Minnesota Management Report, Page 33 Agency Funds The City maintained three Agency Funds in 1984 as follows: • Contractor's Deposits • Minnesota Housing Revenue Bonds • Investment Fund An Agency Fund is designed to account for transactions for other individuals, pri- vate organizations and /or other funds. The Contractor's Deposits Fund is used to account for "pass through" types of expen- ditures relating to propsective developers. The City pays certain legal, engineering and planning amounts to assure compliance with various City ordinances relating to pertinent applications. The City receives deposits and /or bills the various developers for costs incurred. We recommend that the City continue to maintain detail records of amounts due from developers and that adequate deposits are received prior to incurring expenses on a developer's behalf. The Minnesota Housing Revenue Bonds Fund was used to account for the application process related to housing bonds. The remaining balance should be transferred to the General Fund or returned to the prospective developers as established by the terms and /or intent of the agreement establishing the fund. The City should close this fund in 1985. The Investment Fund is used to "pool" the available cash of the City for efficient investment. Interest is allocated to City funds based on the average cash available in that fund throughout the year.